SHOULD IT CEASE?

Dominion, Volume 2, Issue 612, 15 September 1909, Page 7

SHOULD IT CEASE?

mniINATIOn OFMR. PAHERSON, PROCEEDINGS AT NftPIEB; THIBTEEN-IfONTHS "ON THE BACK;"'.. ■■''■' '''■ ■ (Br Tcloisraph-SpMlil OorreeDonileatj • ; .;■'■;. ■-'■.'■:"-" '.Naolsf, September U;-;;. . : Tho publio examination of John James.Pat,;.., terson, solicitor; of Dannovirke,'again occupied' the attention of Judge Cooptr at tho Supreme : -.; -.'. Court this , morning. Mr. Currio appeared for ,|'jj tho Deputy-Official-Assignee, Mr. Cresswell for '. -.t: bankrupt, and Mr. Lusk for Crohby and Co,' ;■'.'.; .'; and Pnterson, ATossman and Co. .-;. : : ' ;: ■ '.' .:.,'

.■.'■Mγ.•■'Currie said that ''■'. the Official- Ae6ignee.': •' and debtor had conferred with regard to tho proofs of debt, and. these' had been settled na''' '■" fnr. as possible.■ There.w«ro.a. few ill'dispute, ;',.-': however, which might cause furlhov question- ■■

His Honour said that'he did not know that' proofs,of debt,wero a mattei , ' for ooneidcration in the public examination of a dobtor. There were always mews whereby the Official Assignee might dotermino if a proof of debt was a valid one. • -.-■ : ■.■•.-. . -, ..-,■'.-.: ' ■ .

