“AN OPTIMIST”

Hawke's Bay Tribune, Volume XVII, 22 November 1927, Page 6

“AN OPTIMIST”

BANKRUPT COMMISSION AGENT MANY QUESTIONS ASKED. F. M. QUIGLEY AND HIS CHEQUES. “You must be an optimist. The whole position is anything but satisfacory.” This was the view expressed by the Official Assignee (Mr G. G. Chisholm) yesterday when he presided at a meeting of the creditors in the bankrupt estate of Frank Martin Quigley, commission agent, of Hastings. The financial statement showed that there was £145 owing to unsecured creditors and £5O to a secured creditor. The assets (furniture) is valued at £BO, leaving a deficiency of £ll5. PERSONAL STATEMENT. Bankrupt’s personal statement read as follows:—•‘For the last three years 1 have been doing accountancy and general commission work. 1 have been able to earn very little money during that period, as 1 could not secure regular employment, though 1 have tried very Hard to do so. The reason 1 was unable to obtain work was due to the geeneral depression in Hawke’s Bay, and to the prevailing slackness of trade. Since my previous bankruptcy in September 1U24 at which time 1 Had no ass,ets. 1 have had to buy furniture and have also paid a considerable amount on: dents incurred before my previous bankruptcy. 1 have been tor the last year or so almost constantly out of muployuient and consequently have not been able to meet my obligations, to my creditors. 1 have no assets excepting my furniture, which I value at £ho, and which is under bill of sale for about £5O. ft was owing to my being arrested under a conimital warrant that I had to file. 1 have a wife and two children dependent upon me I hope at a later date to ue able to mane a substantial offer to my creditors.”

EXAMINATION OF BANKRUPT.

Replying to the Official Assignee, bankrupt stated practically all the debts aad been incurred during t.ie last two and a bait years.'His average earnings lor that period were between £luo and £l2O a year. He had received assistance from his brothers to help him out at various times. His work was similar to that prior to ins previous'bankruptcy. In January last nis office was burnt and his. books were burnt. Since tlien he hag icen no object in keeping books.' “Ther e is one feature about these proofs, and that, is the number ot valueless cheques. How do you account for that.”’ asked Mr Ulusliolm.

Bankrupt.— 1 was always borrowing money’ to meet them, but some times was not able' to.

The Official Assignee went through the proofs and informed the meeting that there were seven cheques in the list of If) proved creditors. • • How long is it since yuor account at the baiin was closed . ” he asked.—About three mouths ago.

You iiuvc nut issued any since them? —is o.

aow hi it not a fact that you have been trading on the cheques knowing that you hud nothing tu meet them) —1 thought 1 Would bo able to meet tern when presented.

“You must be an optimist to expect to meet them with only £IUU to £l5O a year coming in,” declared the Official Assignee, wno then asked bankrupt how many and what was the value of the cheques he hud issued.

•'1 don’t know,” replied bankrupt. ‘' 1 cannot see how you can expect to do anything in this business nay. You have been earning a boy’s wages and expecting frienus to help you cut.. lou must have known that you would have to meet trouble,” slated Mr Chisholm.

It’s only this last twelve months” replied the bankrupt. The Official Assigueo commented on the tact that bankrupt had not ch inked his work, even though ho knew it was not -a paying one. Bankrupt replied that he had made “heaps” ot money before tho slump. “It’s anything but satisfactory,” declared the Official Assignee in asking if there was any creditor who would like to examine bankrupt.

BANK BALANCE OF TUPPENCE.

“When you issued this cheque to Mr Meehan you only had twopence in the banki” asked Mr Al. K. Grant, who was representing Messrs J. Carr (May View;, H. Meehan and P. Boyland- (Napier).—Yesl . 1 expected to have put in £35 the following day. »iow, you guve a receipt to Mr Carr for certain goods?—Yes.

You know those goods were never delivered?—Yes, 1 Know that. 1 explained how it was to Mr Carr. Bankrupt denied the suggestion that he endeavoured to make Mr Carr believe that the goods were actually on th e way.

At all events £5/14 has gone into your pocket then I--Yes, that is so. You did Mr Carr’s books and income lax returns did you not?—Yes. You know he has been prosecuted you had failed to put in those returns? —Yes 1 know that. It was my fault for the last two years. An accountant would soon put them right. “Yes, an accountant is doing it now” declared Mr Grant. “1 hope to make an offer to you if given au opportunity” stated bankrupt.

“ What do you mean by opportunity,” asked the Official Assignee.— Tim e .in which to settle down in a position.

Anyway, what is this position?— Ob, there’s one at Taihape and one at Waipukurau.

MORE ABOUT CHEQUES.

Referring once more to the cheques tli e Official Assignee asked if bankrupt had not issued them faster than lie hud paid them off. After asking the question twice bankrupt replied that he had.

“When you issued that cheque to us and collected tho cash you knew full well you had no money to meet it. Is that not so?” asked Mr .1. W. D. Harvey.

Bankrupt: No, 1 honestly thought 1 would be able to meet it. 1 put in £5 a few days later. Mr Cotterill: The-cheque returned to us was for a small amountof goods and the rest in change?—Yes. The Official Assignee: Do you honestly say that at the time you cashed those cheques you thought you would be able to meet tem?—Yes, Sir. Mr Harvey: What did you do with the money you received from us?—l paid some accounts with it I suppose. I did not waste it. Mr Grant: Isn’t it a fact that before your previous bankruptcy you were issuing useless cheques?—Yes, but not to a great extent. SHOULD DO STEADY WORK. Mr Harvey: How long is it since you have done any, work?—l worked all last week. ‘ Don’t you think it is about time that you realised that this commission agent business is no good seeing that you have been bankrupt twice? —Yes, 1 realise that I shall have to get some permanent work. The Official Assignee: You must have known a long time ago that you wore unfinancial. You should have got down to hard work then. You have made a pretty feeble attempt to make a success. You had your chance three years ago.

“I have no intention of applying for a discharge until I have done something for my creditors” remarked the bankrupt.

HOPES OF MAKING AN OFFER.

“When do you expect to go to this job at Taihape?” asked Mr Harvey. —lt may not bo Taihape. Tho Wai-pukurau-job is a better one. I honestly expect to have a permanent position by the first of next month. When can you make an offer then? —I hope to do so in three months. Mr Grant suggested that tho meeting he adjourned pending any pro cccdings against bankrupt. On the motion of Mr Car seconded by Mr Harvey, it was decided that the meeting bo adjourned for three months pending the offer from the bankrupt.