HINDU FRUITERERS

Manawatu Standard, Volume XLVII, Issue 9, 8 December 1926, Page 2

HINDU FRUITERERS

MEETING OF CREDITORS. PUBLIC EXAMINATION ORDERED A decision to have a public examination conducted was the outcome of a meeting of creditors yesterday afternoon in the bankrupt estate of Bodalia and Co., Hindu fruiterers, of Palmerston North. Bankrupts in their personal statements and under examination made certain allegations against each other and admitted having sustained losses in betting on horse races.

The D.O.A. (Mr C. E. Dempsy) presided, and there were also present: The bankrupt partners, Bliana Jasmat and Unka Ilira Bodalia, with their respective solicitors (Messrs Grant and Tremaine) and Messrs P. S. Rabone (C. H. Slater, Hastings), B. W. Hughes (Turner and Growers, Ltd., Auckland), H. Itohinson (Apsey and Co., Hastings, and Somerville and "Wilson, Auckland), and H. Mullaney (Hawke’s Bay Fruitgrowers and A. J. Poplo and Son, Auckland) The financial statement disclosed that there was owing to unseccred creditors £668 13s 9d, while assets amounted to only £l3 los. The creditors are: —"Wellington : Laery and Co. £l3 Is; Townsend and Paul, £l3; Bourio and Co. £ls; Thompson Bros. £1; Gamsli Auldia, £35. Palmerston North: Barraud and Abraham, Ltd. £6 os 6d ; Lyons, £6; H. L. Young, Ltd., £11; Makau Suklia, £10; Dahia Bhana, £3O; Parbhu Suklia, £4O. Hastings : Apsey and Co. £43; Hawke’s Bay Fruitgrowers, £6O; Garton and Fawcett, £11; Slater, £l6; Harris, £26. Auckland: Turner and Growers, Ltd., £73; Somerville and Wilson, £80; Pople and Creamer, £2B; Winks, £2l 7s 3d. Wanganui: Dymond and Co. £ll3. Bunnythorpo: G. 11. Gallop, £7. Pukekolie: F. Brown, £7. Napier: Johnston and Co. £3. BANKRUPTS’ STATEMENTS. \ In his personal statement Bhana Jasmat, one of the partners, said he was 26 years of age, married, and had come to New Zealand in March, 1919. He had £ls in cash after paying his fare of £SO. For some months lie had worked as a bottle-gatherer and had made money at it. In August or September, 1919, he joined in a fruit-bar-row business with other Indians in Wellington, and put all his money into the firm. He remained there until 1923, when he decided to join Bodalia in Palmerston North, the latter having two barrows and a shop in Rangitikei street. Bodalia remained in Palmerston North and he (Jasmat) returned to Wellington, where he did all the buying for the firm. Later, he returned to Pal* merston North and assisted Bodalia to work the shop and barrows. They had very little capital, and the £IOO put in was borrowed, partly by Bodalia and partly by the deponent. The only cash lie used to take with him to Wellington on buying expeditions was his fare, fruit being paid for by cheque. Practically nothing was taken out of the business by way of profits. Books were kept in which were entered cash takings and payments. In April, 1926, Bodalia went to Taranaki following a dispute over money. “I don’t know how much he took, but he later told me ho had taken £3O. I think it was more than that. He also took some money when he went to Wellington.” Bodalia returned in June and accepted Jasmat’s offer to buy him out for £BO, but subsequently “went back” on the arrangement. There had been £3OO worth of stock in the shop, and Jasmat did not know what had been done with the money received for it. Bodalia, he alleged, had failed to pay into the bank the cash he had, and so cheques were dishonoured. Had Bodalia paid in, he thought that one of them could have carried on the business. Jasmat added that ho had no money, was out of work, living with friends at Feilding, and could make no offer.

Tho other partner, Unka Hira Bodalia, in his statement declared that a little over three years ago he started business as a fruiterer in Palmerston North, Bhona Jasmat partnering him some eight months later. LTp till then. the business had showed a profit. Jasmat took over the business side of the concern and all moneys were banked in his name; while Bodalia worked in the shop and banked all moneys except such as were required for food, etc. Jasmat kept and still had tho books. It was when a dissolution of partnership was suggested that it was ascertained that the business was showing a debit. “I attribute my bankruptcy to having trusted Jasmat with reference to the partnership affairs,” concluded Dodaha’s statement. THE CROSS-EXAMINATION. Examined by the D.0.A., Bhana Jasmat admitted giving an order, without the knowledge of his partner, to Messrs Cooper, ltaploy and Rutherfurd to collect a certain refund of rent. Witness only knew the takings of the business from the books. Witness added that money required for the partners’ own use was included in cheques drawn for purchases of fruit. He entered his betting losses in the books. He had sent about 150 home to India from 1923 to the present date. This too went oil the books. “SPENT ON THE RACES.”

“I spent £3O to £4O on the races. It cost me about £1 a week to live,” added the bankrupt. Bodalia, when questioned by the D.0.A., explained tho method of handling the cash in the business. Sometimes he sent about £ls to India. He had lost £l2 in racing m four years. It cost him about los a week to live, not including clothes. The shrinkage in tho takings he believed to be due to the firm having paid cash for fruit instead of negotiating through the bank. He had borrowed £2O to go into business and had never paid it back. He had also borrowed £l2O from a cousin in India and had paid back £SO. When dissolution was first discussed he knew that the business owed some money, but not £330 as stated by Jasmat. Later, Jasmat said tho deficiency was £4oo, then £550, and then £6OO. In answer to Mr Robinson, witness declared that Jasmat, who kept" all th books, had brought no money into the business, which employed five countrymen of tho partners. To Mr Hughes, witness denied having any betting or other debts than those shown on his papers. Jasmat, questioned by Mr Rabone, admitted owing about £77 for racing debts. He never played cards On the motion of Mr Rabone, seconded by Mr Hughes, it was decided that bankrupts be publicly examined.