Stratford News

Taranaki Daily News, Volume LV, Issue 75, 15 August 1912, Page 3

Stratford News

From our Resident Reporter. IN BANKRUPTCY. The -creditors in the estate ©f David Duncan, of Opunake, bankrupt, met at the oirice of Mr. A. Coleman, D.0.A.. yosterday. There were present: Messrs. Chisholm (Levin and Co.), G. llamson (Sargood, Son and Ewen), A. Campbell (Campbell Bros., Eltliam), C. Duff (Timson Bros., England), F. C. Tribe (E. Reynolds and Co., New Plymouth), P- Thomson (J. McAlister), Holland ( Kapongu), S. E. Warner (representing •Southern Cross Biscuit Co.), Mr. J. H. Stanford appeared with the D.O.A. The bankrupt was represented by Mr. R. G. Sellars, of Hawera.

lhe bankrupt put in a lengthy statement traversing his busings dealings, m I ", busm< ' s « in Opunake 'in May 1904, with £4O cash. He afterwards.raised £4O on Ids life insurance. , IJl ° he opened a branch at Kapon<*a because this would enable him to buy more cheaply, on account of the larger quantities. The branch was an absolute failure, and he lost £l5O by it. In May ! he opened in fruit and confectionery, and j this paid well. When his stocks accumut lated the stationery business was not so (profitable as it had been. He sold the stationery and fancy goods business to Cannell, receiving £2OO cash and £SO nils, which money he disbursed as follows: £l2O cash and £SO bills to Jones and jSon, who were pressing him £4O to Hayman and Co., and the balance went m general expenses. He lost about ilo.'j by the destruction of his home and furniture by fire, exclusive of wedding presents and his wife's and sister's personal effects. Illness of his wife had cost 'him £4B. He considered the merchants had been pretty hard on him, and he had had to pay a good deal of interest. If they had allowed him to go on he thought he could have pulled through. He only wanted £l5O, and he could still have gone on, and more successfully. He had endeavored to raise money, but without success. Since [December 1 he had paid out to merchants and other business people through the bank £1456, and otherwise about £350, making a total of £IBOO since j December 1, 1911, to July 6, 1912.

Ihe statement showed seventy-three unsecured creditors (twenty-two in Opunake), totalling £1258 6s 2d- secured creditors, £240 (less estimated value of securities. £325; surplus to contra, £79); total debts, £1258 5s 2d "^ S: - oc , k - in - tri,(ie at nr iv V ds of r - fKvman and Co., Wellington, £2O; book debts, estimated to .produce, £160; cash at bank, 6s 2dsurplus from securities in hands of secured creditors, £79; total assets, £B*o 10s 2d.

The D.O.A. pointed out that the bankrupt's transactions had been rather extensive and rather involved. The bankrupt's statement had reached him only a few hours before, whereas he should have had it within three days of the declaration of bankruptcy. It put <| hujii and the creditors at a dis'advantage. Mr. .Sellars explained that the delay Iv.ns no fault of the bankrupt, j The D.O.A. said he considered the I valuation" paced on the stock was exjcessive. Ihe house and section were ] valued reasonably. He required instructions as to the disposal of the stock. He had been informed that it would be of little use to endeavor to dispose of it in Opunake.

To Mr. Ramson. the bankrupt stated that about May (i he had sold a portion of the stock to Canne-Il for £250. The money was disbursed as shown in his statement.

Mr. Ramson: \ou had no r':;hto give Mr. Jones that amount. We were pressing you at the time, and you told me you would have a surplus out of the sale, and that we would be satisfied. The bankrupt said he had reckoned on having enough to fix up Sargoods and Avery. Mr. C-hisholm wanted to know why his firm was not to have been "fixed up." The bankrupt said he had endeavored to realise the balance of 'his stock by selling «t auction. Prices obtained, however, wore wretchedly low. The proceeds were paid through ]Vlr. King, auctioneer, to Messrs. Sargood, Son and Ewen. There was not a large amount. Several creditors complained that the bankrupt had given practically preferential payments to Jones and Son and Hayman and Co. The bankrupt said Mr. Jones had insisted on being paid, but used no threats in the event of his refusal to make the pavment asked. He did not even threaten bankrupt with legal proceedings. A proportion of the £4O paid to Havman's representative was to go to Ed. Anderson and Co. At that time there was a summons ont him issued by Briscoe and Co. for £7 odd. He paid this amount a few days after the payment to Hayman, which was about a week after the sale of his business to Cannell. There were no other summonses at that time. To the D.0.A.: He was then no m«re in low water" than in the previous year. He was aware that he was not in a good financial position then. His intention was to give up the unprofitable branches of his business.

When you paid off Jones and Son and Tfayman and Co.. did you know then that you were insolvent?— Yes.

on did know?— Yes. The deficiency then would Ik i.o binder than the deficiency now. j : r then that if I T er ?. P ressc 'l I could not meet my liabilities. My intention then was to dispense with the fancy goods business, and keep onlv the bicycle and confectionery branches.

\ Mr. Ranison: That doesn't bear out your answer to me. You told me you would have a surplus. The bankrupt: So .there would 'have been.

Mr. Ramson: There couldn't be. with all these others out against you. Mr. Thomson: Perhaps you were to he another preferential creditor, Mr. Ramson.

The bankrupt said lie usually took stwk in August, hut last year he had not taken stock at all. He had intended taking stock in .Tune of this year, and actually commenced the stock sheets before the sale to CanneH. In August 1010, be made out a rough bal-ance-sheet, showing stock, assets and liabilities. TTis assets were then about €250 or £2SO above his liabilities, as far as he could remember. The year 1010 was not as good for business as the previous vear.

