T. J. DWYER'S BANKRUPTCY.

Wairarapa Age, Volume XXXII, Issue 3087, 8 January 1909, Page 5

T. J. DWYER'S BANKRUPTCY.

A SECOND MEETING OF CREDITORS. ' An adjourned meeting of creditors in the bankrupt estate of Thomas J. Dwyer, phonograph dealer, of Masterton, \va? held in the Masterton Courthouse, yesterday, before Mr W. 6. Chennells, Deputy Official Assignee. Mr Simpson, Official Assignee at Wellington, was also present. The following creditors were present:—Farmers' Implement Comoany (J. H. Pauling). Coradine an j Wbittaker (J. M. Coradine), Wai'arapa Age, (A. E. Green). Mr H. 2. Robinson, represented Kirkcaldie and Stains, F, Kitto, and Magnus Sanderson, Wellington creditors. Bankrupt was represented by Mr C. \. Pownail. Mr Chennells outlined the posi:ion of affairs as brought about at ast meeting, namely, that several Wellington creditors desired the meeting to be adjourned to Welling;on, and further that the speaker limself felt that as he had hart dealings with the bankrupt it might ie desirable that at least the Offinal Assignee at Wellington should preside at the meeting. At the present meeting therefore Mr Simpson was asked to be present, and :he speaker was gome to leave it ;o the creditors present to say whether they considered that he should allow Mr Simpson to preside it the meeting. He was perfectly willing to adopt their wishes in the matter. Mr Robinson intimated that he considered that Mr Chennells should allow Mr Simpson to preside at the meeting. As representing the Wellington creditors Mr Robinson said he thought it probable that the transaction between Mr Chennells and the bankrupt would be referred to. Mr Pownall objected to Mr Chennells delegating his office when only . a mere handful of creditors desired it, and thought that at least Mr Chennells should take a resolution of the creditors.

Mr O'Connell, as the chief creditor, also objected to the Assignee at Masterton delegating his powers, as he considered there was no occasion for it. Mr Chennelis said that in deference to Mr Robinson he would at once ask Mr Simpson to preside, as he wished to give the creditors an absolutely free hand in the whole matter. Mr Simpson then assumed control of the meeting. Bankrupt furnished a lengthy written statement, in which he stated that when he entered the phonographic business in Bannister street in May last he was heavily loaded with debts accruing through misfortunes which occurred to him while in the motor business. Accidents to cars and costs and Josses in lawsuits, in which he became involved, accounted for heavy losses, and the phonograph business also went flat after about two months.

Bankrupt, examined by Mr Robinson, said he came to Masterton in 1901, and it was two years later that he borrowed £3OO irom Mr M. C. O'Connell. He started first in a bicycle business. Mr O'Connell took a promissory note as a security for his loan. In November, 1904, he possessed about £SO in cash, and a house subject to a mortgage of £3OO —that was after paying various creditors out of Mr O'Connell's ioan. There were now two mortgages on the property, the first mortgage being for £4OO and the second for £3OO. Until ten months ago, and since 1904, witness was only in the motor and cycle business. He had kept a ledger and a sales journal, and • these had been handed to the Assignee. The sales journal was dated from the time of giving up the motor business in May, 1908, when bankrupt- went into the phonograph business. He kept a bank account, but all his money had not gone through the bank, a lot being paid awav in cash. The D.O.A. (Mr Cheimslls) here interpolated that the examination might be shortened by his stating that the bankrupt's books were absolutely useless, and not properly kept. Bankrupt, further examined by Mr Robinson, said that in October, 1908, he offered to compromise with his creditors by paying 10s in the pound. Mr Pownall, debtor's solicitor

at that time stated that the total liabilities were then £SOO. They now total about £1,200, plusihe amounts of the mortgages. Bankrupt explained ttie discrepancy by stating that when the compromise was offered Mr O'Connell did not prefer his claim. •

Mr Simpson: That was no reason why you should write and tell your creditors that the liabilites were as you then stated. An adjournment for luncheonj was here made. On resuming Mr Robinson continued his examination of bankrupt. Debtor stated that he paid £350 for a Stewart motor car, and subsequently sold it for £275, after having had to repair it to the extent of £6O. He lost about £IOO on it. He had endeavoured to sell his business at "The Talkeries" to Mr Holton in October last, but the sale was never completed. The motor-car business was sold to Mr Warren Fowler in May last,, the sto?k being taken at valuation. In his phonograph dealings fully 80 per cent, of business was done with Messrs Holton and Co. The account averaged about £lO per month. At this stage of the examination Mr Simpson intimated that there were already sufficient facts disclosed to warrant a public examination of bankrupt, and Mr Robinson said that as that was the object he desired to see accomplished he would not examine debtor further. The presiding Assignee repeated that the fact that bankrupt had kept no proper books, and the other facts disclosed warranted him recommending a puplic examination of bankrupt. Mr Chennells stated that he had been advised by the Wellington creditors and by the Masterton creditors to accept an offer of £37 10s for the stock-in-trade of bankrupt, and he had done so. This action was unanimously confirmed. The meeting was then adjourned sine die.