FAILURE TO COMPLETE FARMERS' ACCOUNTS

Rotorua Morning Post, Issue 5310, 24 January 1947, Page 6

FAILURE TO COMPLETE FARMERS' ACCOUNTS

1 Official Assignee Comments On Bankrupt's Actions A creditors' meeting in the bankrupt estate cf Vernon Henry Kemp, a salesman, of Whakatane, who was adjudicated bankrupt on January 8 last, was held in Whakatane on Monday last. Debts owing to unsecured creditors were shown at £1006. In his statement, bankrupt said that in 1944 he had instituted a simplified form of book-keeping for farmers in the Bay cf Plenty and Rotorua districts. During the same period, he was employed as a salesman on commission and also engaged in the sale of imitation jewellery on his own account. Sometime in the same year, he purchased a motor car for £429 and printing material for about £175. The Auckland solicitor who held security over the car took possession " of it in 1946, and £135 was still owed to a printing company. Bankrupt said he had been ill peric-dically and since May, he had heen practically unable to worlc. He had been forced to file as the result I of a judgment summons. The Official Assignee, Mx-. H. B. Reid, stated that just prior to the "meeting, he had received telegrams-1 'stating that numerous farmers in the Galatea and Murupara districts had employed bankrupt to assist them with income tax returns, and had uaid deposits of £5, without having had the work done. These farmers included 11 members of the R.S.A., who had taken action through their president. Although bankrupt said he had had dealings with 180 farmers and that ] he had fulfilled his obligations to ' most of them, it appeared he had T failed to do so in many cases, Mr. ! Reid commented. It was a bad state of affairs and to date, bankrupt had given no indication to those farmers of how he proposed to have their account?. completed. The books and papers belonging to those farmers were apparently held in Auckland by bankrupt's landlofd for non-pay- | ment of board, and these would have | to he recovered. * [ Mr. Bruce Scott, of Auckland, had I evidently given great assistance to bankrupt and had lost heavily as a result. He had written to bankrupt in very plain terms and desired to haVe the uncompleted returns dcne through some other source. i Bankrupt had pleaded illness as an i excuse but he had made no endeavour ! to communicate with the many farmers who relied on his word to attend to their aceounts and income tax returns. His bona fides would be judged by his actions, rather than on • his manner and words. The meeting would be adjourned sine die to enable Auckland credit'ors to attend a meeting, probably in the city.