IN BANKRUPTCY

Otago Witness, Issue 3594, 30 January 1923, Page 57

IN BANKRUPTCY

MEETING OF CREDITORS AT OWAIvA. A meeting of creditors in the estate of Tlios. J.inirs Cook, farmer, Katea, was held in tlie Courthouse, Owaka, oil Thursday. Mr R. it. Grigor (Balclutha) appeared on behalf of the bankrupt. Uusee ired o editors represented were: White Stores (G. S'heddan), Otago Farmers’ Co-operative (1). Watt), John Paterson, and John Sharp. Secured cieditors: New Zealand Government (represented by T. W. Hungerford) Constable G. F. Boniscb read the instructions to the meeting cn behalf of the Official Assignee, who w-as unable to be present. Mr D Watt was appointed chairman. The secured creditors were: New Zealand Government. £2550 7s 7d; Tlios. Cook (Long Bush, Southland'), £ 5(*0; interest due to Government, £2ll 4s sd; making a total liability to secured creditors of £3271 12s 2d. The unsecured creditors were: Clutlia County Council, £34; John Chambers (Dunedin), £180; Reid and Lernon (Dunedin). £l3; Free Press, 17s fid; John Sharp (Owaka), £7; John Dick (blacksmith, Owaka), £G; J. Dale (Owaka), £2; John Paterson (paiider, Owaka), £3; late proprietors White Stores (Owaka), £4O; While Stores (Sheddan), £6O; H. Sauer (butcher, Owaka), £3; Otago Farmers’ Co-operative Association, Ltd., £76; —total, £124 17s 6d. Assets, nil. It was pointed out that it was doubtful whether Chambers was secured or not. The creditors had only the milking plant to depend OP. BANKRUPT’S STATEMENT. Bankrupt’s written statement lead: "I bought a form three years and a-ha:f ago under the Discharged Soldiers’ Settlement Act. The price as a going concern was £3OOO, of which the Government advanced me £2500 and the vendor (Thos Cook, of Long Bush) allowed the other £SOO to remain on second mortgage. 1 realise now that the price was much too high and that the stock left on the place were poor. Had I taken more time to reflect before going into farming after my return from the war I would have been saved seeking the assistance of this court. My only income was from the dairy herd and from posts which I cut out of the bush. The dairy jierd was of a poor class and gave a bad return, not sufficient to met my household expenses and the improvements I was putting on tlie place. The posts went to the agents and stores to meet accounts. I have no property except the stock and implements, which are mortgaged to the Government. I have worked constantly and done my best to make something of the property, but can ace no hope in carrying on. My gratuity (£9-5) went into the farm. The furniture in the house (worth about £35) was bought by my wife out of her own earnings before she was married. Tlie milking plant was bought from John Chambers, Dunedin, and is held from that firm under a hire-purchase agreement. BANKRUPT EXAMINED. Under examination bankrupt stated that he bought goods to the value of about £45 at Morris’s sale, and paid Donald Reid and Co. this amount by posts (£l3), gig (£3O 10s), cow (£3). He sold the gig privately and handed the money to Donald Reid and Co., because he thought they had the right to it, as it was not completely paid for. Was not solvent at the time. Sold a good few posts, but none lately. He had nothing to offer to his creditors. He had nothing, and filed because he did not see how he could make a “do of it.” To Mr Sheddan; All the stock on the place was under bill-of-sale to the Government. The bill-of-sale was made out last April. Continuing, lie said he paid £3O for the gig and £9 10s for the harness. He had eold the gig and harness for £3O 10s—a loss of £9 10s. Regarding the milking plant he thought there was a bill-of-sale over it to John Chambers. He had paid £56 on the plant out of mi’.k cheques. Was milking 20 cows. Had 32, but 12 had not calved. Last month’s cheque was £2l. Hie whole income was from milk and posts. The whole of his returns had gone to the creditors. Tlie milking plant cost £197. Had had it three seasons. Paid £l2O a year interest to the Government, and £l3 a year rent for two sections. He assured the creditor's that when he got going again he would do his best to pay- them. It was decided to leave the estate to the Official Assignee to administer, and that lie be given a free hand in the matter of the milking plant. In reply to bankrupt, Mr Grigor said that the cream cheques would have to be paid to the Official Assignee. It was resolved that bankrupt be recoin mended for his discharge after the realisation of the estate. It w-as pointed out that bankrupt had been unfortunate in going into a place too dear. He bad been quite honest in bis dealings, and was now "on the rocks." and lad not a penny, and had now to go to work.