Mr. Currie stated that, in .the event of thl Assignee' having to exercise his powers,. th». '..., issi&tanco of the debtor might bo required.'■'...-... '..• The debtor: I havo promised to do all X can , . to help them, your Honour , . -,'.-'■ '.' . His Hondiln-'Tiio fact 'of'the'public examine-' -' tion does, not dispense with.the debtor giving further information to the' Assignco if desired. : itr. Cuviie drew attention to the provision ot. '>■'■ th« Act dealing with public examinations. , .'.;•.' 'His Honour: Ido not think that \[ can do-. ''."■'-. claro the examination closeH unless,it can.be . . shown that'the affairs of the debtor have been:- ,; properly .investigated. :, . ■'■■:■■ ■■ : •,,■■.,:..-.■ ~Ju\. Carrie:. I can absolutely, say,, that .his :/,/'-' affairs have" not boen sufficiently investigated. ,v .. ■: : Hfs Honour observed that, as .far'.■us the ex- ■ . animation bad gono, it showed that'further in-, '•,;'■: - formation; was necessary in regard 'to the , - ■■'-'' :: Bunnythorpe and - Weber transactions. '•■;,• ■'■■. Mr. Cresswell eaid that he.would ask thaithe -••■.'.■' exnmination should be closed:. ■~; / ' His Honour: I ain not disposed to say that tho debtor's affairs have besn,sufficiently in.':',// vestigatedS .•.';•■■■.'■■,-/.•■':'.-:. ■./-'•' • :■>-.■'•■ <■ :" : :>''-y if Mr. Crosswell replied that the-debtor hud- >/ now been'bankrupt for thirteen Ho■'■-..- ,'': had been:eknmincd by;tho Official Assignee and ••,':-.,. (exclusive' of yesterday) had been' under, exam-'. V matibn for forty hours. He (counsol) thought-■;/■ ; that it was the duty of the Assignee to probe /.,/„■ the matter furthor at' this-heatingi and' let the,',:'/: examination bo closed. ,-. / i v..;-.-■•' ' :'*;;■',;•!-.:.■■<■,'•> '■''•'■, His Honour said that if he declared the/ :. examination ( closed he ..would have-to make a '.' declaration .contrary to. his ■own views. ' Con-" '.'• V; tinning, his Honour stated, uiat tho debtor had/ '.: not kept'proper books; and' hod been engaged , ,'; , s in financial "transactions. involving consider- ■ able, amounts -of .'money-.with his .wife.' Ho •■ v'. 1 .- had also icon 'engaged, in transaction^./with ;.-' / other persons, but, owing to not keeping,proper. ■'•:.-, : books, for which, ho had been punisSodi the.--.; Assignee was unablo to eluoidato a good many.'-.'"-,■■.',' matters that ■ required investigation.; . It ; was.. ,: impossible that he. (his Honour) ceuld -say ■■'"-;-: that tho affairs of, : the: bankrupt ,'. had been . ;--V sufficiently investigated.: \ ■■-■ -.■,;.•: ■:: r •■' Mr, CrosswcUi If this is so tho man will be-;;/ in .perpetual bankruptcy.' ''•-'. ■;'•' ■ ">'"-.'•". . > ' '-.'■'"■' His Honour'pointed out that, owing to nis" own prior knowledge"; of tho case a - ',- , motion which -came before,: Jiim: in , , Wellington :.-.;■;■; referring to a composition; with' the '.creditors, -'. :-.. he ablo to prevent the- bankrupt, making'. , ■, ..' a .serious blunder involving some There, ■ • was , als()-a 1 8umr ; of. : JJ30p0;.'nnd the bankrupt - • / could not say into-.which' bank he had paid the, ■-: '■• money. ■'' ■•'■ :■ ■ ■'.'.'- '.;■■'.:\'- ■■'.'';:.■.;■'■ , •''■.' ;'■.'■. The debtor; .That money went jnto'-the bant ■■::•' I am very sorry, that I cannot so.y into which bank, it-wont, and. the'oxainination-.will Mver::. '■• be.clos'ed at.'this i'rate/.becausfi.l.caniiot.eay,:;.'-. ' where the money wont. , . I cannot romember ■■ i everything, and I'havo been.-thirteen.months.. .... iow hanging betweonneavoh and earth unable : to get anythinE' to-do.' I could-explain every.,-.., ': thin^if.l;had my cash b00k.:,: v.-. ; -;y •■ ■'. '■ r V 'Hi? Honour reviewed the-proceedings leading , up' to, the bankruptcy, and a com- .;-. position with, the creditors had.lfeen delayed,'; \ in orier that the debtor might obey an order of • ;. the Court to produce hie cash'vbopk. .In.tho i meantimd.a ; fire-had':6ceurred. in' the.-dobtors -; ofHce, and the,;cash hook iwasj destroyed, w; i>: : The debtori,l was npt responsible"lor vthat I • - '.-:' His Houou'rclam now suggestinE that a trne ; ■ investigation (Sf.'ytiur affairs'was necessary, and i Bivoh'ia.n,. opportunity; to: produce ;.