FARMER'S FAILURE.

New Zealand Herald, Volume LXV, Issue 19929, 24 April 1928, Page 14

FARMER'S FAILURE.

"POSITION REALLY NOT BAD." PROPERTY DID NOT PAY. "The position is really not bad," said the official assignee, Mr. G. N. Morris, at yesterday's adjourned meeting of creditors of E. Geoffrey V. B. N. Clark, farmer, of Waiau Pa (Mr. Foster). "He lias been a bit reckless, hut it is quite clear lie did not know that this equity over the farm was not his." The statement of bankrupt's finances showed unsecured debts amounting to £671 19s 3d and assets valued at £6OO, leaving a deficiency of £7l 19s 3d. Bankrupt in his statement said lie had worked a farm which had been part of his father's estate. A new motor-car he had bought was destroyed by fire, and he later purchased another motor-car on terms. His motor-car and tractor were later seized by motor companies. The farm did not at any stage pay. Ho raised a second mortgage of £428 on the property, and a good deal of this was applied in paying interest on the first mortgage. He disposed of the farm last January, but he did not receive any of the deposit, as the trustees applied it to reducing liabilities on the estate. He valued the 214 acres of the farm at. £5350, but had to reduce it to £4494, or £2l an acre. He fully expected there would bo an equity of £I6OO from the property, and it was not until the sale took place that he was aware he was in difficulties. He attributed his present position to the fall in land values, which entirely altered the value of his father's estate.

Bankrupt said tie had not kept any books. lie was now earning 35s a week and his keep as a farm labourer.

Mr. Morris said ho would get in touch with the trustees and see what could be done to hasten matters.