£53 DEFICIENCY SHOWN

Taranaki Daily News, 18 June 1932, Page 7

£53 DEFICIENCY SHOWN

SHAREMILKER’S VENTURE FAILS.

MEETING OF CREDITORS HELD.

Creditors ,in the bankrupt estate of Cecil Light, labourer, Waitara, met at New Plymouth yesterday. Light showed a deficiency of £53. The only creditor present was Mr. W- Johnston, x but Mr, R. J. Andrews was represented by counsel. The meeting was adjourned sine die. « Light in his statement said that from January to August, 1930, he had conducted a confectionery business in Devon Street in a shop in the Opera House block, of which he held a sublease from' Mr. McConnell and for which he paid rent at the rate of, £4 10s a week. Mr. McConnell held a bill of sale over all the stock and chattels in the shop to secure moneys which he had advanced to Light for the purpose of stocking the shop. The business did not prosper and he retired from it after eight months and Mr, McConnell squared all trading accounts and realised on the stock and chattels. Mr. McConnell took all the books belonging io the business. He had previously owned the section in Waiwaka Terrace which was sold. He had recently received notice that the mortgagee was intending to exercise his powers of sale under the mortgage on that section. He had done nothing in that matter,

In 1929 he purchased a house property in Chilman Street for £lOOO, paying £5O ■in cash. The property was under mortgage to the New Plymouth Savings Bank and to Airs. Cowling. It was let when he left New Plymouth and the rent was used as far as possible in meeting his liability under the mortgages. At the present time he understood interest under the first mortgage had been paid up to date but that no interest had been paid under the second mortgage since May, 1930. He had secured a position sharemilking with Mr. C. D. Chant, Huirangi, and he commenced there on September 1, 1930. The property, was stocked with 70 cows when he went there. He had received £282 0s Id in milk cheques from October, 1930, to January, 1932. Out of that sum he had to provide labour and meet all expenses of milking. He found it was impossible to carry on so he terminated his arrangement with Mr. Chant and went to Waitara, where he now lived. He had been fortunate in having secured work which for a. time showed him an average wage of approximately £4 8s a week, but that wage was now greatly reduced and he had no surplus above living expenses to meet his arrears in indebtedness and he had been forced to file. He had previously had a car but it was seized. He still owed money on it. He was a married man with two children- aged six and four.

Light’s schedule showed a total liability of £53 5s 2d. The sum of £907 was owino- to sectored creditors. The estimated °value of the securities was £9OO. Security was a house in Chilman Street and the mortgagees were the New Plymouth Savings Bank (£675) and Airs. Helen Cowling (£232). The unsecured creditors were: R. NSarten, Waitara, £2 10s; Airs. Retford, New Plymouth, £2 18s; New Zealand Dairyman, Wellington, 12s 6d; Education Department, £4 10s; W. Johnston, Brixton, £3; A. J. Andrews, Fitzroy, £22; H. Harvey, New Plymouth, £1; E. Reynolds, Waitara, £4; liquidator Canadian Knight and Whippet Co., Ltd., Wellington, £5 14s Bd. Air. Johnston said to his mind Light could have met his small debt if he had. tried when he was in a steady job. Instead of doing so he had filed. Counsel said it was the contingent liabilities that had been pressing bankrupt. Light said he was in work at present at a salary slightly under £4 a week, but the work was seasonal and he was liable to lose his position at any time. He had spent only about £3 on clothes in the pa-'t three years. There was some furniture but it was in his wife’s name. His only asset was a push cycle. He had not gambled on racing and had not spent more than about 3& a. week on drink.