- ■;,, your cash book; and you did not do it.. : r ;..The debtor,-pointed, out .teat, this order,waß. ; mdde'on Deccinber; 18.:'-'.::,,'- '■'■.' \ .'. : - His Honour repeated that an.ordor.had peen < made that the debtor should •produce hie boote, : l and- ho. had' not done. so. ■. The pauaty of, the ■■■■-, information, his'llonour' went, . that ho was not now-disposed to Bay_«intrary. to hisownviewsthdt tho debtor!.! affairs hod been sufficiently investigated.: How,far this, examination should go on, hovrever,,ho was not : , ■ ■ give any ; further: , information' than- ;I '.UaTe. , I.God: kiowst-i:'have,-had'bothef ;:ohough l;l .auil.'. 1 cannot remombor , everything. ,i: ; i,:i', 1. ''' : i- Mr. 'Cresswell asked ■.that- a' limit of Hm»: should be fixed for. tho .extension of tho ox- -~-; aminatibn, and'that' the position should not , ,; 'bo.'left" indefinite. -If some limit Of,;tuae was . fixed, the'dobtor would, in the meantime, place- ;- himself at the disposal of tho Assignee.,->■; Mr. CurHo said thattho did not :wish ha.:.-.-'■ loarued-friontf to iniortiwt there mi'umr-.:.':.:.: desiro to stretch tho bankrupt^n , the taofcj , for.any unduo .extension of■-fame.-',. 'lt .was-! ■: ■■• the; desire of-, tho Assignee to have' nfiairt'i . wouiid.up with the utmost expedition, as ltf, ; ■ was his diity;to■ doj bht further iutematu>a>. :,,'•_ was required from tho debtor. ■..;:' '■.■„:■•;' ' i.Tho.debtor: Tho A6signeo has had IS montis 1 ', to-go : iuto everything. :■'- , ■;.'.■■: 'y-.M^:.-S' His Honour pointed ont. that- tho Assignee's , ;. difficulty had been increased owing ,to tho '~ ,: destruction , of .the, debtor's; books. .-Mr,, Currie-i ~ ■: said that it was only■ in.-.March.,last4hat;jtlie_— _'. prficeedlngs for'a-composition were dismissed, ''... and tho--Assignco''.had not, had much chance,...„•;' of dealing with the estate for. the purposes' ol ■ '; realisation. •:■:.■'.:'','■ ■■■■'.'■'"'. '*: The evidence was then ,road> over to . the :■.•,-■ debtor,,and signed by him'.., ''■ .:■./'■ :.. V' : ,' ! ,' flia Honour .asked Mv; Currie-u he had anj ;;-.::., application to make. ..'■ . , ■■■'■■ . .- .a. -. ■'Sir.i Currie replied> that he,did. not wish , ; .loinako any application, as, ho'was: satisfied -.- -:-. .with, the:information'as..far,-as..ifc had:gono..;,: , If. his friend, however,'wished: the cxamna- " ! fion-tobo closed, ho.XMr. Gurrie)-would-oh. : y ject. -.-.,:'. : : ':. •,.-.'•: ■:■■}':."■•'': ■■' ■'■?•■■ '■-■'■ "''■■':..': - His Honour, said that ho thonght that some ./; limit of timo. should bo fixed. Jho cxamina-'■'-. /; tion conld iiot go on forever.. ■..'.' Mr. Crosswell said, that he' was ; agreeable, if his- Honour fixed a limit "of tini<?. . ; ■-. >, ' . . His Horibur: then! niadi tho following , order! . :, —"Adjourued for .one., lnon.thj.'wjth- liberty, .t0:.,..; tlio. Deputy Ofßoial Assignee to apply to tho Court .for a further' a-further ■;.''''• cxnminntion; notice of such application ..toibo,--'.'. given to tho- debtor seven days at. least b0 , ..-' ■ lore making it,' nnd, if a further examination is: desired, at least-seven days'- notice, to.'be : giveu to tho debtor of tho matter on which , ,■ such examination is. dbsircilii application l !for , Such further adjournment biv exajnination to be made to. me in; Wellington." , ;'....- ••:.. .' ;...--■ '.' Jlr. Cresswell mentioned: that the, bankrupt ■ ■ had a motion for' discharge ■at - this sitting : - of the Court This,, of course, - possible, but he asked if his Honour could' hear tho application', in Wellington when the public examination'was concluded. His Honour' . replied that ho would not hoar the application of a Napier bankrupt inY\YollingtpH;."aj.-'.-, -. some of tho creditors 'might wish to bo ropro* i ' seiited. The application would have to bo adjourned to- tlio"'ries't sittiiig.'bf ■■ the' Court ' . ■' .-here.,.--. X, ..: . ...,,-'. ■'■:' .'_.'■ ....:..■.'.,.'.. '.''...;:;.;'.;' Mr. Cresswoll agreed that this was the only .course .to adopt. ', ■■:.:' . .';- ■ '■'■■ '..•'' .This closed the proceedings; .. '.-' , :; . .' ,