CLERK'S OVERDRAFT

New Zealand Herald, Volume LXXVI, Issue 23263, 4 February 1939, Page 2 (Supplement)

CLERK'S OVERDRAFT

THE representative of a bank was unable to explain at a meeting of creditors in Manchester how a young Bolton clerk, earning £7 a week, had been able to obtain an overdraft of over £IOOO. The debtor was Alexander Neville llawson, who had lodged at Hartington Road, Bolton, and who was stated now to be in Australia.

Mr. P. Milward, .Official Receiver, told the only creditor present —a bank representative —that there were twelve claims amounting to £I2BO. According to his information, Rawson had lett the country on September 24, and he had seen a cable from Melbourne and another, as well as a letter, from Sydney. The handwriting appeared to be that of Rawson. . A passage in the letter suggested thitt it was his intention to go to New Zealand in the near future. Mr. Milward said Rawson seemed to have lived a rather reckless and extravagant life, because, in addition to a substantial sum he had received fx'om ]iis mother's estate, he got into debt to the extent of over £IOOO. That indebtedness had arisen since last February. The bank had no security, and the" debt formed part of a total indebtedness which amounted to something in the region of £2161. There were said to be £391 owing for the purchase of a horse —he

Bank Given, no Security

thought a steeplechaser liverv charges, etc., £270 for and other personal requirements, £1.76 as hire-purchase payment on a motor-car, garage, etc., £75 for money borrowed, and £33 for hotel expenses. His. only assets were a policy for about £l9 under a welfare scheme, and £3 10s, which a Bolton man had handed over. There had been two 1 executions, one for a sum of £7O from a moneylender, and another from a Bolton jeweller. He had been living in lodgings, and while at work as a clerk employed by a company in Bolton, had been receiving £7 a week. Apart from that lie did not think lie had any other income, and there was no doubt that he had been living an extravagant life, indulging in hunting and dealing in horses. The result was that he got into debt and seemed to have left his usual place of abode in order to avoid and defeat his creditors. Unsecured Overdraft The bank representative said he had no information- as to how Rawson had obtained his overdraft without any security, and Mr. Mil ward said it was rather extraordinary for a young man of 26, without any responsibility, to be able to obtain an overdraft of the amount ho had. Mr. Milward told the representative that in a little while Rawson would be called upon to attend his public examination, and if he did not attend, he (Mr. Milward), might have to apply for a warrant, but whether it would be effective, was another matter. It did not seem much good getting him back if he had not got anything, added Mr. Milward. The Official Receiver said that two cheques had gone through the bank last year. One was for £370 and the other for £225, and both were in respect of horse transactions. The affairs were left in the hands of the Official Receiver.