IN BANKRUPTCY.

Manawatu Herald, Volume XLIV, Issue 2433, 25 May 1922, Page 2

IN BANKRUPTCY.

CREDITORS’ MEETING.

The meeting of creditors called for by the Palmerston North D.O.A. (Mr C. E. Dempsey), to enquire to the affairs of Herman Edward Hughes, cycle dealer, who had tiled a petition in bankruptcy, lapsed for want of a quorum, on Tuesday. Bankrupt in his statement said that he was in business for 14 months. He had £4O of his own when he ■ purchased it. The stock taken over amounted to £3S7. He paid the owner £SO deposit, and the balance was paid in April, 1921, by cash ad- ' anc-ed by Mr Smith, who took a security over some of the plant, with a collateral over his reversionary interest. in his father's property. The business was very good for the first two months, and then the tiaxniilh closed down, and trade fell off accordingly. When the mills opened up again, business did not improve. During the first eight months" he employed a man as a mechanic at £5 per week. He was a single man and"" had no one dependent upon him. The total expenses for the upkeep <>f the shop amounting to £8 10s per week, iho sales as shown by his bank book amounted to £SBO, and the gross profit was about 25 pet cent, which left a net c-ost of about £42(5. Most of the tools were taken by the landlord for arrears 1,1 l ' ont , and-he was now clear. Se\eial oi the remaining implements were sold for £7 10s. Reynolds and t, ‘ •'*<*<*ount for £162 was guaraivleed by his father. Mr \\. Smith, farmer-, Poston, (£350), was the only secured creditor. The principal unsecured creditors were: Reynolds and Co., Wellington, £102; Barnett Glass Rubber Co., Wellington, £Bl 4s; E. D. Bennett, merchant, Wanganui, £l4 lb's; Dawber Motors, Ltd., Palmerston North, £l7 16s 2d; Hutchison, Wilson and Co., Wellington, €l2 18s 2d; Gordon and Gotch, Ltd., Wellington, £ll 0s 6d; W. H. Hazard, gunsmith, Auckland, £ll Is'; f Adams, Ltd., merchants, Christ- ; church, £ls 15s. The total amount unsecured was £364 4s Id. \