DEFICIENCY OF £1470

Taranaki Daily News, 16 December 1926, Page 9

DEFICIENCY OF £1470

(FARMER GOES BANKRUPT. UNABLE TO MAKE FARM PAY. A deficiency of £1470 9s lOd was shown in the estate of Alfred Kilpatrick, farmer, late of Omata and now of Barrett Road, who appeared before the Deputy Official Assignee (Mr, J. S. S. Medley) at New Plymouth yesterday. Kilpatrick, who was adjudged bankrupt on the petition of the mortgagee of the farm he had originally farmed at Barrett Road, attributed his failure to the farm being too small and the price too high to enable the farm to be worked successfully. The meeting was adjourned pending the submission by bankrupt of a statement showing his receipts and expenditure during the past two years. Bankrupt and counsel were present, the creditors present or represented being the petitioning creditor (Mr. J. C. B. Walsh), Mr. S. Teed and Mr. Robert Kilpatrick sen. The financial statement showed that a sum of £486 18s lid was owing to unsecured creditors. A sum of £1773 10s lid was set down as owing to secured creditors, the estimated value of the securities being £790, making a balance to contra of £983 10s lid, and the total debts £1470 9s lOd. The amounts owing to the secured creditors were as follow, the estimated value of the security being given in parentheses: John diaries Barry Walsh (or his submortgagee), £l4Oll (£750); Farmers’ Co-op., Hawera, £4 15s 6d (nil); Adam Kilpatrick, £365 16s 5d (£4O).

lIIIIBIMIBBM The unsecured creditors were; Trustees Robert Kilpatrick, £450 and over; Taranaki Agencies, Ltd., £4 5s 6d; Bruce and Feakins, wheelwright, £2 7s 6d; J. Roberts, blacksmith, Ils; Drs. Walker and Blackley, £l2 7s fid; Teed and Co., chemists, £2 4s 6d; Weston and Billing, solicitors, £5 ss; Taranaki County Council, £3 15s; C. A. P. Wood, Omata, £3 17s 6d; R. C. Stanton, Omata, £2 5s sd. In September, 1920, he purchased from Mr. J. C. B. Walsh the farm of 50 acres on the Barrett Road at £37 an acre, paying £5OO cash and giving a mortgage for the balance ( £1350) for seven years at 5J per cent, per annum, said bankrupt in his written statement. His father guaranteed his account at the bank to the extent of £5OO to enable him to buy stock and carry on the farm. The property was too small and the price too high to enable him to work the farm successfully, but with the assistance of his wife and hie earnings from a cream carting contract, which he had for about five years, he was able to keep the interest paid up until this year. The contract ceased during the current year, and he realised that it was impossible for him to carry on the farm without a very large reduction being made by the mortgagee. Negotiations with the mortgagee broke down, and the latter then forced him into bankruptcy. His estate showed a large deficiency, but this consisted principally of the amount owing to his mortgagee over anjl above the estimated value of his security, and the amount owing by bankrupt to the trustees of his deceased brother, Robert Kilpatrick The balance was owing to his father in respect of the overdraft guaranteed by him. His wife and he suffered from bad health, and he saw no prospects of making any offer to his creditors. Examined under oath, bankrupt said he was a married man with two children. He was now working at Huirangi as a labourer at £4 a week. Finally it was resolved, on the motion of Mr. Walsh, seconded by Mr. Teed, that the bankrupt be asked to supply a statement showing his receipts and expenditure during the past two years.