MEETING OF CREDITORS.

Otago Witness, Issue 2331, 3 November 1898, Page 8

MEETING OF CREDITORS.

Re Nobman M'Ritchie. The first meeting of creditors in tho estat» }f Norman M'Ritchie, of Dunedin and fapanui, stockdealer, was to have been held an Thursday, but lapsed for want of a quorum, md the meeting stands adjourned to 2.30 p.m. to-day. The bankrupt and his solicitor. (Mr W. C. MacGregor) were present yesterday, but no creditors. Bankrupt's statement showed unsecured creditors £690 10a Id, and secured creditors £338, the estimated value of securities being set down at ±'300, leaving a deficiency of £38. lotal liabilities £728 10s Id. The assets were Eurniture £25 (exempt) and claims against tho New Zealand Co-operative Association £356. Deficiency in assets over liabilities £327 10s Id. rhe unsecured creditors are the New Loan, and Mercantile Agency Company, £261 10a Id; W. Quin (Tapanui), £229; Dalgety and Co., £60; National Mortgage and Agency Company, £20; Bank of New Zealand (for the New Zealand Co-operative Association), £105; and <J. Mair (Tapanui), £15. The secured creditor is the National Bank (Tapanui), who are secured by an agreement to mortgage section 9, block 11, and sections 1 and 2, block, XIX, Town of Tapanui. Tho security is against an overdraft of £338, and is estimated to produce £300. Bankrupt's written statement was to tho effect that he had been in business about 10 years, and started with between £700 and £800 m cash. To the beginning of 1807 his success varied, and at one time he was £1600 to the good. In 1897 he met with heavy losses, principally in the shipment of frozen meat. All his capital went, and left him short by. £600 or £700. In May of 1897 his position roughly was as follows: — Assets: Freehold property £1400, and horse and buggy and personal effects £70;— -total, £1470. Liabilities: New Zealand Loan and Mercantile Agency Company, £400; W. Quin, £232; Dalgety and Co., £60; National Mortgage and Agency Company, £43; Borough of Tapanui, £90; Bank (secured), £1305;— total, £2130. Deficiency, £660. The two principal creditors agreed to allow him time, and it was understood that his old debt would be treated as a No. 2 account, and that no attempt would be made to obtain payment by retaining payment from, any stock, or at the expense' of any person, from whom he received credit. In March, 1897, he entered into a contract with the New Zealand Co-operative Association to supply them with 5000 to 8000 fat lambs. They were to pay cost of lambs, and sell skins and fat, crediting proceeds to him, together with contract prices' for the carcases. On completion of tho contract it showed a profit of £607, and of this he received £100, which he paid intothe National Bank, Tapanui, on the 29th June. That was all he had received for the £307. The association failed to collect £147 from Joseph Gatfiold for skins, and that was redebited to bankrupt. The association gave him a promissory note for the balance, which had never been paid. He considered he lost over t £3oo between law expenses trying to recover and the balance still unpaid. On a contract made in June-July with the association ho made aprofit of £47, for which he had to take a promissory note also, and this was still unpaid. In August he shipped, in company with Mr Garden Watson, 1989 carcases of mutton, which, cost £962,. and against the bill of lading they got an advance of £758, leaving a deficiency of £204. He gave the association, through whose agency the mutton was shipped, a promissory, note for his half of the £204 on the understanding that it was only to cover his account, and that it would not be presented for payment, but held imtil the proceeds of the mutton came from London. This was not done, and the bill for £102 passed into tho hands of the Bank of New Zealand, and he, had since been sued for it. The returns for the mutton so shipped showed a surplus of £303on the sale of 1973 carcases over the advance, and his share would pay the bill for £102 and leave a credit of £50. He had, however, got nothing — not even credit for the surplus, which, would clear the bill as originally promised. He presumed the Bank of New Zealand had got his share of the suiphis and the bill as well, foe payment of which he was continually pressed. In August he disposed of his freehold farm and a town section for £1120, the proceed3being retained by the National Bank, which held a mortgage over the same. In December he made a contract with the National Mortgage and Agency Company to supply 18,000 fat lambs. The season turned out a bad one for fattening, and he had great difficulty in completing the contract. He got an extension of 15 days promised, but the company refused to take delivery of 4000 or 5000 carcases, and they were left on his hands. He made nothing out of the contract. Had the National Company taken the 4000 or 5000 lambs as promised he would have made £250, as they were tho best and heaviest of the season. The New Zealand Loan and Mercantile Agency Company financed the contract for him, and when he had to ship the 4000 or 5000 carcases left on his hands he assigned the proceeds to them against cost price and current account. Since-the-i lie had not been able to earn anything. The fact of tho judgment standing against him for the £102 prevented him getting credit. He had no private means and no prospect of earning money. The money lie owed Dalgety and. Co. and the National Mortgage and Agency Company (Gore) was for direct loss on stock purchased from them. Had hs received tha moreys lost through Gatfield, the Co-operative Association, and through the National Mortgage Company refusing to complete the contract—in all _a total of £562— he could have been earning money in contracts all the winter, and could have paid 20s in the pound. The adjourned meeting of creditors in the estate of Norman M'Ritchie, of Tapanui, cattle dealer, was held at the office of the official assignee on Friday afternoon, when there were present the bankrupt, his solicitor (Mr W. C. MacGregor), and three creditors. The Assignee, referring to the bankrupt's written statement, asked bankrupt if the 4000 or 5000 lambs were offered to the National Company within the 15 days' extension of time mentioned, to which bankrupt replied in the affirmative. He said he had a promise from the manager to extend the time, and they afterwards said it was not legally binding upon them. Mr MacGregor : The fact is lambs went down. Mr M'Ritchie took action against them, and they paid £1 into court, and by my advice the action was abandoned. Mr Quin's representative remarked that the statement 'filed by bankrupt was absolutely correct as far as he knew, and another creditor reiterated the remark. Mr Quin's representative moved, and it waa resolved — " That the creditors were quite satisfied that the bankruptcy was the result of misfortune as .far as bankrupt was concerned, and that bankrupt ..bo unanimously recommended to the favourable consideration of the court for discharge." /Mr Quin's representative said there was not the slightest chance in the meantime of getting more than £300 out of the two properties at Tapanui. The Assignee : So that, in other words, there i 3 no prospect of a dividend for the creditors. The meeting then terminated. The Queensland Meteorological department despatohed free weatUer telegrams to the value oi £25,000 Lmfc yea*