BANKRUPT GEM THIEF

Dominion, Volume 14, Issue 274, 13 August 1921, Page 5

BANKRUPT GEM THIEF

CREDITORS IN A QUANDARY PROTECTION OF PRISON BARS Creditors who attended a meeting held yoaterday in connection with the bankrupt estate of Herbert Julius Mailer, manufacturing jeweller, found themselves in a quandary when it came to securing tho attendance of. the bankrupt. Although in Wellington, and perfectly willing to meet his creditors, ho was, it transpired, in point of law. “beyond the pale.” Recently he was sentenced to a term of imprisonment for theft of a parcel of gems, and apparently the Prison Board regulations do not contain the necessary machinery to provide for such an emergency as has arisen. The schedule filed by bankrupt disclosed that his liabilities amounted to £2G4 18s., and his estimated assets to £342 9s. Cd. Tho principal creditors are as follow: —L. A. Norton, £2O; L. J. Brabin, £11: P. Hayman and Co., £10; Delmonte. -£6O; Treadwell and Son, £5O; C. B. Kline and Co., £4O; Leary and Beveridge. £l2; A. Hill and Co.. £ll. The Officii! Assignee, Mr. S. Tansley, who presided, told the creditors that a dispute had arisen over the ownership of a number of the articles included in bankrupt's stock-in-trade, and set down ns assets. The matter was now the subject of litigation, and until it was settled it would be impossible to form any idea hs to what the estate would realise. Mr. Tansley went on to state that .he had endeavoured to get the bankrupt there that day, and he had approached the Prisons Boaixl in the matter, only to he informed that it was quite contrary to its miles to allow prisoners to attend a meeting of their creditors. He proposed to visit tho gaol and examine bankrupt there before the litigation was brought on as to the ownership of lire supposed assets, a quantity of which wore claimed by Mr. Kline. The bankrupt laid claim to all the stock-in-trade as his own, but the ownership was really in tho nil- at the present time. Under the Act he could, as Official Assignee, get bankrupt brought before -the Qourt for examination. ' Mr. H. H. Cornish (counsel for C. B. Kline and Co.): We say that the bulk of what are alleged to be assets by Mailer are clearly Mr. Kline’s property. Mr. Hill: it strong effort should be made' to bring tho prisoner here. Tho Assignee: I- saw tho Controller of Prisoners and he says that Mailer can’t come down, and T T>n’t force him to. We had 'better just let the whole matter stand in abeyance until after the court case. One of the creditors asked if the pawnbrokers who handled the stolen gems had put any claim in, seeing that in the court they had pressed for £l5O, as a refund of moneys paid out to Ma iler. The Assignee: I don’t think they have any claim against the estate. They are your diamonds, are they not, Mr. Kline? Mr. Kline: Yes. The Assignee: Well, I don't know whether the claim should be against bankrupt or you. The meeting was then adjourned sine die, pending the outcome of the court proceedings over tho ownership of the bankrupt's stock-in-trade, which represented £340 of the total assets.