A FARMER’S FAILURE.

Taranaki Daily News, 28 July 1922, Page 8

A FARMER’S FAILURE.

MEETING OF CREDITORS, - A meeting of creditors in the bankrupt estate of F. S. Palmer, late of Rowan, was held in the office of the Deputy Official Assignee, Hawera on Wednesday. In a statement bankrupt said: — For eleven years prior to 1920 I was engaged in the bakery trade in Hawera. In 1920, my chief creditor, Mr. A. D. Turner, who then held himself out as my friend persuaded me to go into farming. He had purchased a partnership of one Dann, in Rowan, and on his advice I took over his interest, our house being transferred to him for £1323 6s. The mortgages on the farm were: First to Mr. Sullivan £200; second to Mr. Dempsey, £2021; third to Mr. L- Ba blington, £950; fourth to Messrs. Caplen and Cox, £750, and a bill of sale was given to Mr. Turner for £1458 12s 3d and 25 per cent, of my cheques were assigned to him. The land was only 14.1 acres, and carried 36 cows. I need not trace the history of my dealings, but one can see that with these encumberances the partnership soon got into difficulties. “In 1921 Dann left me, I giving him my motor car to get out, despite the fact that he only put £5O into the farm. He was quite a novice at farming, and was of no assistance to me, and I thought things might get better and I could run the farm myself. Before parting with the car my unsecured assets were fully sufficient to satisfy my unsecured dreditors.

‘•After Dann left the financial position became worse, and I realised I could not carry on. I saw practically all my unsecured creditors, and not one of them but would allow me pay as I could. The larger creditors, particularly Messrs. Gray and Barley, Newton King, Ltd. Hodder and Tolley and Mr. Gibson, were most generous to me. This was towards the end of last year. •’Oh the advice of my solicitor, Mr. H. B. Gibson, I have since been attempting to get my mortgagees to reduce their mortgages and give me a chance, but there seems to be a concerted action on the part of Mr. Turner and the first mortgagee to defeat any such proposal. In January, Turner asked me to file, but as no one else was pushing me, and it is against my principles to go bankrupt, I would not do so. _

“When Mr. Turner approached me in March his advice to me wag to get in a good stock of groceries, etc., so as to see me over the winter, and then file. He has also several times attempted to get me to assign all my milk moneys to him which I refused to do. 1 have not filed a petition, but this bankruptcy is of Mr. Turner’s seeking. He only has been the cause of itiy bankruptcy. Had I not been so deeply involved with him I should have paid all my unsecured creditors, the total amount, of whose debts do not exceed £260. -A few- weeks ago Mr. Turner came on to my farm and removed everything moveable, in consequence of which I had/ to leave it. lam now endeavoring to find a house to live in and work, so that I may keep my wife and family. ‘ The only money coming to me is the bonus on last year’s milk, estimated at about £2O. "I produce herewith a statement which shows all the money I have received whilst on the farm and what I have done with it. I have been most careful in Keeping an account of my moneys, and the statement is approximately correct.” £ . Secured creditors were estimated at £7OOO. and the estimated value of the securities was about £2OOO. Mr. Turner stated that interest amounting to £3OO had not been paid. Mr. Taylor questioned the accuracy of that portion of bankrupt’s statement which stated that Turner had gone on to the farm and removed everything moveable. The bankrupt was put on oath and was subjected to a lengthy examination bv Mr. Taylor and Mr. Turner. 'No objection was offered in connection with facilitating bankrupt’s, discharge, and the meeting adjourned.— Star.