“UNFAIR AND UNTRUE”

Sun (Auckland), Volume III, Issue 814, 7 November 1929, Page 9

“UNFAIR AND UNTRUE”

BANKRUPT’S STATEMENT „ CHALLENGED CREDITOR IN TEARS A bankrupt, whose statement was described by a solicitor as “highly libellous,” and a principal creditor, a widow, who broke into tears at the end of the meeting. rpHESE were extraordinary features of a meeting of creditors of William Henry Johns, a dairyman, of Fourth Avenue, Kingsland, held this morning before the official assignee, Mr. A.' W. Watters. Mr. R. H. Mackay, representing the principal creditor, challenged Johus's statement of his position before it was read by Mr. Watters. “I have not yet examined the statement,” said Mr. Watters, “and I would suggest that you make another statement explaining the views of the principal creditor.” This course was taken by Mr. Mackay. “We deny any hint of dishonesty on the part of this poor widow, who has done everything in her power to assist Johns,” Mr. Mackay said. “She has observed the contract governing the milk run taken up by Johns to the day of his bankruptcy. His statement contains untrue and unfair statements. The widow is now blamed because she is asking for her £140.” INITIAL' EXPENSES In his statement, Johns said he had difficulty with initial expenses in his run. They were higher than he had anticipated, he said. He had leased a house and land from the widow, and he agreed to take from the vendor his milk supply. He incurred additional expense in the purchase of a truck which required repairs. Johns’s total debts were £ll6 16s 3d, unsecured, and his assets, £394 15s, left a nominal surplus. He owed £l7O to secured creditors, but the value of his securities was £548. Johns, under examination, readily conceded that the widow had observed the terms of the covenant up to the time of his bankruptcy. Mr. Mackay said the widow was anxious to secure her money. Johns had been affected in his business through lack of experience. The realisation of the assets was left in abeyance, and Mr. Watters will arrange the details of the bankruptcy.