DISTRICT COURT.
MASTERTON—WEDNESDAY,
(Before District Judge Robinson.
BANKRUPTCY BUSINESS. In be G. H. Pope. On resuming at 2 p.m. on Wednesday, Mr Bunny said that he appeared to oppose the application for the discbarge of G. H. Pope, as he had been guilty of offences under subsections 2, 6 and 9. At the time the debtor contracted his liabilities, he could not have had any reasonable expectation of being able to meet them. If the discharge were granted all liabilities would be thrown overboard, and the debtor would have his salary to carry on with and then possibly be would seek the Bankruptcy Court again. In April, 1890, Pope had borrowed £25 and spent half of it in buying a horse, which he contended was an articlo of luxury. He, (Mr ! ' Butiny) understood that the Court was n6t for tjie protection of rogues and vagabonds, 'but for the! protection of persons who were unduly pressed, not having the means to meet j their liabilities. The bankrupt had| < not lost bis means of livelihood and
was receiving a salary of £147 per annum the same as before.
Mr Pownall (who appeared.for Mr Pope) said that Mr Bunny had taken advantage of his position, to throw out insinuations, utterly contemptible, because totally unfounded and out of place against an unprotected man. The bankrupt was a man who could not guarantee his position. Changes might occur and the bankrupt be thrown out of employment. He had made every effort to pay his creditors, and there was nothing in the bankrupt's actions to bring him under the clauses quoted by Mr Bunny. Nothing had been alleged by way of misconduct against Mr Pope. The circumstances of tbe case were before His Honor and he did not think that Pope ceuld be accused of hazardous speculation because he lent a friend some money on the strength of a letter he had received from a respectable firm of solicitors stating that money would come to Gilbert. When Pope got dragged into these transactions he must have had in bis mind the fact that Gi bert would meet the bills. Had this not been so Pope would never have been so foolish as to sign. The fact of the creditors'simultaneously pressing him made it beyond his power to stave them off. His Honor would find nothing in the conduct of Mr Pope that could be termed criminal or scandalous, and although he had acted foolishly he (counsel) did not think there were and grounds to prevent Mr Pope obtaing his discharge. His Honour said that from the case before him the Court was of opinion there was no conduct on the piit of the bankrupt that brought j him within the jurisdiction of punishment. He had been guilty of very great folly, and also of very I great negligence by handing money ] to another person without an account, and by buying things he did not want. The Court could not grant a clear discharge under these circumstances. As nonc> of the creditors had attended, it appeared that they Lad acquiesed in the debtor having the benefit. He would therefDre grant a discharge on conditions that the debtor paid 12s in the & by monthly instalments of £4 a month. Mr Pownall said under those circumstances he would ask the Court to refuse the order of discharge altogether. His Honor said he would be disposed to do this if he considered the benefit of the bankrupt. At the same time the course he suggested would give the debtor a chance, and the creditors would get something. This would be a just thing. Mr Pownall suggested that the order be varied so that the amount ot £i per month be made payable so long as the bankrupt kept his situation, otherwise he might be a bank - rupt for 20 years. Mr Bunny asked that the order be as? originally made, or absolutely refused. The bankrupt might throw up his situation in a month if the course suggested by Mr Pownall was taken.
His Honor decided to grant the discbarge, 12s in the £ to be paid in monthly instalments of £4 or such sum as might be fixed. Mr Bunny said the order was absolutely worthless to the creditors. The bankrupt might take his cheque and snap his fingers and there was no means of enforcing the order. He should ask that the discharge be refused. Mr Pownall said that the only objection he had was that Pope might lose his situation. After further discussion His Honor decided to suspend the order until the amount of 12s in the £ was paid, at the rate of £i a month. InbeT. J.James.
The public examinaion of this bankrupt took place. Mr Pownall appeared for certain creditors and Mr Bunny for the Official Assignee. Examined by Mr Pownall, the bankrupt said : I was at the time of my bankruptcy a butcher at Mangatainoka. The liabilities on my statement were shown as £174) and the assets £lB. I hav3 not a deferred payment section. The section on which the house stands was leased from the Government under the perpetual lease system. There are about tweaty-five acres in grass. There is a halffinished house on the section, a slaughter-house, and a small garden. These are mortgaged to some extent, seeing that £BO was advanced by the Government. I have been carrying on business as a butcher for about a year. Prior to that I was working on a section in the Tiraumea, but lost money on it. The majority of the debts were incurred in unfortunate litigation. Wheu I went into business I bad about £BO, besides a trap, horse, harness, sheep, young stock, and milking cows. This was swamped up in business. I spent about £IOO in litigation. I received £SO from Mr Crewe, who had a bill of sale over my horse and trap. I gave a few value less cheques before I filed, which were post dated. Mr Crewe sold everything in my house before I filed. At time of filing my schedule I had no money whatever. I have none now, and am not parrying on the butchery business. The profits of my business during the twelve months would average between £2 and £8 a week. Owing to my section being unfenced I lost about £SO worth of sheep during the time I was in business. Mr Crewe paid Mr Tosswill when I filed. Mr Crewe sold all I had got under bill of dale, and then gave me the mouey to file. I paid neither Mr Chalmers or his witness in the case.
