BANKRUPT ESTATE OF JAS. WARREN.

Te Aroha News, Volume IV, Issue 169, 11 September 1886, Page 3

BANKRUPT ESTATE OF JAS. WARREN.

A first meeting of creditors in the bankrupt estate of Mr James Warren, late proprietor of the Palace Hotel, Te Aroha, was held in the Court-house, Te Aroha, on Thursday afternoon last, Mr J. S. Edgecumbe, Deputy Official Assignee in Bankruptcy, Hamilton, presiding. A number of local creditors were present, also Mr, Ehrenfried, brewer, owner of the hotel, who also acted as proxy for several Auckland creditors ; and the bankrupt, and his solicitor Mr McGregor Hay. Mr Edgecumbe first read the bankrupt's statement at time of filing, taken on oath, as follows : My name is James Warren. For the last three years I have kept the Palace Hotel, at Te Aroha. I had no capital when I started business. Mr L. Ehrenfried was the owner of the hotel. 'I gave him promissory notes amounting to about £900 for the furniture and stock in the hotel. A month or two after I took the hotel I gave Mr Ehrenfried a promissory note j for £168 for the billiard table and fit- | tings. On the 13th February, 1885, I signed a bill of sale for £1225 to Mr Ehrenfried, the said bill of sale was over furniture, bar utensils, etc., and billiard table. I estimate ,' at I have put at least £600 worth of extra furniture in the house ; this was included in the bill of sale, also, this was in the first six months of my occupation of the hotel. On 27th Aug. last Mr Ehrenfried distrained for rent due £120, 1 had no money *,o pay him ; the following ' day he demanded £1225 within twentyfour hours. 1 was not able to pay this amount, and his bailiffs took possession of everything in and about the premises, also of two cases of bottled ale and porter which were at the wharf, Te Aroha, in the possession of the Thames River Steam Navigation Co. I value the ale and porter at £2 18s per c. c. My four cows vtere also seized for ent. The bailiff when distraining for rent gave me a paper, a copy of warrant. I have lost it, lam certain there was no inventory of the goods distrained for on the paper he gave me ; it was only a half sheet of foolscap, about twothirds of the one side of the paper had any writing on it. I gave the bailiff a written notice of demand for an inventory of the goods distrained for rent, and schedule of the bill of sale. He did not supply me with either. I estimate my stock-in-trade of liquors and stores to be worth the amount stated in my schedule, viz., £100. There •is also a considerable amount of furniture rot scheduled in the bill of sale to >?*r Ehrenfried, which would -be worth I should say about £250. * I was overdrawn at the Bank of ISiew Zealand when the seizure took place £9. I left the hotel on Saturday last. The bailiff allowed me to remove my wearing ap" parel only, my wife's, and daughter's also. I have paid Mr Hay, my solictor, ten pounds of monies I had on hand of my own, taken, out of the business. I have not been able to see my books since the seizure. I have no other property of any description but what I have disclosed to you to-day. Assets and Liabilities. — Dr. Unsecured Creditors as follows : — John Buchanan, £60 ; Jas. Douglas, £25 ; H. Hart and Co., £27 ; M. Levy and Co., £9 8s 6d ; Partridge and Co., £5 3s ; W. Hethrington, £4 18s 6d ; T. L. Green, £2 12s 6d ; Cornea Bros., £14 13s Id ; Mrs Bew, £1 6s ; Cbas. Plato (servant), £8 ; Sophia Parker (servant), £9 ; Margaret Macminimi (servant), £9 ; Louis Ehrenfried (rent), £120. Total, £296 Is 7d. Secured Creditor : Louis Ehrenfried, brewer,

Auckland, bill of sale valued at £1400, amount of debt £1225 ; surplus to contra, £175. Or. — Stock-in-trade at Palace Hotel, Te Avoha, £100 ; book debts, £100, estimated to produce £50 ; cash in hand, nil ; furniture, included in bill of sale ; four co\rs, £24 ; eight pigs, £5 : thirty fowls, £3 ; surplus from securities in hand of secured creditor £175. Total, £857. Dated at Hamilton, 7th September. At the meeting the following creditors were present, represented by proxy (Ehrenfried) : — Partridge and Co., L 5 3s ; Levy and Co., L 9 8s 6d ; J. Buchanan, LB6 Is ; Hart and Co., L 34 2s sd. la person : Hethrington, L 4 18s 6d ; T. L. Green, L 2 12s 2d ; Ahier, L 4 1 ; Comes Bros., Ll4 13s Id ; A. A. Wallace, L 2 11s ; W. Dibsell, L 7 19s 8d ; D. J. Frazer, L 6 10 ; (following for wages) : J. Allen, LI 13s 4d ; Newton, L 3 12s 6d ; Plato, LlO ; S. Parker, LlO 10s ; M. Macminimi, LlO 10s. Total represented, L 214 6s 2d. Mr Ehrenfried declined to give to Assignee or anyone the securities he held, and therefore did not prove for rent stated to be due LI 2O. In reply to Mr Ehrenfried, the bankrupt admitted he had repaid the Bank of New Zealaud £9, just before filing, out of two cheques he had in his possession. Mr Ehrenfried : Are you aware that in March, April, and the beginning of May last you had goods from me amounting to about £400, for which not yet had one shilling been paid. The profit on those goods would be at least 75 per cent ; and these goods have been sold, and should have produced £700. What have you done with the money ? Mr Warren : I had goods from you, but without my books cannot tell the amount. With the proceeds 1 have done the be3t I could in paying ray creditors. Mr Ehrenfried : I now move, That the proceedings .in this bankruptcy be transferred from the local court of bankruptcy holden at Hamilton, to the Supreme Court of Bankruptcy holden at Auckland. The resolution was seconded by Mr Win. Dibsell, and carried without opposition. | Mr Ehrenfried : I believe if Mr War- | ren had tried he could have paid 20s in the £, but apparently he made no effort to pay anybody. From Friday morning last till Wednesday L5O cash was taken in that hotel, and that in the middle of winter, and the business has gone on at a similar rate since ; what then must have been the takings of the bankrupt in the summer time ? Surely often at least LlOO per week. He is not in the posit ; . n of one who had called his creditors together and asks what he had best do ; but at once rushed off to Hamilton to Mr Hay, to put him through, and pays off the Bank of New Zealand overdraft, whilst at the time owing the servant girls over three months wages. Mr Hay : After Mr Ehrenfried's remarks, I feel bound to reply in behalf of the bankrupt. As an evidence of bad times I may say that Mr Warren informed me that long ago Mr Ehrenfiied promised (verba'ly) to reduce the rent to 5s a week. (This Mr Ehrenfried denied). Mr Ehrenfried has gone and seized everything, without the slightest consideration for the rest of the creditors, he only wants to get his own, and has shown no consideration to the other creditors. Mr Ehrenfried : I am prepared to state that since Mr Warren took charge of the hotel some three years ago, the rent I have received would not average L 2 10s**per week. After some further desultory conrersation, the meeting closed.