IN BANKRUPTCY.

Thames Star, Volume XVI, Issue 5011, 3 February 1885, Page 2

IN BANKRUPTCY.

Public Examinations.

In re Louis Kalman, of Te Aroha, tobacconist.—Mr Miller appeared for the bankrupt, who said his liabilities amounted to £450, and his assets to £228. The cause of his bankruptcy was principally through giving credit, and being unable to get his money in, os bad times overtook Te Aroha, and the peoplevrent away. The value of property decreased very considerably, and he lost £120 from "this cause. A. house and land cost £170, and it was now only worth about £50. He lost about £50 in shares. Had banded over all his property to the Deputy Official Assignee.—The examination was declared closed, and the 3rd of March was fixed as the date on which an application for discharge might bo made.

In be William Green, of Thames, hatter.—Mr Miller: appeared for the bankrupt, whose liabilities were stated at £196, and his assets (tools) at £5. The bankrupt deposed that a stock of hats and his furniture were secured to S. Meddins for £30, under a bill of sale; this was given 12 months ago ia order to enable the bankruptl to meet, a bill to a creditor. 11l health, Arising principally from nnnoyance caused by his wifer prevented . him working.—^The examination was declared closed, and the next Court day fixed for hearing an application for the bankrupt's discharge, ; ; < In'his John Coleman, late hotelkeeper, of Te Aroha.—M> Lush appeared for the bankrupt, whose liabilities were £360, and 'assets £100.—The bankrupt stated that two years ago he took the Hot Springs Hotel, Te Aroha, from a brewer named Jagger, mortgaged it to him and also gave him security over an interest iv a farm iv ths Waikalo." Carried on the

hotel for seven mouths. Lost all he had through the failure of a man named Beacham, and shortly after that event his house whs burnt down, by which he lost £SCO over and above the sum he was insured for. He was pretiously solvent. Took another hotel, but was obliged to leave it through the pressuro of old credi tors. Had banded over all his property to the Depuly Assignee. Hud since been employed by Mr Jagger to look after a hotel at Waiorongomai.—The i xamination whs declared closed, and next Court day fixed for an application to be made for discharge.

In re Edwin Hadfikld, of Waio rongomai, hotelkeeper.—This was an application made by Mr Miller, on behalf of the Deputy Assignee, that a transfer made by the bankrupt of certain property to his son should be declared invalid. It whs averred that the transfer was only.mude a week before the bankruptcy adjudication, and that it was ostensibly given for an antecedent debt within three months of bankruptcy. The application was granted, the transfer declared void, and it was decreed that posts be paid out of the estate.

Ik be H. A. Tonge.—On the application of Mr Miller, for bankrupt, Tuesday, the 3rd March, was fixed as the date on which an application for discharge could be made. Creditors Petition. Mr Miller, on behalf of George McCaul, applied that William Carpenter might be declared a bankrupt and Mr Lush appeared for Mr Carpenter to shew cause.

Mr Miller said that the act of bankruptcy upon which the petitioner relied was that the debtor had made an assignment of his estate for the benefit of his creditors, and asked the Court to call upon Mr Carpenter to shew cause why he should not be declared a bankrupt. Mr Lush submitted that the Court had a discretion as to whether it should ad judge the debtor a bankrupt. The Act was contemplated with a view to the payment of creditors, and the object of the clause under which the application was made was to affect deeds of assignment improperly made. The deed made was in favor of all his creditors, and no preference had been attempted. Only two persons who were creditors bad not signed the. debt. Under the present those to whom the bankrupt was indebted would receive more by the deed than if bankruptcy was adjudged. The petitioning creditor had another object in view than the realisation of the estate affected,—in fact, Mr McCaul. wished to. deprive Mr Carpenter of his employment. Wm. Carpenter, sworn, stated that he had executed a deed of assignment to Messrs Nathan, Mennie, and Barber. All his creditors had signed it with the exception of Mr McCaul and Mr J. A. Miller ; if any others had not done so, it was through inadvertance. His estate had been sold, and the trustees tinder the deed had the proceeds; he had handed them everything. The object of the present proceedings was to deprive him of his office of Deputy Official Assignee. A meeting of .his creditors had, been held, and the majority of them were not desirous of putting him through (he Court.

To Mr Miller: The only exception to those who had signed the deed were Mr McCaul and Mr J. A. Miller, and certain wagesmen. Knew nothing of the wagesmen or the amounts due, as Mr Banks had charge of them in connection with a separate business carried on at Hikutaia. Did not know what sum was due for wages, but had heard that about £200 was owing. Believed a sum of £7 was due for gum to a man' named Wbitehead, who had not signed the deed. The list produoe/L. jpurporting to be for about £30CJJ7J&*r wages, it might be duo, but he believed the deed was in favor of each and all of his creditors. Ho and one. of the trustees were not working a little business together; he had transactions with one of them since the deed was sioned. Before assigning the property to the trustees, he did not obtain the consent of the Thames creditors, but they afterwards agreed to it, and signed the dtsrd with.' few excep tions. If the creditors had desired him to file he would have done so. He bad not assigned his household furniture because in May 1882 it was assigned to Mr Hollis as trustee for witness's wife by Mr Perry, who held a bill of sale over it. The reason it was assigned was that previous to his marriage his wife had property in Dunedin, which was sold and the proceeds used to pay his debts, in consequence of which he promised to do as he had 1 done. When he asked Mr Miller the reason the present proceedings were taken he was told that it was to deprive him (witness) Jof his position as Deputy Official Assignee. J. A. Miller, solicitor, deposedin reference to the last statement made by W. Carpenter, that at no time did' he ever make such a statement in that manner; he had conversations with- Mr Carpenter, and informed him that the effects of these proceedings would be to deprive him of his Assigneeship, and that 'Mr McCaul wished that the estate should be wound up in bankruptcy ; he had also recommended him to see Mr McCaul, and ar-

range matters.' '■ His Honor said that if the assignment was an act of bankruptcy the Court had no option, and the order must be made. Mr Miller, contended that no provision was made for the payment of wages due. 'A settlement had been made on the debtor's wife within three years of hia bankruptcy, and it would be tested, and the assignment made was alone an act of bankruptcy. As the assignment had not been consented to by all the creditors, it was according to English law a fraudulent conveyance if made in contemplation of bankruptcy ; it was only for the benefit of those creditors who had signed the deed. An order for adjudication was made, as the execution of the deed of assignment was held to be an act of bankruptcy.

In the cases of A. Unthank, storekeeper, of Waihi, and C. S. Pyne, storekeeper, of Te Aroha, next Court day (3rd March) was set down for the public examination of the debtors.

The Court then rose.