IN BANKRUPTCY.

Rangitikei Advocate and Manawatu Argus, Volume XXXIV, Issue 9390, 9 March 1909, Page 5

IN BANKRUPTCY.

A statement has been prepared by Wm. Whishaw, land agent of Feilding, dealing with his transactions from the end of 1906 to the time he filed. Towards the end of 1906 he left Feilding and carried on business in Masterton for about a year. After being in partnership with Mr A. K. Greenfield for a few months he commenced land dealing “on his own.” He owned [a Decauville motor oar and exchanged it for two mortgages. This was the startingpoint of a somewhat complicated series of exchanges in which bankrupt acquired an interest in the lease of the Royal Hotel, Bunnyihorpe, which interest he alleges embarrassed him because he had many subsqeuent dealings dependent on the hotel exchange and the encumbrances were greater than estimated. In the/- course of his dealings bankrupt received a small De Dion motor car, which he has agreed to sell to Mr I. Saunders, Wanganui, for £75, and has placed in his assets at that price. A cottage in Ferguson street, Palmerston North, which he had acquired he mortgaged for £BOO and out of this he paid £2Ol on account of the De Dion motor car. He also paid board amounting to £25, repaid a temporary loan of £3O, and £ls commission. The balance was exhausted iu travelling expenses or remitted to his wife in Masterton. He subsqenently raised a further £SO on this property and ultimately sold it for £ls cash, the purchaser undertaking liabilities of £412. In June, 1908, bankrupt agreed to the sale of a Reid’s Line lease in consideration for an interest in ah hotel property at Riccarton. This was leased at £6 a week and he was to take over same subject to a mortgage of £ISOO. Negotiations fell through, but not till he spent a lot of time and trouble endeavouring to refinance. Stock to the value of £330 on account were purchased to stock the Reid’s Line property in anticipation of the deal and they were subsequently sold for £l5O. In June, 1908, he joined Mr Rollett in partnership. He put in all the* properties then held. Mr Rollett contributed £12.000 worth of shares in the Arcadia Co., and interest in other properties. The partnership was to assume a liability of £2OOO for Rollett’s debts and £BOO on bankrutp’s account. There was difficulty in completing the purchase of one block and it was finally saved at a cost of £10,846. An option over the Arcadia 00, shares had to be cancelled at a cost of £SOO. At the time of Rollett’s bankruptcy £7827 was owing to John Power. This was secured by a mortgage on Bainesse property, which was subject to prior mortgages securing £7BOO. Huirangi, which was subject to prior charges £3610, a mortgage of Yule’s mortgage and bill of sale and a mortgage of a mortgage which the partners had taken from Brightwell and which was given by Souter. The amount now due under this mortgage to John Power is £Bo9u Is lid. After £3500 had been expended;paying Rollett’s debts and clearing the option on the shares Rollett still owed £IOOO and was compelled to file. The bankruptcy of Rollett stopped all Whishaw’s dealings because he could not get the disclaimers registered or vesting orders' drawn up.till the end of January. He left no stone unturned to get sales made and had it not been for the legal delay he was satisfied there was a very large margin on the properties over and above all the encumbrances. Bankrupt concludes his statement by remarking that he has kept books regularly except when in partnership with Rollett, there being no time to open books before the crash came.