BUS FLEET SEIZED

Sun (Auckland), Volume III, Issue 848, 17 December 1929, Page 10

BUS FLEET SEIZED

BANKRUPT PROPRIETOR’S DIFFICULTIES Because a loan company exercised its right in seizing buses which had been given over as a security, Allan Frederick Day, a motor omnibus proprietor, suffered when two services in ■ which he was engaged were terminated. The creditors of Day, whose principal service was from Ostencl to Onetangi, Waiheke Island, agreed to an adjournment this morning. Several creditors sought an opportunity to investigate the bankrupt’s books. Day’s position financially showed a deficiency of £699 10s lOd. His assets were £22 3s 9d, and he owed £721 14s 7d. Against secured d«bts to the amount of £SO were securities valued at £65. The bankrupt was represented by Mr. I. J. Goldstine. He began a motor service in Easter, 1926, with only £4O cash. The summer season of 1927-28 was satisfactory for his service from Ostend to Onetangi, but opposition was increasing. He had taken buses on hire purchase and, to cope with the opposition and to prepare for greater trade, he bought two more buses and a car for use as a taxi. Last summer proved to be extremely bad for the service, one reason being the turning away of a considerable amount of traffic from Waiheke by the opening of Motuihi Island as a marine park. Just after Easter he entered a partnership conducting a service from Huntly to the mines. When he failed to pay certain, instalments the loan company seized the whole fleet of buses. The company also gained a judgment for, £3Bl 14s 2d. Bankrupt and his brother brought an action against the company for the wrongful seizure of the buses at Huntly, and were awarded £25. The official assignee, Mr. A. W. Watters, commented that there were scarcely sufficient assets to produce a dividend, and it did not seem that there would be anything for the creditors.