MEETING OF CREDITORS.

Otago Witness, Issue 2923, 23 March 1910, Page 11

MEETING OF CREDITORS.

In Re E. L. Macasset. A meeting of creditors in the estate of Eustace Linden Macassey, of Dunedin., auctioneer, was held at the Official Assignees office on the 16th inst. The following crditors were present or represented:— Commercial Property and Finance Company, Evening Star Company, Dunedin Money Club, Herbert, Haynes, and Co., Otago Daily Times and Witness Company, Gore Publishing Company, Caxton Printin"- Company, National Bank, City Corporation, Messrs De Leon, Esther, Mcore Hay, Wcodhouse, Carter, Russell, and Wilkinson. Mr F. Calvert appeared for the bankrupt. The Debtor's statement showed: Unsecured creditors, £1824 8s 2d; secured creditors, £lls lis lid; assets, £390 4s 7d; deficiency, £1434 3s 7d. The principal unsecured creditors are:— National Bank, £530; Commercial Property and Finance Company, £273 5s 2d; Dunedin Money Club, £213 10s; F. Duthie (or F. Carter), £160; S. de Leon, £132 18s 8d; Mcore, Moore, and Nichol, £56 7s 2d. Evening Star Company, £SO 5s 6d; Herbert. Haynes. and Co., £49; George Esther, £4O; Otago Daily Times Company, £36 12s 4d; O. S. Dearsley (Chriatchurch), £34 15s; G. and T. Young, £27 13s 9d; D. Cooke, £2O; Kirk and Davey (Naseby), £l9. Is 6d; Standard Insurance Comrjany, £lB 6s 8d; Dr Batchglor, £l7 17s; Bathgate and Woodhouse, £ls 19s 6d; Gore Standard. £ls; A. E. J. Blakeley, £ls: Budget (Limited), £l3 ss; Wilkinson and Son, £ll 10s 6d; Dr Fulton, £lO 10s; C. W. Hay. £7 14s 7d; L. Ryan (Auckland), £6 6s: "T. B. Feltham. £5 10s; Wilkie and Co., £5 Is: C. S. White, £5; Taine, £4 6s Bd-; Walker Brothers, £3 8s; Tilbury Brothers, £3 Is 3d. The secured creditor is Henry Eldridge, whose claim amounts to £lls lis lid, and whcse security is valued at £l4O. The assets consist of: Book debts, £26 16s 6d (estimated to produce that amount); furniture at private house, £250; furniture at office, £SO; piano at rooms, £9; unexpired value of auctioneer's license, £3O; surplus from security in hands of secured creditor, £24 18s Id;—total. £390 4s 7d. The Assignee (Mr Fisher), after reading the statement, said that Mr Eldridge was secured by the. assignment of certain bcok debts. The following statement, put in by the debtor, was read by the Assignee:—" I commenced business in Alexandra as a sharebroker durinsr the mining boom, and did fairly well for a time. I left there for Dunedin with only £IOO. I started as a sharebroker and commission agent in Dunedin in July, 1904. I lost money in the business,. and came out with about £25. In 1905 I borrowed £2OO from my mother and started auctioneering with this. I gradually worked up a business, and for a time was doing very well, but. about two years ago there was a very serious falling off in business. Thinking there was a large profit to be .made out of tea rooms, I started the Royal Cafe Tea Rooms. This turned out most disastrously, and ended in a loss of £424; but as I thought I was doing well in the auctioneering and agency business, I thought this loss cottdd easily be overtaken. Another speculation in which I made a heavy loss was the Ancient Briton Hotel, which I purchased for £I2OO. stock and furniture at valuation. Owing to getting hold of a series of unsuitable tenants, over whom I lost considerably, the property was ultimately sold bv the first mortgagee. I consider 1 Inst at least £SOO over this transaction. The debts due to Messrs Duthie and Carter and the Money Club, and also portion of the Commercial Property Company's debt, are directly caused by the Ancient Briton Hotel ■ transaction. I, a'so lost about £2OO in bad debts, and in order to keep going I was compelled to borrow money and get advances against my book debts. I was also put to expense in having to remove mv rooms in Rattray street, and as I was be:nor pressed by various creditors and several summonses were out against me, I caJled a meeting of my creditors last Sentember. when I offered a eomoosition of 10s in the pound, payable by instalments, which offer was accepted by the bulk of mv creditors. I mad" arrangements to carry cut this composition, and I fully believe that I would have been able to pay it, although it would have involved several years' work, as my prospects in business seemed to be improving. When my arrangements were about, completed I learned that the Ancient Briton Hotel had been sold bv the first mortgagee at a. loss of about £l5O. This involved me to that extent to Mr Carter and the Dunedin Money Club, who held a second mortgage, and thus become unsecured creditors to the extent of £2OO. I attribute my bankruptcy ' to the heavy losses made in my business and the disastrous result of the two speculations I entered into, also to the verv great falling off in business and the heavy expenses of running it. I have made every effort to carry on in the hope of payina- my creditors, but have unfortunately failed, and ns execution was issued and my goods seized I had no ontion hut to seek the protection of the court in the interests of my other creditors." . ' i i-i The Assignee said at the time the debto*

filed the bailiff was in possession under a writ of the. Supreme Court. The costs of the she-riff would, of course, be a charge against the assets in the estate. He had not closed up the auctioneer's business, nor had he done anything in connection with the lease. He had had the furniture valued by Mr Reynolds, whose valuations were: Office furniture, £sl 15s 6d; house furniture, £174 4s 6d. Going through the figures roughly, the estate at the present showing panned out at about Is 6d in the pound. In reply to creditors, the debtor said the year before last his income was about £4OO, and last year hi 6 net profit was £l6B. He drew no stated sum for salary. The books showed all his transactions. The Assignee said he had a letter from Mr Thompson, accountant, stating that the balancing of the books would take a few days to complete. He (the Assignee) had not had time himself to go through the books; they came in only shortly before the meeting. Had any creditor any resolution to move? Mr Calvert said all the creditors were cognisant with Mr Macassey's affairs, and

I must be aware d the strenuous efforts he ' j had made up to the last to save his estate ! from bankruptcy. He had been in hope 1 of getting assistance from friends, but as ' the bailiff had been placed in possession he could get no help from that quarter, ar.d had to file. Mr Tonkinson (representing a • creditor) j said, as the bankruptcy had been somewhat hurried, the meeting might be adjourned in order to allow the debtor to look into matters ar.d ascertain if he could make an offer. In reply to a question, the Assignee said . the weekly expense of carrying on the business would be about £5. It was agreed to adjourn the meeting until Tuesday next, to enable the bank- . o-upt to make an offer, the business to be carried on in the meantime, and the bankrupt to be allowed £3 a week from bankruptcy. It was also resolved—" That if Mr Macassey makes an offer of £IBO for the furniture (house and office) the amount be . ! accepted by the Assignee." j