Bankruptcy Court.

Waikato Argus, Volume XXIV, Issue 3753, 9 April 1908, Page 2

Bankruptcy Court.

A meeting of creditors in the estate of Dr. Endletsberger, of Matamata, was held in the Courthouse, Hamilton, this morning before Mr E. Gerard, Official Assignee. Mr P. Watts appeared fin- the bankrupt, and Mr C. L. MjicDiarmid appeared on behalf of Mr A. E. Manning. Instructed by Mr Northcroft, he also appeared for the petitioning creditors, the Taupo Totara Timber Company, and instructed by Messrs Puddle, Button, and Co., for the Bank of New Zealand. In his statement bankrupt stated: "I came to New Zealand in January, 1906, and went into farming with one Frederick Lang. I had £290 when I arrived. I lost my money at farming. I started as a doctor on May Ist, 190 G. I had then £9O left. I had made an arrangement with the Matamata settlers that they should guarantee £l2O a year. There were 80 subscribers at 30s each. The subscribers were to get medical attention at half rates. I bought drugs and instruments and built a house. I arranged with Mr Abbott, storekeeper, of Matamata, |to supply me with building material. I was to give him a mortgage for £2OO when the li nue was ready. The amount of the guarantee was to be paid to me on Ist Septebmer, 1906, and in anticipation of receiving this money I incurred certain debts and was disappointed by not receiving the guarantee money at the right time. I gave the collecting of the guarantee money jto Mr Abbott. I believe he collected £7l. Subsequently 1 collected about £3O more and there is still some owing. Mr Abbott retained the £7l, as the £2OO mortgage was insufficient to satisfy his claim. I expected that the- guarantee would be a continuous ! one, and that I should receive the : same amount (£120) every year, but j only a few subscribers would pay i after the first year. I expected to ; make £3OO a year in fees beyond the ; yearly guarantee. I have been disappointed in not getting the guarantee fee after the first year, and in the ' outside fees being less than the £3OO. I attribute my position to the failure of the guarantee as stated and | to the insufficiency of the outside fees. I consider, however, that my • assets are sufficient to pay my debts ; unless they are sacrificed by a forced realisation. I was compelled to inI cur heavy expenses when I went into practice and to go into debt for necessaries such as a buggy, horses, : house and furniture. I have not been able up to the present time to liquidate the claims against me. Given time I am satisfied that I should have been able to pay all claims. I have had considerable expense from illness. Last year I was laid up from Easter till after the middle of June, and I have been also partially incapacitated by a weak heart. Owing to a dislocated shoulder, I was incapacitated throughout the whole of August last from outside practice by being unable to ride. In February last I was ill for three weeks. I have always lived economically and carefully." The : bankrupt set down his liabilities at £363 2s 9d, and assets £485 ISs, in- ' eluding surplus from securities £2SB lGs, and book debts £IOO. The claims of secured creditors amount to £2ll 4s. The principal creditors were: Taupo Totara Timber Company, £9-1 . 16s5d; Bank of New Zealand, £27 | 14s Id; M. R. Souster, £2l 16s Gel; i 11. B. Fisher, £25 3s (id; Sharland and i Co., £29 10s 6d; G. P. L. Wcidrneyer, £2l 17s; John Mclntyra, £l7; A. M. Sims, £l6 16s sd. | The assignee said the book debts ! totalled £ll3 4s 10d and were valued : at £IOO, there was cash in hand £l4 3s, tiie furniture was valued at £2O, the surplus from Die property over ; the mortgage was £2BB, making a : total of A-456 19s; leaving a surplus .of £6B. He had had long experience and could safely say that these assets . were over-valued, and lie did not think the property would realise more than £3OO. The book debts would not be worth £IOO. The furniture was only worth £2O and therefore he could not touch, that. Mr Watts said bankrupt was quite ' prepared to dispose of the furniture for the benefit of the creditors; but he would like to retain a Maori carved mantel piece. Mr Gerard asked Mr Watts if bankrupt had any proposal to make re- ' garding payment, so that he would ; not be ostracised in his profession. They were deal ing with a man with ' tihigh diploma, a clever medical man, ; and one to whom the raising of the : money should not be a difficult i matter. It was unfortunate that he | should be placed in such a position; i but he only had himself to blame. Mr Watts said bankrupt had in- ; curred certain libilities in connection j with commencing practice, with I every hope that he could discharge them, and had he been given time, the money would have been paid in . full. Bankrupt realised that failure to pay ,Ins just debts would ruin him in his profession, and there must be an annulment of the proceedings. Mr Gerard said he could not allow this unless 20s in the £ were paid. Continuing Mr Watts said bankrupt drew £BO a year from two lodges and lie was prepared to hand this over, and also to pay £3 per week, from this date. Mr Gerard said since the statement had been made additional debts to the extent of £65 had come in. Mr Watts, in reply to the Assignee said ho was satisfied, as a solicitor, that there was every prospect of the bankrupt being able to fulfil his promise. Mr MacDiarmid, on behalf of the Totara Timber Company, then moved that the offer of bankrupt be accepted, provided it is carried out in its entirety. Mr Gerard said no discharge would be granted and if the offer were not adhered to lie would take steps to force bankrupt to come up to scratch. Mr Watts then undertook to give his cheque for the first instalment of £3 at once. The Court was then adjourned till this afternoon.