By Mr Bunny: The expenses on my own side of the case with Chalmers came to about £BO. lam not prepared to let my sectioa go to pay my creditors. I filed in consequence of pressure brought to bear by 0. A. Pownall.
Mr Bunny: You mean Mr Pownall i suppose ? The bankrupt: Well, I thought you wanted the real man. There are plenty of Mr Pownalls. I dispute the claim of Mr Pownall. Mr Bunny; You fited to get rid of your liabilities and have a section fyß a nest egg to fall back on ? Is that not so ? The bankrupt: I suppose so. Mr Eunny ; Will you produce the lease to your section ? The bankrupt: I shall require to take the advice of my solicitor first. Mr Bunny: 1 shall ask your Honor to make an order for the production of the document. The bankrupt, on the advice of His Honor, consented to produce the lease. The lease having been produced, Mr Bunny expressed the opinion that the property should vest m the Assignee. His Honor said bis own belief was that the property did vest in the Official Assignee. The document would .be hauded to the Assignee, but U)e-further hearing of the ease would be adjourned till September 2-.3rd. i JN RE THOMAS siUNtfAfc The examination of this bankrupt also took place,
Examined by Mr Bunny, the debtor said: The statement which shows my liabilities at £1046 16s 4d and assets nil is correct. These debts were incurred during the five years 1 have been in the colony. I had about £l2O when I came out. lam a carpenter, and I lost money through taking contracts at too low a price. 1 also lost money through siokness and the loss of a child. I was digging at Mahakipawa, but had not sufficient money to work the claims. I built an hotel at Mahakipawa which cost me £6OO, and I was turned out under bill of sale. I was working at my trade in Wellington, but fell from a scaffold and broke my leg. I was laid up for eight months. I then came to Carterton, where I have been doing fairly well. I have a house and furniture which belongs to my wife. I was pressed to file, hav ing seventeen or eighteen judgment summonses against me. I am expecting no money from Home. By Mr Middletou : I am not in the habit of keeping correspondence. By Mr Bunny: I used to keep books, but they were lost in a flood at Wairau two years ago. On the application of Mr Bunny the closing of the bankruptcy was deferred till September 23rd.
THURSDAY. In re James Ross,
Examined by Mr Bunny, Mr Boss said that the statement filed represented all the private claims against liira. Mr Gray had proved for £132 but he disputed the amount and it was rejected. He omitted to put Burnett in because he thought they were about square. He had no assets whatever. He carried on as a black, smith for about four years prior to James Muir joining him. The business was good, but the bonk debts extended and became very large. The old books were closed about two years ago. What he had collected of the amounts owing he had expended. To Mr Gray alone in cash or equivalent he had paid £I3OB 3s 2d. Had been renting premises in Church St. Rom Mr Gray and had spent about £BO on this cottage in improvements. Could show by his books that this was a correct statement. Did net admit owing Air Gray anything now. Had paid him £6B the last time. Mr Gray distrained for rent but he (Gray) made no allowance for the improvements. Mr Burnett's claim was principally bills, xOn several occasions Burnett had assisted him. Burnett had furnished him with bills and with £220 in cash. This assistance was before Mr Muir joined him. The partnership books were accurately kept and would show any subsequent transactions with Burnett. He had not admitted Mr Gray as a creditor as he had not rendered his account in full. Prior to taking Mr Muir as a partner ho had no reason to think he was in an unsound financial position. No statement of his position was made out at the time of their entering into partnership. He bad bought a horse for £25 from Mr C. A. Vallance some months before his bankruptcy, and had afterwards sold it for £l2, because it was a cripple. He would not sign the deeds unless he received £SO. The furniture and effects in the hou3e in which hewas boarding was not his property. It belonged to Mrs Burkenshaw. He paid the whole of the household expenses. Mrs Buikenshaw was practically his housskeeper. When a distress warrant was issued he did nob have the goods removed out of the house. He had no property, having disposed of it all long ago. He was still boarding with Mrs Burkeiishaw. He was supposed to pay £1 a week, but there might be a little owing. The downfall of the firm of Ross and Muir was caused by the fall in prices in flax. His disaster resulted from the Bank of New South Wales refusing an overdraft.
The application for discharge was adjourned till September 23rd.
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Wairarapa Daily Times, Volume XII, Issue 3885, 13 August 1891, Page 2
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1,991DISTRICT COURT. Wairarapa Daily Times, Volume XII, Issue 3885, 13 August 1891, Page 2
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