The bankrupt stated that his bankruptcy was due to the bad Xma* trade l«*t year, "nd the bad season ever since. His December takings in 1011 were and £ll4 more the previous year.

Mr. l?a mson: That wouldn't place you in this posiiton. Two rears ago you wen- :C2."0 or ,t'2SO to (lie <jood. Now vnii «re .(MOO to (he bid. That'!! £fiso. Where has (hat C('"0 in two year*? Besides. there w>s the £IOO from insurance. Mr. Stanford -eld that a( the time of the fire the bankrupt 'im«t have bee:honelevslv bankrupt. Bankrupt stated that be knew be was behind, but had hoped to pull up. A few decent months would have obviated lii- leuiknintcy.

T!a akriiiii. examined further bv the 8.0.A.. = aid he lied borrowed ££oo ill A ,% ri!. 1010. fror l OamnVrll TCros. to enable him to b;iv s';rv i for c;> ■' T Julv. 1"00. he bnrrf.ved C2OU j.oui i;. .T'hncnn. of Atorolinn?' 1 . TTe paid £IOO off this at the end nf th" year. The moTi' v borrowed to mv for indent gooi-U. T'.olti these loins were on promissory notes, unsecured, And were in-

eluded in his 1910 balance-sheet. He considered his business was profitable then. The D.0.A.: It's questionable whether it was. After examining the bankrupt concerning his transactions since January 1, the D.O.A. said. that at January 1 lie must have been hopelessly bankrupt. He had received since January 1 about £IOOO, and paid away only about £IOO for stock. The £OOO had gone, or most of it, in paying up merchants' current debts. So lie must 'have been hopelessly "into the merchants" at the end of last year, and his position was even worse then than now.

The bankrupt indignantly repudiated a suggestion that he had gambled. He was not "one of those fools who put their money on slow horses." He had "had a flutter" in previous years. In the past year he had attended only two race meetings—one at N«rw Plymouth, and the Opunake races. He did not bet to any extent. He did not play cards for money at all. Several creditors had been paid' different amounts recently, owing to summon*## liaving been issued And threatened.

To Mr. Sellarg, he eaid he had never had any intention of making preferential payments with a view of defrauding other creditore. He iad had a reasonable expectation of paying Jus debts—or, rather, he had hoped to do. It was decided to #Jlow the bankrupt to purchase the furniture (excepting the piano) for £SO, less tke £25 allowed him by law, tki? making it necessary for the bankrupt to pay £25. The house and land will be offered for sale by tender or austioi. The stock will be faalised by the D.O.A. On the motion of Measrs. Chisholm and Campbell, it was dwided to obtain back for the ben«flt «f creditors certain payments made in May last.

THE STRATFOKU PARLIAMENT." At the Egmont Olub "Parliament" on Tuesday the Premier's Compulsory Militraining Bill was thrown out on the casting vote of "Mr. Speaker." The speeches were full of good material, indicating a good knowledge and close study of the subject by of the members. 'Die Speaker, Mr. R. McK. Morison, at the conclusion of the debate complimented the speakers upon the instructive nature of the arguments used. The new Cabinet comprises the Rev. Reader, and Messrs. R. Masters, J. Boon, J. Staples, and C. D. Sole. They will introduce a leasehold measure. A team of five of the Opposition will take up the freehold cudgels, and the debate promises to be the best of the session.

WESLEY GUILD. The ladies of "Wesley Guild" met in the home of Mrs. J. McAllister on Wednesday afternoon, quite a 'large number being present. Pleasant chat was indulged in over the tea cups, after which the business of the Guild was discussed. It was resolved that a drawing-room social be held at the residence of Mrs. W. Olemow, about the third week in September. Mrs Riera's rendering of "He Shall Feed His Flock" (from Handel's "Messiah"), gave great pleasure, as also did Mendelssohn's duet "0 Wert Thou in the Guild Blast," sung by Mesdaines Riera and McAllister. The meeting opened and closed as usual, with reading and prayer.

CARDS. The following will'represent the Egmont Olub in the return euchre match to-night at tlie club rooms against the Druids: —Messrs. J. Masters, W. J. Reeve. J. Butcher, S. Ward, S. Thompson, G. W. Mills, H. Wilson, J. McMahon, C. Speck, A. Speck, T. Wilson, C. D. Sole, T, D. Sullivan, Thomson, J. Harston, T. D. Colson, H. Masters, R. Boon, C. Jackson, Bowditch, J. Brake, R. G. Ilarkncss, R. Fearon, and Hedditch.

BERNARD'S PICTURES. To-night at His Majesty's Theatre an entirely new programme of the latest films will be screened. A unique natural history scries, which will doubtless come in for rniuch attention, is "An Otter Study." In this remarkable film the photographer has penetrated the secret haunts of the otter; has even followed it to the river's bed, and seen it hunting for its food, and in turn being hunted by men and dogs. The whole subject is most unusual, and .is a faithful record of animal life far beneath the water's surface. The actors in this weird drama of life and death were quite unaware of the silent watcher who was to reveal their inmost secrets to- the world. Thin film will undoubtedly appeal to all picture theatre audiences, -for it reproduces scenes they have had no opportunity to witness for themselves, and of the possibility of which they may never have even dreamed. "Saved bv Her Lions," is another of those popular Selig animal pictures, depicting a mountain lion's devotion. "A Romance of Wall Street" is an intense Yitagraph story, featuring Maurice Costello. "Mother Love" is another 1000 ft. drama by the popular Lubin Company. Other subjects include: "Pathe's Gazette," "Holiday on the Zambesi," "Electric House building" ftrick). "Curing an ' Office Boy" and "Everything Comes to Him Who Waits," two Edison comedies; "Help! Help!" (A.B. comic), and the latest escapades of that silly individual "Tweedledum." This programme will be shown for three nigfctu.