A BANKRUPT CONTRACTOR.

Putaruru Press, Volume VII, Issue 301, 15 August 1929, Page 4

A BANKRUPT CONTRACTOR.

CREDITORS’ MEETING.

Affairs of W. S. Henderson.

The affairs of William Simmons Henderson, contractor, who had been declared a bankrupt, were inquired into by creditors at a meeting held on Tuesday afternoon. The official assignee, in an apology for non-at-tendance, stated that this was due to the fact that there was no money in the estate to pay his expenses from Hamilton.

Mr. A. E. Barr Brown was elected chairman. The secured creditors were: The U.A.O.D, Wellington, £373; Gerald Martin, Pukekohe, £7O; Inglis Bros., Wellington, £392. The unsecured creditors’ claims were estimated at £321.

The chairman briefly recounted the steps that he had taken when he realised that Henderson was in a shqky condition, in order to try and get some money owing to the bankrupt by the New Zealand and B.C. Timber Company. Henderson’s dealings with the concern were apparently the cause of his downfall. The bankrupt, R in his statement, stated that he started on his own ac- | count as a contractor in 1923, when { he undertook several contracts that proved successful. Business continuwell until 1928, when he entered into a sort of a partnership with Mr. G. Deyell in a contract with the N.Z. and B.C. Timber Company to deliver logs from the bush to the' mill, a distance of some five miles through a bush and clay road. Dufficulties, including a strike, were experienced during the carrying out of the contract, and only 1£ million feet of timber was found to exist, not three millions as previously estimated. Payments which should have been made fortnightly were never carried out. In nearly all cases when payments were made it necessitated a stoppage of work to go to Auckland to see the company. The company then went into liquidation, leaving the bankrupt a I final payment of £123 owing. A fire destroyed bankrupt’s whare where he had a quantity of gear, and he was burned, necessitating treatment in hospital. The bankrupt’s statement concluded by stating that he was a married man with five children, and that he was working on the road for wages. Hg was unable to make any offer. In reply to various creditors, bankrupt stated that there was no insurance on the gear destroyed in the fire. There was no signed partnership existing and each party s:upt separate accounts. He had kept no books. The chairman referred to the difficulty in getting any satisfaction I from the Timber Company, and creditors were strong in their condemnation of this company.

In reply to further questions, Henderson stated that he could not explain the details of his outgoings.

Mr. Tomalin said that the creditors were apparently not going to get any money. Bankruptcies were far too easy. It served the creditors right, for after all they were to blame in giving credit. Henderson had no right to have a wine bill or belong to a golf/ club. He was a young man and if given a rap over the knuckles he might thank them in later years. Continuing, Mr. Tomalin said that the bankrupt should make some small acknowledgment of his indebtedness, and then the creditors should give him a chance to make a fresh start. The chairman stated that everything Henderson touched went to the wall. Since February, 1929, the bankrupt had not incurred fresh accounts. Mr. Cavanagh was of the opinion that the bankrupt should be made to keen books. After a good deal of informal discussion, Mr. Tomalin moved that the bankrupt be asked to pay Is in the £ within twelve months, failing which the creditors would oppose his discharge. Mr. Spear seconded the motion, which was carried.

The chairman gave the bankrupt a few timely words of advice as to the need for keeping books and the danger of incurring further debts. The bankrupt expressed his regret at the position, and stated that if it were possible he would willingly pay 20e in the £.