HARDING'S BANKRUPTCY.

Stratford Evening Post, Volume XXXIV, Issue 94, 16 December 1912, Page 3

HARDING'S BANKRUPTCY.

MEETING OF CREDITORS. A meeting of creditors In tlie estate of James White Harding, stock dealer, was held at the office of the D.O.A. (Hawera), on Friday afternoon. Mr. C. A. Budge, D.0.A., presided, and the following creditors proved:— Newton King, £866 13s 3d; N.Z.L. and M.A. Co., Stratford (Mr. Hewitt), £BOS 19s 2d; Dalgety and Co. (Mr. D. Kennedy), £514 3s lid; F. R. Jackson and Co. (Mr. F. Moffatt), £199 7s 4d; Matthews, Bennett and Co., £75 14s 6d; Weddell and Co., £1065 8s sd; Gillies and Nalder, £278 4s 6d; N.Z.L. and MvA. Co., Hawera (Mr. W. F. Carey), £744 15s lid; F. J. Gane, £2; D. Smith, £2 10s 3d. Mr. R. D. Welsh and Mr. R. Spence appeared for the D.0.A., and several of the largest creditors, and Mr. R. G. Sellar (instructed, by Mr. Allison, Wanganui), for the bankrupt. The bankrupt was also present. The D.O.A. having detailed bankrupt’s financial position, then read the following written statement from the bankrupt:— Shortly after coming to New Zealand about fifteen years ago, 1 acquired a farm on the Norfolk road, near Inglewood, containing 503 acres and 3 roods, or thereabouts which was mortgaged to the Public Trustee for £3001). A little later I acquired a leasehold at Tanki from the School Commissioners of 242 acres, which, wi|h the Norfolk road farm, 1 farmed and dairied for about six years. I then commenced dealing in cattle, freezing and shipping to England, and was the first person to ship cow and bull beef to the United Kingdom.! thus opened up a trade hitherto untouched. At first I dealt mostly in the Inglewood and Stratford districts, but later also in the Hawera district. About five or eix years ago I acquired the Otakeho farm of 101 acres 2 roods. This farm I took over subject to the two mortgages on it in exchange for a piece of land at Marton, and did not pay any money down. After some years in business, my dealings became very extensive, anti during the last seven years the average turnover would-be about £200,0001 a year. Altogether since I commenced business I daresay my turnover in stock has been over £1,600,000. I have dealt principally with auctioneers and have paid some thousands of pounds in commissions on' my transafctions.

When I came to Hawera about four years ago, I took over a lease of 500-acre farm from Mr T. Mason.' This lease ran out about a year ago, and I was sued for £SOO damages for breach of the lease, i compromised the action, but had to pay damages. In May ,1911, I went to Australia for business purposes with the object of seong what business could be done in Queensland, and left Mr Mason’s farm, fully stocked, in charge of my manager, who was conducting my business buying and selling for me during my absence. On my return from Australia in September, 1911, investigations'showed that there were short 150 cows, 78 yearlings, 24 bulls, 3 bidlocks, and 2 steers, making a total ot 257 head of cattle, and, m addition, there were some 285 head of sheep short on this farm. Those losses of cattle and sheep, together with I losses in the business, meant a total ; loss to me of £1250. A statement was prepared by Mr O’Callaghan, ac- ! countant, showing these figures, and 1 showing that .after allowing for the i profits on any transactions and the I above shortage of cattle and sheep, j there was a deficit for the three | months of £1250. At the same time | during ray absence losses amounting to I about £BOO were incurred at the InI glewood end of my business. A large i quantity of meat was shipped on consignment while I was in Australia, and when the returns came in some months afterwards there proved to lie a loss of, between £SOOO and £6OOO. About a year ago I formed my business into a small company called! the Taranaki Meat Exporting Com-} pany, which, pa.d out over £II,OOO aj i month for stock purchases and about| i £IOO a week for _ wages. _ | j [n connection with the shipment nr I meat to England, 1 was sued for over £llOO by Weddell and Co., of Loni don, in’ October, 1912, for losses and expenses on meat sold in London. This moat cost 25-8 d per lb, and I Weddell’s advanced 2,’,d on it, selling i f ()r 1 LI, 2d, 2Jd and so on, resulting in the above loss. Previously to being sued by Weddell and Co., 1 had paid them sums of £250 and £lB5, making a total of £435 on account. Their original account was £I3OO odd, and after paying off £435 there is a balance owing of about £961, for which i was compelled to confess judgm »t. I proposed defending this action, but my credit and consequently my business operations were stopped, and I relinquished my defence.

