MEETINGS OF CREDITORS.

New Zealand Mail, Issue 422, 13 March 1880, Page 11

MEETINGS OF CREDITORS.

A meeting of the creditors of Chas. Taylor, builder, was held at the Supreme Court for the purpose of considering the question of the debtor's discharge. There were six creditors present, and the trustee, Mr. Hutcheus, occupied the chair. The Colonial Bank was represented by Mr. Christie. Mr. Gordon Allan appeared for the debtor. The liabilities in this estate amounted to £B2B 15s. lid., in addition to which there is the claim of the Colonial Bank for £358 10s. 5d., and also a contingent claim, bringing up the bank's total account to about £6OO. None of the creditors are secured. The assets consist of land at Rangitikei and Petone. This is stated by the debtor to be of cousiderable value, but the trustee is oi opinion that if sold at once it would not realise more than 2s. or 3s. in the £. The debtor was examined at considerable length by several of the creditors. He stated that his wife had something like £3OO in a building society. This was the accumulation of rents of land held by her in her own right, which had been purchased out of her own earnings. The trustee said it was perfectly monstrous for the debtor to expect to get his discharge when his wife possessed property that was sufficient to pay his creditors three times -over.

The bankrupt remarked that it had taken his wife fifteen years to accumulate the property. Even were she to make the creditors an offer it would take several years to realise the property. With regard to the property generally he knew nothing about it ; he had never settled any upon her, with the exception of the furniture. He confessed he had settled that upon her from motives of " natural love and affection." The matter was arranged entirely through his wife and her solicitor, and he knew nothing about her property more than his creditors did. It was possible that in times gone by he had invested some of his wife's earnings in the purchase of land, but he only did that in the way of business for her. He was not in a position to say whether his wife was prepared to make the creditors an offer. All he could say was that, in the present hard times, he was not able to do so himself. It was possible he might have done so at an earlier stage of the proceedings if he had not been persecuted by the trustee. The trustee reminded the bankrupt that a man who merely tried to get his own could not be considered guilty of persecution. The creditors here generally expressed an opinion that the trustee had acted quite rightly in the matter. Mr. Petford : It seems to me that this little game of the bankrupt's of buying property for his wife has been going on for five or six

years. The Bankrupt : I never assisted my wife in past years. I had too much to look after myself for that.

After some further conversation, it being found impossible to get the bankrupt to make an offer, it was resolved, on the motion of Mr. Christie, seconded by Mr. Waddell, not to grant the debtor hi 3 discharge at present, and the trustee was instructed to bring the debtor's land to the hammer as soon as possible.

An adjourned meeting of the creditors in the estate of William Berry, accountant, was held, at the Supreme Court, at half-past ten o'clock on Wednesday. There was a very good attendance, and Mr. Fitz Gerald again appeared on behalf of the bankrupt. Mr. J. A. Jeffery again took the chair, and said they had met that morning for the purpose of electing a trustee, and he would like them to do so as soon as possible. Mr. Dimant said he noticed from a paragraph in the paper that unless the creditors or the trustee interested themselves in the matter, a bankrupt might, under certain circumstances, at the end of twelve months, claim the whole of the estate. Now rather than such a state of things should happen in the present instance, and the bankrupt should chuckle over the creditors, he (Mr. Dimant; would put him through. If all the creditors refused to accept the office of trustee, the [Registrar could call upon any of the accountants in bankruptcy, and as they were officials of the Court, they daied not refuse to take up the position and look after the interests of the creditors. For his own part he was prepared to propose a gentleman willing to act. He was a creditor in the estate, and was not unwilling to take the position, rather than that by any means the estate should revert to Mr. Berry. One of the creditors here remarked that it was a hopeless estate—there would not be a sixpence for any one. Mr. Dimant : No matter, justice should be done, and there should be a gentleman appointed to investigate the estates which have passed through his bands. He thought it would be a lasting shame to allow him to escape scot free. He (Mr. Dimant) had several estates in his hands now. He would not occupy their time with longer speeches, but would propose that the chairman act as trustee. He might say that Berry had acted shamefully. He had received his (the speaker's) money months ago, but had never given him sixpence of it. He could have had him up at Mr. Reid's establishment months ago. The Chairman said he must decline to act as trustee.

Mr. Ladd proposed Mr. Dimant. He had already stated that he would act. Mr. Dimant : No, I didn't say so. I said I would act rather than Mr. Berry should have a, chance of getting his estate back, but it is first the duty of the Registrar to appoint one of the accountants in bankruptcy. Mr. Dimant here read clauses 46 and 47 of the Bankruptcy Act, and said he called upon the Registrar to appoint one of the fifteen accountants in bankruptcy. They were officers of the Court, and could not refuse. Por his own part he declined to act at present. He had retired from being an accountant in bankruptcy. He could not get an honest living by

it, and a rogue and a vagabond he would not become.

