BANKRUPTCY DISCHARGES

Taranaki Daily News, 29 August 1930, Page 13

BANKRUPTCY DISCHARGES

PETITIONS IN SUPREME COURT NATIVE AND WEST COAST LEASES. Discharges from bankruptcy were granted as follow yesterday by Mi. Justice Ostler: —Reginald Cecil Meredith (Mr. C. H. Weston), Bernard B. J. Mora' (Mr. R. H. Quilliam), Ralph C. S. Gibson (Mr. Quilliam), Hubert H. Maddock (Mr. Quilliam). The application of Hugh Chevalier Fake (Mr. L. A. Taylor) was adjourned by His Honour till next sessions. Mr. Taylor opposed the discharge of John Joseph Seheuber (Mr. P. O’Dea) at the present time. His Honour said the man had not been four months bankrupt. There was the question of investigating stock alleged to have been removed from a farm. He would adjourn the matter till next sessions. A motion was moved by Mr. D. Hutehen on behalf of the Manaia building and Loan Company for leave- to amend a proof of debt in the bankrupt estate of Emil Schickcr. ' Mr. A. K. North opposed the application, and His Honour said as the case was of importance he would take time to consider his

judgment. The West Coast Native .leases were the subject of discussion on a motion for an order that £3OO deposited by Ueroa Ngarewa with his solicitor (Mr. Roberts) at Palea should be treated as part of his bankrupt estate. After hearing legal argument His Honour reserved his decision.

Mr. L. A. Taylor appeared in support of the motion and Mr. L. M. Mogs opposed. The facts agreed on by the parties were that Ueroa Ngarewa was adjudged bankrupt on his own petition on October 3, 1925. No assets fell to the assignee. and no dividend was paid on proved debts totalling £253 14s 6d. :Ucroa was a part-owner in the Taumaha Native reserve administered under the West Coast Settlement Reserve Acts. The operative words in the title to the land given in 1882 were; “Do hereby grant to Ueroa Ngarewa (grandfather of the bankrupt) and others and their heirs all that parcel of land containing 2800 acres to hold them as tenants in common upon condition that the said land Shall be inalienable by sale, or gift, or mortgage, or in any way, except as follows: by way of exchange.” On April 30, 1930, the bankrupt advertised notice of his application for discharge and. later the application came before Mr. Justice Blair, who adjourned it.

On May 22, 1.930, the Crown, acting under section 109 of the Native Land Amendment Act, 1913, purchased from the bankrupt 37-} shares owned by him in the Taumalia reserve, which had- been leased to a European tenant under (he provisions of the . West Coast Settlement Reserves Act, 1892. As a result bankrupt was paid £335 19s 4d by two cheques, one for £35 19s 4d and the other‘for £3OO. ■ The latter was made payable to the bankrupt, who handed it to his solicitor with whom it remained unendorsed and unpresented for payment.

Subsequently (lie assignee offered not to oppose bankrupt’s discharge if he paid 10s in the £. Some days later bankrupt’s solicitor stated that a payment of £lOO would be favourably considered if the assignee obtained an acceptance in writing from all the creditors, this statement being said to be “without prejudice.” The assignee, however, was unable’ to comply with this condition.

The money in question was the £3OO. Mr. Taylor contended that being the proceeds of the sale of the West Coast leases it was not protected. Only the rents from such leases were protected. Bankrupt had converted an inalienable property into unprotected property. He reviewed the Act on the subject in support of his argument. Air. Moss maintained that both the rents and the proceeds of a sale were protected. The whole intention of the legislation was in that direction. He submitted West Coast leases were subject even to greater protection than other Native lands.