My liability to Gillies and Nalder in October, 1912, was £844, but this was reduced by November to £278. My liability to the Loan Company on April 30th last was £1687, but by November 30th, 1912, this was reduced to £745, and my liability with Newton King in July last was £2087, but this had been reduced by November to £862. My liability to the Bank of New Zealand, Inglewood, was £2600 a little before October, 1912, and this is reduced now to £1746. 1 paid a promissory note of Newton King’s just a couple of days before I called my meeting on November 20th, in anticipation of my carrying on. My position with my largest, creditors from month to month during the last 12 months is approximately as follows:

was a widower with two little girls. These children are entitled to a half interest in the Norfolk road farm, and as they were provided for it is part of the consideration of my marriage, which took place on November 4th, 1911, that I should provide for my prospective wife by a settlement of the other half interest in the Nor-

folk road farm and my'interest in the Otakeho farm. Accordingly, prior to my second marriage, Mr Allison, solicitor,* of Wanganui, drew up a settlement in consideration of my tive marraige of these properties upon my intended wife. The properties settled were as follows: Otakeho farm, 1011 acres, valued at £45 an acre, making a total value of £4567 10s, subject, however, to two mortgages (a first mortgage for £IB4O and a second mortgage for £994), making a total 0f£2834 settled on my wife. The interest in the Norfolk road farm settled on my wife was as follows: A half interest in 503 acres 3 roods at £25 an acre, making a total of £12,575; subject, however, to a mortgage of £2850 to the Public Trustee, leaving a balance of £8725, half of which, namely, £4862, was settled on my wife; "so that the total value of the property settled on my wife was £4862 plus £1733, or a total of £6595. The Norfolk road farm is now in the name of the Public Trustee, on behalf of my children by the first marriage as to half, and in the name of my wife as to the other half.

If it had not been for my credit being stopped, I consider that I should have been able to carry on, as notwithstanding set-backs I have generally been able to make up losses from time to time.

When I was married I had little or no furniture, as my children lived with my manager, Mr Surrey. The furniture in the house belongs to my wife.

Before my first wife died she had a piano which her mother gave her, also a very little furniture. The piano ie over twenty years old. This and the furniture she gave to ray two little

gids. . The Princess street property is, in my opinion, of the value stated by me, as it is well known that the house, which is insured for £2OOO. is a most substantial one. It would probably not bring the value on a forced sale. I paid £IOO for the Garrick Gold Mine shares, and these, I believe, have risen in value, and are worth £l5O. The Haynes Copper Mine shares 1 have valued at the price I paid for them less £6O, and the Patea Freezing Co.’s shares at what 1 paid for them. . . Palmerston North business.—Tins J started about two years ago, and on September' Ist last I employed Mr Casey as manager at a salary of £4OO a year. I put £IBO cash into Mr Casey’s hands, and he made a profit of £8 the first month, and £3O the second month. I attach last balancesheet from Palmerston North. Australian business: This I started about 18 months ago. I took over to Australia wheh I went the sum of £3OO. Shortly after I had another £125 sent over to me, and then on my return had £370 sent over from the Bank of New Zealand and £l5O from the Loan and Mercantile, making a total of‘£94s put into that business. Mr W. A. Thompson, formerly of Patea, is in partnership with me in the Australian business, and about January last went over to manage it. i have written off £6OO odd of this amount in ray books, but I have not yet got a balance sheet from Mr Thompson. Mr Barlow, who has been with me for 15 years, has for the last four years managed the Inglewood end of my business.

Tho bankrupt was subjected to a searching cross-examination by Mr. Spence, a report of which will appeal

in our issue to-morrow. At six o’clock the examination had not concluded, and on the motion of Messrs. Gillies and Carey, it was resolved (reports the 'Star’) that the meeting adjourn till a date to be fixed in January by counsel engaged. The D.O.A. will notify the creditors of the date.

Newton N.Z. Gillies King.Loan Co.and Havvera. Nalder £ £ £ Doc. 31 170 670 45 1912 Jan 31 855 755 286 Feb 29 . ... 1172 922 901 * 670* March 31 . . ... 1131 1319 297 April 30 . ... 914 1687 1100 May 31 . ... 18G2 1013 360 June 30 . ... 2027 1050 554 July 31 208C 1251 567* 12+ Aug 31 1837 958 clear Sep 30 . ... 1807 955 96 Oct 31 . ... 998 1082 844 Nov 30 ... 745 278-5-6 *Promissory note. fOn open. Previous to November 4th, 1911, 1