IN BANKRUPTCY.

Gisborne Times, Volume XXVI, Issue 2208, 4 June 1908, Page 2

IN BANKRUPTCY.

CHAMBEItS AND KEAAI. Tlie first meeting of creditors in the estate of Messrs Chambers and Ivi ain, builders and contractors, who were adjudged bankrupt on May 2b, was held at the office of the Deputy Umciai Assignee, Mr J. Coleman, yeaten! ay afternoon, when there were present, besides Keam add his solicits). (Mi E. H. Mann), Messrs J. D. Ti: still, G. Evans, W. Webb, Quecuin, H. E. Hill, Wade, and .Smith. Mr H. Bright represented the wages men. M ssrs iStevenson and Tanner. The statement filed by Peter Thomas Kenni, one of the bankrupts (previously published) showed the firm's liabilities to bo £551 19s ijti.. as.;ets £590 17s, deficiency £155 2* lid. Air Tustin questioned the representative of wages men, declaring that judgment had been given for a greater amount than was due to th m. —The Assignee said lie would take a note of the point. Air Alann pointed out that Keam’s private estate showed a surplus. Bankrupt, examined by the Assignee, detailed his entering into partnership with Chambers (as given in his written statement). He could not say from the timber accounts lion much material went on to the various jobs, and what their loss on them was. He had'contracts amounting to £550 and £590. He put £570 into tile business, and they had lost £s7ft over it in under twelve months. His cash-book would show the amounts paid in, etc. He accounted for his bankruptcy owing to the contracts not paying them, being taken under their price. He was not, a builder, and had had no experience in contracting. His part of the business was to look after finance and see that the material went on to the ground. He did his best to keep proper accounts. Sometimes ho received progress payments and sometimes Chambers did, but at the latter end of the year, when lie wa6 at Waimata, there were but few entries, but lie could not say if Chambers received money and did not account for it.

Ho considered that' the contracts were taken too low, and were not properly carried out by Chambers, who had charge of the practical portion of the business. To Air. Mann: In December lie realised that the business was not paying, but they were then still solvent. They were each supposed to put in £250. He (Keam) put in £3)O, but Chambers only £54. The Jitter had been trading on the statement that lie had capital coming te him. Chambers had told him and various creditors that lie had money coming to him, and that was what induced him to go on. Chambers brought him in one day to sign a bill for xxtW at- 20 per cent., which Chamers was to repay himself, lint- ho (Keam) declined to sign it. Witness detailed liow Chambers had left without warning, and lie had since been unable to ascertain his whereabouts. After that lie had a meeting of creditors, who had deckled to force on the bankruptcy by a creditor’s petition, as ho (Keam) could not do it himself.

Air. Mann said there was a difference of opinion regarding the work at Strackan’s, and proceeded t 0 examine bankrupt upon the matter. A Mr. Moore, Keam said, luul had this contract previously, but- had only built the woolshecl when he refused to proceed with the house. His firm undertook to do the balance of the contract at £274, ami Air. Brownlee prepared a new plan. He was to work on the previous plan designed by Air. Natusch. The price for this new. contract, which was not signed, was never agreed upon. Air. Brownlee- sugggested that they should go up, and after going through the job fix on a- price. Mr. Brownlee, however, took Air. W. 0. Skeut up to value tlie work and he objected to his engagement as assessor. He (Keam) contended their was no contract, as the original contract was never entered upon, and his claim upon Strachan was for the value ol' the work done. Air. Tustin contended that tlie bankrupts had a clear claim as there was no contract. He would- move tb.it Air. Wade and himself be appointed to Met with the Assignee to settle the matter with Air. Straelian. Air. J. Queenin seconded the motion, which was carried. Messrs Tustin and Wade were appointed to act with the Assignee regarding the disposal of the machinery, etc. Air. Ain nil asked .if there was not any possibility of doing anything with Chambers. There was no want- of diligence on the part of Keam, who had suffered most at Chambers’ hands, hut until lie was brought under the bankrupt«jy regulations they could not take any action against him. Air. Tustin asked whether it- was not possible to do something to recorer some of the money Chambers spoke of as. baying at Home. Ho further , urged that- when Keam applied for his discharge they should not take any action against him. since ha had acted straightforwardly throughout. The meeting adjourned at tlii-s stage.