INSURANCE AGENT FAILS

Sun (Auckland), Volume 1, Issue 69, 13 June 1927, Page 12

INSURANCE AGENT FAILS

EXTRAVAGANT BANKRUPT CREDITORS DISSATISFIED “You have got into debt through your own fault, and I am not going to assist your discharge until you have made some effort to pay something off your liabilities,” declared the official assignee, Mr. G. X. Morris, summing up his examination of Joseph Arthur Henry Way Moody, a bankrupt insurance inspector of Papatoetoe, who had to meet his creditors this morning. Bankrupt’s schedule showed debts owing to unsecured creditors amounting to £26 and £1,140 owing to secured creditors. The value of the securities was given as £1,115. The total debts were £sl, and the only asset consisted of a Shetland pony worth £l2. The deficiency was therefore £39. In a statement which was read to the meeting, bankrupt said he purchased a property at Papatoetoe over three years ago for £1,050, where lie has since resided. Being unable to meet the interest on the mortgage, he had no recourse but to go bankrupt. Moody is a married man with four young children dependent upon him. Having another position in view, bankrupt expressed his intention of endeavouring to pay his creditors in full. Examined by Mr. Morris, bankrupt said he had been earning £3OO a year when he bought the property and ‘was getting that salary just before his bankruptcy. There was a first mortgage of £6OO at 6£ per cent, on the property and a second mortgage at 7 per cent. The interest and other expenses cost him less than £2 a week. Pressed for an explanation its to what he did with the remaining £4 a week of his salary, Moody admitted he spent tco much on drink. He had iost xiis position principally on that account, but had prospects of another billet in New Plymouth at a similar salary. Bankrupt’s largest creditor suggested he should be made to pay 10s in the £ before his discharge was allowed. As tljere was not a quorum of proved creditors present no resolution could be passed.