IN BANKRUPTCY.

Shannon News, 15 August 1922, Page 4

IN BANKRUPTCY.

KOPUTAROA FARMERS. A meeting of creditors in the bankrupt estate of J. T. and E. Rose, of Koputaroa, farmers, was held in Palmerston North on Friday. The claims of secured creditors totalled £8240, the -estimated value of the estate’s assets being £6630, leaving a deficiency of £ll9l. There were no unsecured creditors. The bankrupt, J. T. Rose, stated he had paid £BS per acre, including stock, for the properly at Koputaroa, whereas he now valued it at £3O per acre. The farm at Bunnytliorpe he valued at £3O per acre. He was working the property to- its full capacity, milking 27 cows. He could carry on at the Koputaroa property and pay his interest, if he were free of the Bunnyt'horpe farm*. This property had been sold to one Ingley, who had resold it to 0. R. Jepson. Bankrupt also stated he had received notice that the first mortgagees were taking &c-

tion to re-enter the property, and interest and principal were being claimed from him. ' % The creditors decided that the meeting adjourn until the end of the month, the bankrupt to continue working the farm in the meantime. ESTATE OF) E. CASKE. A meeting of creditors in the bankrupt estate of Ernest Caske, farmer, of Levin, was held at the D.O.A.’s office last Week. Bankrupt was represented by Mr K. Adams, and Mr Pees, one of the secured creditors, was represented by Mr Cooper. The amount owing to secured creditors is £16,475 18/4, against securities estimated at £12,537, which, with other liabilities amounting to £l3O, makes the total debts over which there are no securities ,£4068 18/4. The assets amount to £874 5/2, thus leaving a deficiency of £3194 13/2. The amounts owing to secured creditors arq as under: E. S. Pees, Auckland, £9491 18/4; Government Life, £3000; N. A. Anderson, Levin, £624; A. and J. Vamharn, Wellington, £2000; Kieller Bros, Palmerston North, £1360. Bankrupt.,' in his sworn statement, said that in April, 1919, he purchased from Mr E. S. Pees a propertyvknown as Makahika, containing 802 acres, at £l4 per acre. He paid £2OOO deposit, and the balance, £9233, was secured on mortgage. To pay for stock, he raised, in conjunction with his mother, an overdraft of £BOO wit|i the Bank «f New Zealand.

Under examination bankrupt stated he soon found that the property would not carry or fatten the number of stock anticipated. He also found that a considerable area (approximtely about 200 acres) had not been properly burnt, and was useless for grazing as it was full of water fern, and a death trap for .cattle nd sheep, in June, 1920, he had purchased a property in Gladstone Road for a topping off farm for stock. For this purpose he mortgaged a farm at Bainesse, held by himself and his mother as tenants in common in equal shares, for £4OOO. He paid £3OOO deposit, repaid the bank overdraft of £BOO, and spent £2oo’in the purchase of stock. He. was obliged to sell some stock later on to meet Mr Pees’ interest, and then a. serious slufcnp occurred in sheep and dry stock prices, causing his two properties to be unprofitable. To meet interest on mortgages during 1921 he was obliged to’ sell stock from Makahika and the Bainesse farm. The Gladstone Road farm was at present selfsupporting, and his remaining interest in the Bainesse farm was leased at a rental sufficient to meet interest and rates. Owing to his being unable to come to terms with the mortgagee of the Makahika farm as to a reduction of the mortgage debt to a sum upon which he could make interest off the property, he decided to file. Under further examination, bankrupt stated that he filed because he could not see how he could make the Makahika place pay. His mother was not in a position to buy (him out.