MEETING OF CREDITORS.

Otago Witness, Issue 3881, 31 July 1928, Page 7

MEETING OF CREDITORS.

BANKRUPT GARAGE PROPRIETOR.

CHRISTCHURCH, July 26. Dissatisfaction was expressed by the creditors of George Wilcox, garage proprietor. of Ashburton, at a meeting held in Christchurch to-day, when it was disclosed that the bankrupt had started with £6OO, and in two years’ trading had made a loss of £4OO. Mr C. O. Pratt, official assignee at Ashburton, presided, and Mr V. W. Russell, of Ashburton, appeared for the bankrupt. The total deficiency was • shown as £4062 17s Id. The amount owing to unsecured creditors was £6124 17s lOd, while the assets were £2062 Os 9d, of which . the book debts are estimated to produce £l3OO. The stoek-in-trade was estimated at £6OO. .The principal unsecured creditors were as follow-.—Dominion Motors, Ltd., Christchurch, £4366 12s -4d; British Imperial Oil Company, £3lO 10s 4d; Vacuum Oil Company, - 'Christchurch, . -£420; A. S. Paterson and Co., £395; Maoriland Motors, £500., . . . The bankrupt; in hjs statement,, said that in July,. 1926, he-took over the selling agency in the Ashburton district for Dominion Motois, Ltd., Christchurch, and subsequently rented a garage in Willis street. He then had approxi•mately £6OO. Following a change of managership in the Christchurch branch a new arrangement. was made, and he was debited with the ‘past losses on secondhand cars taken in. The accounts rendered to him at this stage were disputed, but no finality could ; be arrived at in regard to them. He attributed his bankruptcy to the high cost of running his business, together with losser incurred on cars traded in with which he was charged. He realised that he should have had an accountant’s supervision. He possessed no private means whatever, and was a married man. The official assignee’ said that he had not closed up the business, but had carried on. It seemed that there was likely to be something in it. The sum of approximately £238 had been received, £BO of which was from old debts. The action of the assignee in carrying on the business was approved. Mr A. S. Nicholls, who appeared for the Dominion Motors, said that it behoved the bankrupt to explain how it was that he started ‘ with £6(M), and in two years had lost what amounted to £4OOO. It could not all have been lost on second-hand cars. Bankrupt should have failed months ago. “I do not know what the feeling of the meeting is.” said Mr Nicholls, “ but he comes here and says in effect— ‘ lam £4OOO down. lam sorry I do not know where it has gone. I think the whole thing should be looked into.” Mr Pratt said that bankrupt’s failure was undoubtedly due to mismanagement and extravagant living. He had allowed people to trade on his good nature. Mr Nicholls said that there had been gross extravagance, and bankrupt’s explanation was unsatisfactory. ’He suggested that the meeting should be adjnur/ I to enable the assignee to investigate the accounts Further. This course was agreed o.