GLENTUNNEL GROCER'S FAILURE.

Press, Volume LXI, Issue 18407, 13 June 1925, Page 4

GLENTUNNEL GROCER'S FAILURE.

MEETING OF CREDITORS. A meeting of creditors .in the bankrupt estate of John Teale, grocer, of Glentunnel, was held in the office of the Official Assignee (Mr A. Watters) yesterday afternoon. The total debts owing to unsecured creditors were shown as £926 8s Id, against which there were book debts amounting to £IBB 16s 3d. The deficiency was shown as £653 6s 2d. ■

The principal unsecured creditors -were:— Ford and Mirams, £142 Is 9d; Davidson nad Wauchop, £S2 7s lOd; A. S. Paterson and Co., £2O lis 7d; Vr\ H. Simms and Co., Ltd., £56 lis lid; E. Rcece, Ltd.. £23 }ss 84; £lO5 os 7d; H. E. Partridge and Son, £s* 7s 9d; R. T. Russell (Glentunnel), £2OO lis Id; M. J. Russell (Glentunnel), £42 10s. •v. In his sworn statement bankrupt said that he attributed his failure to bad debts and too many extended credits, also very keen competition. He started business as a grocer early in 1923 with a capital of £3OO. Everything vent well until end of 1924. Since then things turned out a loss, and he had lost £6OO in just- over two years. He was influenced to buy large stock, -which he had on hand a long time, and could not pay for in time to secure discount, and had to distribute goods a long diitance on the round, which made matters unprofitable. A great moving population had meant a loss of trade and debts. Everybody wanted goods delivered, some of which were never paid for. People who came to the shop practically always paid. He started a round to Lake Coleridge, and lost heavily. He had not at any time gambled. and sobriety had been his aim. He had been honest, and had worked hard for the benefit of all, and was really sorry for his creditors. He trusted that his assets would give satisfaction. He had a delicate wife and five children, and they had experienced a great" deal of illness. There had not been any extravagance or expensive pleasure or waste of any sort.

In reply to,the Assignee, bankrupt stated that he had actually been in business in Glentunnel, other than the grocery trade, for twelve years. Up till six months ago he was doing well. He then had about £320 worth of stock, and his book debts amounted to about £6OO. His liabilities were between £SOO and £6OO.

The Assignee: That means a loss of about £IOOO in six months. How does that come about ?

Bankrupt' replied that he had written off some of the bad debts. A number of those debtors he had not heard from for two or three years. There must have been a mistake somewhere. He was sure he was solvent last November.

Bankrupt continued that his wife had property at Glentunnel worth approximately £SOO, comprising a dwelling, bakehouse, and a quarter-acre of land. That property was in his wife's name under a marriage agreement to be transferred when convenient. Mr A, D. Ford: It was convenient when your creditors started to press you. The Assignee: We want some dear statement in regard to what debts have be em paid in to you. The present position looks bad. You will have to furnish some details.

The bankrupt said that he had a Savings Bank account with about £4 in it. In reply to the Assignee, Mr R; T. Russell said he had been employed by bankrupt, who owed him about £2OO in wages. He (Mr Russell) was a stepson of bankrupt. A creditor: Mr Teale evidently used the marriage agreement with his wife as a lever to get credit from us. O Bankrupt's solicitor Mr A. A. McLachlan, said that the agreement was not a fraudulent one, fixed on the eve of bankruptcy, but was drawn up at the marriage. Mrs Teale paid to bankrupt the proceeds of the' sale of her property, which was really paving the way to marriage, Mr Ford moved that the claims of the Russells against the estate should be investi> gated, and the Assignee stated that he would go into the matter. The Assignee stated that he would also investigate the marriage agreement that had been referred to. _ Mr Ford said that the position was entirely unsatisfactory, and the bankrupt's explanation was .still more unsatisfactorv. Bankrupt replied that he had no intention of swindling anybody. The meeting was adjourned sine die. '