BANKRUPTCY.

Gisborne Times, Volume X, Issue 1032, 27 October 1903, Page 4

BANKRUPTCY.

ESTATE OF GEOEGE GOLDS WORTHY.

Yesterday aftc-moon the first meeting I of creditors in the bankrupt estate of George Goldsworthy was held, there being present Messrs Winter' Hamon, W. H. Smith, F. Ilali, Ifwcrson, L. iieos (for Kempthorno and Go., Partridge and Go., P. Dayman and Co., and W. J. Cox), J. B. Blair (for Hamon and Smith), Cogar, Maokrell, Gaudin, E. J. Chrisp (debtor’s solicitor) Nolan, and debtor. The debtor’s statement, which has already been published, was read by tho Official Assignee. In answer to questions put by the Official Assigneo debtor stated that he started iu business 18 months ago having £3O in stock when ho started and £6 cash. He attributed his bankruptcy to the goods being seized. If ho could have carried on he would ho,ve been solvent. He accounted for the deficiency by the heavy expenses he was under and the fact of it being tho winter when the seizure was made. The bill of sale was given to Mr Smith about five months ago. Debtor owed money to Hamon and Smith on p.n.’s. Smith took ovor the p.n.’s and took a bill of sale on stock mentioned in the bill of sale. The goods taken to tho auction mart tho other day were bought by Mr Hamon in Auckland and placed iu debtor’s shop to sell. He was to receive a commission on the salo of tho articles. Debtor did not buy the stock, and did not consider it is own. Hamon and Smith intended to start an auction mart, and had purchased this furniture. They altered their minds, and gave it to debtor to sail. , Mr Biair said he could show that this furniture was purchased by Hamon and Smith, The invoices wouid show this. Debtor stated he hud no claim on the furniture.

Air Hal! : Did I not meet you ono day when you wero coming out of Williams and Kettle, and you said that you were going to file because tho things hud been illegally seized ? Debtor : I remember speaking to you. Air Hall : And I told you that you required to be caroful about what you said, bocauso I was a creditor in the estate. Debtor : I was not referring to that furniture. Mr Hall : You don’t know wbat furniture it was. You tell one yarn one day and another the next day. You promised mo when you got money from me that you would give no bill of salo over the stock. It was your place to have come to mo.

Debtor : I could not come to you a second time for money.

Air Hall : But in the face of your pro mise to mo you go and make a secret bil of ealo with Hamon and Smith.

In reply to further questions, debtor stated that his object iu filiDg was to nullify tho bill of sale, so that all creditors wouid sharo in tho available assets. Ho could not say that the articles seized under tho bill of salo were the same as those on which the bill wa3 made out.

Ia reply to Me Gaudin, debtor staled that ho did not look upon Mr Smith as a partner in tho pawnbroking business. Smith advanced tho money to pay for the license and also tho money, lent on pledges. He also provided debtor with a safe. Afterwards the pawnbroking business was sold to Mr George Smith for the face value of the pledges, The pawnbroking books, including tho ledger, were now at Mr G. Smith’s.

To Mr Bees : Mr Cogar kept debtor’s books.

Tho Assignee stated that the books appeared to be made up all right. Debtor had kept proper books. Debtor stated that Harnon aud Smith came to him quo day and said : “ We will havo to get rid oi the pawnbroking business.”

Mr Hall : “ We.” That is all right. Hamon and Smith together. That is what we wanted to get at.

To Mr Blair : When dobtor sold Hamon and Smith’s stuff he kept it on a separate sheet. Every penny ho had ho, put into new stock, aod it was hard to say whether he was making a profit or not unless he took stock of every item.

Mr Blair stated that ail Hamon and Smith intended to keep as against tho other creditors was what was in the sohedu'e. Mr Smith did not want any more than what ho was entitled to.

Mr Bees : He would not get it anyway. Mr Blair : Still he might try. Mr Blair said Mr Smith was willing to give up any specific articles which were not in tho bill of sale. Mr Blair stated the safe reTorred to was bought by Mr Hamon and loaned to Mr Goldsworthy. Mr Oogar stated that the pawnbroking accounts were kept separate. Messrs Hamon and Smith wore tho owners of this business.

The Assignee said that ho had requested Messrs Williams and Kettle to withhold toe proceeds of tho sale of furniture until a decision was arrived at by tho meoting. Mr Stafford remarked that the debtor had upon one occasion told him that a quarter of tho furniture in the shop was not his own, but only there for sale. Mr L. Bees thought a full enquiry should be made into tho affairs ol the baukrupt. It appeared to him that there was souiothiug lilco an attempt to defraud tho other creditors.

Mr Chrisp favored the meoting being adjourned. After further discussion, it was decided to adjourn tho meeting until Monday next.