Mr. Ladd : That's very complimentary to the present accountants. Mr. Dimant : I did not refer to them. Mr. Ladd : It looks devilish like it. Mr. Dimant : I did not mean it in that way. Mr. Gardener : I suppose he meant those whom the cap fitted would have to wear it. Mr. Ladd : I should like to know what portion of the estate is secured to Mr. Ollivier. Mr. Carroll : Yes ; we might induce some one to take the trusteeship if we knew the condition of the estate. Bankrupt : |Mr. Ollivier holds security over the furniture and the brickyard and over certain accounts.

The Chairman : What is your interest at Crofton ?

The Bankrupt : It is very difficult to say. It is hardly in my power. It may be worth something, or it may not. Mr. Ladd : Is the whole of the purchase money paid ? Bankrupt : No. Mr. Ladd : And I suppose it may be forfeited at any moment ? Bankrupt : Yes ; but it may be worth something. Mr. Ladd : That is one asset we may knock out, Mr. Chairman. I cannot see that there is a single asset in the estate. Mr. Dimant : And £I2OO is put down for a brickyard. I should like to see the man who would give £2OO for it to-day. Mr. Ladd : The only asset would be the Crofton estate, in the event of the purchase money being paid up. All the rest is secured. Mr. Gardener : Will you let us know what is to be done ? We can't wait here all day. The Chairman : I am waiting on you. Mr. Dimant : Will you act ? The Chairman : No, I see nothing to administer to.

Mr. Dimant : I would move that the chairman be indemnified for any expenses to which he may be put. Mr. Berry evidently wants putting through. He has handled several thousand pounds in bankrupt estates, and never given any account of it. If he had lost money in business, or in trade, there would be some excuse.

Mr. Ladd : I move that the creditors guarantee the trustee some sum to be agreed upon, in consideration of his undertaking the office. I dare say under those circumstances Mr. Jeffrey would act as trustee. Mr. Dimant : If put that way would you accept office ?

The Chairman said he would act as trustee if he had not to be put to any expense in the matter.

A Creditor : What does that mean. Is he to take criminal action against the bankrupt ? Mr. Macdonald : Don't let there be any mistake. In the early days we used to assist the Registrar in these matters, and the consequence is that we have now a great deal of money in our books. Accountants in bankruptcy now when there are no assets will not do the work. Mr. Ladd : I move that the trustee be granted £SO, to be paid by the creditors pro rata.

Mr. Gardener : No, I shall not agree to that.

Several other creditors also disagreed with the proposition, on the ground that it was not a fair one. According to it those who had lost the most would have to pay the most. Mr. Ladd : Well, we can get £25 ; everybody will subscribe. Mr. Gardener : No, I shan't contribute a fraction. I don't know that there is anything criminal in Mr. Berry's conduct. Mr. Griffiths : I may say that in an estate in which I was interested, two dividends were declared, one for half-a-crown and one for a shilling. I have applied for these dividends several times, but cannot get them. The Chairman : Then you have been in the habit of receiving dividends ?

Mr. Griffiths : Yes. The Chairman : Then you have been more fortunate than I have.

Mr. Griffiths : The effect of not appointing a trustee is that if Mr. Berry gets the clear estate he can start again. Mr. Ladd : I move that the sum of £25 be subscribed. The Chairman : That must be entered in the minutes, and signed by the intending subscribers.

Mr. Griffiths : I should think that the creditors in the other estates will also be creditors in this.

Mr. PitzGerald : No. No trust estates have anything to do with this bankruptcy. A trustee in this bankruptcy could not administer them.

Mr. Carroll : I think it is for the creditors in the other estates to appoint fresh trustees, and give them instructions what to do. The Chairman : It is no use staying here unless something is done in the matter. Mr. Chapman : I will second Mr. Ladd's proposition. Mr. Ladd then went round the room and announced that he could only get promises for £B. He then sat down, apparently disgusted at his non-success, saying the Registrar would have to make the appointment after all. Mr. Dimant: He will have to appoint one of the accountants in bankruptcy, and he will have to serve.

Mr. Ladd : There you are wrong. We need not serve unless we like. Mr. Dimant : You must.

Mr. Ladd : It is open to us to refuse. Mr. Dimant : What is the use of being appointed by Gazette, unless we are all capable of doing our duty ? The Chairman : If no gentleman has anything to propose I shall have to declare the meeting closed. Mr. Dimant : Then you won't take the office ?

The Chairman : I can get no guarantee. Mr. Ladd : As Mr. Jeffery will not take it, I would ask Mr. Dimant to act, and I therefore propose him as trustee.

The motion was seconded by Mr. Baker (proxy for Mr. P. Laing). Mr. Dimant : I said before that rather than Mr. Berry should get his estate back I would accept the office, and rather than let him griii and rejoice over his creditors I will accept the office.

The motion, that Mr. Dimant should act, was then put, and agreed to. Mr. Ladd : I am prepared 'to subscribe a guinea towards the expenses. Mr. Dimant : It is not a question of pay at present. I shall consider what action I shall take, and if I want the creditors I shall call them together. If Mr. Berry renders a proper account of his proceedings and business, very good ; if not, he will have to put up with the consequences, the same as other people. The proceedings then terminated.