BANKRUPT FARMER.

Taranaki Daily News, Volume LV, Issue 105, 19 September 1912, Page 7

BANKRUPT FARMER.

ESTATE SHOWS SURPLUS. A mooting of creditors in the bankrupt estate of A. E. It. Collins, a farmer residing at New Plymouth, was held in the office of the Deputy-Official Assigne# (Mr. J. S. S. Medley) yesterday afternoon. Mr. Medley presided. Bankrupt owes unsecured creditors £7O 19s lid and secured creditors £B3O The value of securities is £1824, leaving a surplus on property of £904. His assets comprised 10 goats £l2, cattle £lO, 50 shares Oinata. Dairy Company (.15 paidup) £4O, five, shares in the' Petroleum Company £5, equity in properties £994, and two sections at Port Moturoa valued at £l5O. This lea ves an apapvent surplus of £llO7.

In his sworn statement the bankrupt, who owns a farm at Koru said that up till April 19, 1912, he was perfectly solvent. On that date he bought a motor car from Stephens and Byrn, agents for Ha trick and Co. Tliey guaranteed him, he said, that 'he would make £2O a month in hiring the car. He did not pa}' anything down, the car being mortgaged by him. His farm was also mortgaged to Stephens and Byrn on account of the car. He made an arrangement with Horace Byrn to run the car in Inglewood for hire on his (bankrupt's) account. He was to pay Byrn £3 a week, which was. he alleged, banked in Inglewood to the credit of his account. Collins went on to allege that he also lent- Byrn £lO, and that he had never been able to get proper accounts from him. When Byrn started with him he told him that he had no money, and he (Byrn) had now, he believed, bought a motor car for himself, paying £IOO down. Bankrupt had to pay 10 per cent, interest on the money owing by him on the car. He got behind with the interest, and eventually Ilatrick and Co. sold the car for £207. Bankrupt thus lost the car, and still owed £237 on it on a mortgage on his farm at Koru. On August 23 last, IT. Callaghan informed him that he had sold his farm to Mr. Monteath. Bankrupt asked him at what price, to which Callaghan replied £I2OO cash. He (Collins) then pointed out that the agreement only mentioned £2OO cash. Callaghan explained, said bankrupt, that this was only a deposit. Bankrupt went on to state that he could not understand the agreement, being a pool' scholar. He knew nothing about leasing the farm from Mr. Monteath at £IOO a. year. Tie was. he alleged, misled, and he therefore, refused to complete the sale. Tie then found that he had been adjudicated a bankrupt, through mistaking the date fixed by the Court for the hearing of the application of a creditor (Xewton King) and thus missing his opportunity of opposing the application. Creditors, in sympathising with bankrupt's position, were of the opinion that his bankruptcy was merely because of the muddle he had ,«ot into. The Assignee, in whose hands the farm was left for disposal, said that it was apparent that the bankrupt had not been guilty of any underhand practices . A motion was passed that Collins be offered every facility to obtain an ■miconditional discharge.