A CARPENTER'S FAILURE.

Taranaki Daily News, 15 December 1922, Page 5

A CARPENTER'S FAILURE.

LOSS ON A CONTRACT. A. W. H. YARDLEY’S ESTATE. Price-cutting in order to obtain a contract in connection with his trade as car penter, together with contributing causes, were the reasons advanced for his failure by Andrew William Harold Yardley, who was recently adjudicated a bankrupt and appeared before his creditors yesterday. The D.O.A. (Mr. J. 8. S. Medley) presided. Creditors present or represented were Messrs. H. Williamson (Wanganui Sash and Door Co.), A. Reed, and A. H. Arnold. Mr. D. Hutchen represented the bankrupt, who was also present. Bankrupt's statement of assets and liabilities (details of which were published last week), showed debts owing to unsecured creditors £165 14s 7d, whilst the only asset was a book debt estimated to produce £4O 5s 6d. The deficiency was thus £125 19s Id. A LOW-PRICED TENDER. “Up till about two and a half years ago I was employed at the Smart Road works,” explained bankrupt in his written statement. “I left there to go to work as a carpenter. When that work was done I was without work. I had no debts at this time, having always paid my way. I had to find work somewhere and hearing of a contract being let for the building of a house at Vogeltown, I put in a tender at a low price which was accepted. I had no capital. The contract did not pay because of delays in getting del 1 very of timber, preventing me from getting progress payments in time to obtain discounts on which I was relying for part of my profit. All the debts, with one small exception, were incurred on this contract. I found I had cut the price too low but I did not learn my actual position until after the job was finished. I did not draw enough out of the job to pay my living expenses and these were met by my wife letting part of the house. The job took from October till January and I do not think I drew for myself altogether more than £3O. There is still a sum of £4O 5s 6d owing to me on this job, and this sum forms the only asset I possess. Since completing the contract I have been doing odd jobs until September when I obtained regular employment, but I have not earned enough to pay my way. I was forced to take the step of filing my petition because the Wanganui Sash and Door Co. and Arnold and Co. have threatened proceedings and because I cannot see any prospect of paying what I owe. The Carpenters’ and Joiners’ Union sued for the amount due to the union.” Mr. Hutchen expressed doubts as to whether the sum of £4O odd would be collected as the whereabouts of the man were unknown and, in any case, he would probably not be able to pay. WIFE OWNS HOUSE. “I am a married man with three children,” said the bankrupt on being examined under oath. The furniture all belonged to his wife; he thought it was worth about £IOO or less, if anything. His house had been burned down and with the insurance on the furniture new furniture was purchased. The house also i belonged to his wife, the purchase being made about three years ago, but the place was mortgaged. His life had been insured but the policy had to lapse as he could not pay it. All he owned were his tools, a push-bike and the suit of clothes he was wearing. Continuing, he said the contract price for the house was £565, this money being paid by the Land Board on behalf of the man, the sum of £4O being for extras i owing by the man himself. Mr. Hutchen said bankrupt had made a loss of £125 on the contract. Bankrupt said he had had two contracts previously but had come out from those “all square.” Answering a question bankrupt said the mortgage on the house was for £6OO, the full value of the house. “I can’t make the creditors any offer out of the wages I am getting,” said bankrupt, who-stated his weekly earnings with a building firm by whom he was ; employed averaged £4 ss. A CREDITOR’S SUGGESTION. Mr. Arnold took exception to the statement that his firm and the Wanganui Sash and Door Co. had threatened ardley. His letter was one he would write to anyone, in respect to an overdue account. He thought the step taken was made before the creditors were consulted at ail. He had always looked upon Mr. and Mrs. Yardley as honorable people. If Mrs. Yardley was prepared to share her husband’s fortune he thought she might share his misfortune as the house was hers. The house, apart from the section, should be worth £BOO, and the I section, a quarter-acre one situated on corner, shQuld be worth £SOO. Had i

the speaker been consulted before a petition in bankruptcy was filed, he would have been prepared to effect a compromise by taking 10s in the £. Bankrupt said he had renovated the house by painting, etc., to the extent of about £i7s. The D.O.A. suggested that, as some of bankrupt’s money had gone into his wife’s house, she should be prepared to assist him. The bankrupt further stated that the secretary of a certain snorts society had “slipped them up,” thus leaving the whole responsibility on him. and h's wife’s money had to be used to pay accounts. The opinion that another £lOO coukl be borrowed on the property was expressed by Mr. Arnold, who said this would give bankrupt an honorable acquittal if all the creditors were prepared to take, say 10s in the £. He felt rather strongly on the matter as bankrupt had made no attempt to see him with reference to te settlement of the account. Bankrupt said he would consider Mr. Arnold’s proposition and talk it over with his wife. The meeting was adjourned till a date to be arranged by the D.Q>A.