MEETING OF CREDITORS

Otago Witness, Issue 4028, 26 May 1931, Page 26

MEETING OF CREDITORS

WOOL AND SKIN BUYER. A meeting of creditors in the estate of Garnet Sebastian Cabot, late of Balclutha, but now of Dunedin, wool and skin buyer, was to have been held in the office of the official assignee (Mr J. M. Adam) on Wednesday afternoon, but lapsed for want of a quorum. Bankrupt was represented by Mr C. B. Barrowclough. Bankrupt’s statement showed: Unsecured creditors, £3926 15s Id; secured creditors, £1383 (estimated value of securities, £597) ; assets, £490 (stock in trade £l9O, property £300); estimated deficiency, £4222. The principal unsecured creditors are. Waters, Ritchie, and Co., Dunedin. £3438 3s 2d (partnership debt), and £230 19s 2d (private debt) ; Clutha Motors, Balclutha, £62 3s Id; A. Turn bull, Owaka, £26; M. G. Shepherd, Bal clutha, £2l 3s lid; Wilson Elliott, Bal clutha, £2O 19s 6d; J. Ludlow, Bal clutha, £l6; N. D. Smith and Co., Christ church, £l6, South Otago Newspapers. £l5 9s 6d.

The secured creditors are: Estate of A. Cohen, deceased, care of Public Trustee, Auckland, £6lB (value of security £300) ; Allan Bishop, Dunedin, £6lB (value of security £150) ; National Bank, Balclutha, £147 (value of security £147). The property consists of a freehold section in Clinton, valued at £5O, and a freehold section in Balclutha, with store, valued at £250.

Bankrupt handed in the following statement:—Towards the end of April, 1929, I was offered one-third share in the wool and skin buying business previ ously carried on by Mr Bishop at Balclutha, known as Bishop and Co. 1 had no cash, but approached the late Mr T. Ritchie, and on the strength of my past experience in the wool and skin business in various parts of Aus tralia and New Zealand, Messrs Waters. Ritchie, and Co., on his recommendation. offered me an advance of £2OO, which •was paid into the partnership business. The new partnership was carried on under the old name. The sum of £2OO lent to me was paid to Mr Bishop, and left in the business. From the com mencement of the partnership, prices began to fall, and the firm was buying on a falling market. The firm of Messrs Waters, Ritchie, and Co. handled all our purchases, and the debit balance with them steadily increased. Prices of skins, etc., continued to drop, and after the death of Mr Ritchie last year it was found very difficult to ob tain further advances from Messrs Waters, Ritchie, and Co. Towards the end of last year I assigned my life policies to the National Bank of New Zealand at Balclutha, in an endeavour to help the coinpany’s affairs, but, as they had only just been taken out, and as I have been unable to keep up current premiums, these policies will have lapsed. Owing to the difficulty of finance my firm was compelled to stop buying since early in January, and owing to the pressure of private debts it has been found impossible to carry on. I can only attribute the firm’s present position to the unprecedented slump in the wool and the skin market, which has placed many businesses in the same position as Bishop and Co. Since the business of the firm stopped early this year I have made every endeavour to obtain a position, but so far unsuccessfully. In the circumstances I am unable to make any offer whatever to my creditors.

Bankrupt, sworn, answered a number of questions put to him. The official assignee said, as there was no meeting, no motion could be brought forward. It was simply a matter of the realisation of the estate.