CONTRACTOR HAS BIG DEFICIENCY.

Star (Christchurch), Volume XLIV, Issue 185, 6 August 1931, Page 9

CONTRACTOR HAS BIG DEFICIENCY.

NEARLY 150 CREDITORS IN BANKRUPT ESTATE.

Showing a nominal deficiency of £925 7s sd, the bankrupt estate of George William Bettle, a contractor, residing at 9, Ilam Road, was considered by a !ar£e meeting of creditors this morning. The Official Assignee (Mr J. H. Robertson) presided. In reading bankrupt’s statement, the Official Assignee remarked that there were nearly 150 creditors in Bettle’s estate. The total amount owing to unsecured creditors was 2s sd. Book debts were estimated to produce £425 19s 7d. Assets, comprising cash and stock in hand, were valued at £8 15s. Mr Cavell appeared for bankrupt. Bankrupt, in his sworn statement, said: “ In 1923 I was running a coal-tar business. I found difficulty in finance, as I had started approximately three years before with practically no capital and the business had grown too big for me. In that year I sold my assets in the business to Dominion Paint and Tar Products, Ltd., which took over one-third of my liabilities, and engaged me as works manager for five years at £SOO per annum. This was carried out, and in five and a half years 1 paid £2OOO to my creditors.” Bitumen Business. On leaving the firm in 1 928, continued bankrupt, he joined up with X.Z. Tar Roads Company, receiving a salary of £5 weekly, and entitled to a share of the business profits. He received the salary, but few profits. He left the firm in January, 1930, and he then became interested in a bitumen business. In addition, this concern was to finance a mail-order druggist business which he had been running previously, and he was confident that it could be developed. Business, however, fell away with the depression. “ I attribute my position,” concluded bankrupt, “ to the fact that from 1923 to 1928 I paid off my old debts as best I could. Secondly, I was misled regarding finance and ’therefore incurred debts which I would otherwise have avoided. The slump was responsible for destroying what chance I had of recovering.” Assignee's Questions. Questioned by the Assignee as to his dealings as a mail order druggist, bankrupt said that he was not licensed as a druggist, but fully qualified. He endeavoured to sell goods that he made himself. He had advertised freely all ' ver New Zealand. Printing Expenses. The Official Assignee: It was evidently in this business that most of the money was spent?—Yes. I see most of the accounts are for printing contracts. Were they all carried out?—Most of them.

Bankrupt admitted that he had kept no books while in business. He had only prepared some for the meeting. “ Can you seriously come along here and face a meeting of your creditors with no books? ” asked the Official Assignee. “ The business was a cash one. The money came in and went out again, and there was no necessity for books,” explained bankrupt. Mr Branthwaite (representing two creditors), to bankrupt: You say that you make only £2 a week. Is that all you have in the home?—No, my wife pays the rest needed. “ Apparently your wife has been running the home all the time, while you have been incurring a lot of debts with no prospect of paying them,” concluded Mr Branthw’aite. “ Bankrupt a Long Time.” A Bankrupt has appeared previously on judgment summonses and no orders were made. This proves that he was bankrupt some years ago. Another creditor .said that from indications bankrupt had been struggling along for years with heavy debts over his head. Since about 1915 Bettle had always been in difficulties. A creditor pointed out that in March last Bettle had entered into an advertising contract with the Railway Department for five years at a cost to him of £B6O. Bankrupt said that he was convinced that this was a golden opportunity to revive his business. Mr Cavell said that he knew Bettle well. He was sure that bankrupt had made an honest effort to pay his debts. It was decided to leave the estate in the hands of the Official Assignee.