IN BANKRUPTCY.

Gisborne Times, Volume XXVI, Issue 2290, 8 September 1908, Page 3

IN BANKRUPTCY.

ESTATE OF P. J. LEWIS,

A mooting of creditors in tlio bankrupt estivto of Percy John Lewis was hold yesterday in the office of tho Deputy Official Assignee (Mr John Coleman. Mr T. A. Coleman appeared for the bankrupt. The bankrupt’s statement already published showed a deficiency of £7l) life 6d; assets nil. Bankrupt, sworn, stated that he had no assots whatever. He hud been in Gisborne for three years and had been farming at AVairarapa before coming to Gisborne, working on wages. On arrival in Gisborne he had £G4 in cash, and wont to AA'aimata as u station hand at 30s per week and found. Ho remained there for four months, and then camo to town with a littlo more money. Ho then bought a boarding house from Mrs Stevenson, taking over the whole of tlio household furniture and effects for £l2O and £lO commission. He carried on the hoarding-house for a year and ton months, but lost between £4O and £SO on tlie transaction. He paid cash for the boardinghouse as his wife had some money belonging .to herself in tlio Post Office Savings Bank. This money was put to the credit of his account in the Bank of Now Zealand to assist in buying tlio business. His wife gave him £133 for this purpose, and it was used in buying and carrying on the business. Ho kept no books except one in which tho boarders accounts wore entered. In March of this year ho sold out tho business to Mr Nicholls for £75, of which ho received £7O, £5 being for commission. Some small debts wero owing at this time. Mr Nicholls sued him for compensation for the term of a lease, which witness had sold to Mr Nicholls, representing that there was a term of 14 months to run when in reality there wero only two months to run. The action brought on this account forced him into bankruptcy. To Air Finn: His wife was not living with him at Air Sykes placo in AVairarapa. He worked for Air Todd at AVaimata, and his wife was with him. He was out of pocket over the business. Ton boarders wero kept starting at 18s per week, which was then risen to £1 weekly. After going into tho business ho purchased a chest of drawers, a piano, and some chairs, lie purchased the piano for £8 10s in tho auction room' and it was now at his house at Kaiti. Furniture was bought by him from Air Townley on Alay 13, 1908, to the value of £2O Gs Sd. This furniture was also at his houso at present. "When lie sold out to Air. Nicholls ho took a quantity of furniture and pictures away from tho house. His wifo had tho money advanced to him, before his marriage. Ho also had a bicycle which was at his house, but it had boon at a house in Bright street for a time. He gave no furniture to any person to keep for him. AVhen lie 'SolcroTTF tho business die had about £7O, blit did not give any of to his wife. His wife purchased a property lately from Air King, 18 acres at Kaiti, tho price being £l3O per aero. Ho had been using this property as a dairy farm, and bought two cows, paying for them out of his own account at the bank. He had a horse and cart, his wife buying the cart for £11; but his name was put on it. He paid for the horse, bought by his wife at the hoarding house. He could not tell what would ho the value of the furniture removed from tho hoarding house. The horse and cattle were on tho property at Kaiti, but he could not put them down in his statement of assots as they had been bought with his wife’s money, although paid by him out of his own banking account. AA’hile in the boarding house the- tradesmen’s accounts were not always paid by eliequo, hut in cash. He and a man called Curtis had a contract of cooking on the waterworks line, his total profit being about £4O. The men were charged 18s a week for their tucker, and in addition goods were sold to tho mon, including tobacco, matches, Annuel shirts, etc. The sum of £SO deposit was paid on tho section bought by bis wife, the money being paid out of his banking account, as were the stock. His wife had a farm of about. 100 acres just outside Alastertou before her marriage, which sho sold. Sho had mortgaged the Kaiti property to Air King. Since lie had become ' bankrupt the property was still being used as a dairy farm, and he had worked on it all the time, but had received no wages. To Air Coleman: The bicycle in question belonged to his wife’s brother, and tlio £SO paid to King was at his wife’s request, and was made towards tlio repayment of moneys due to her. The same was the case in regard to 'the other a/r.ticles. Ills wife managed the boarding-house, and lie was away a good part of the timo. The money lie received from his wifo was a loan, not a gift. Ho had no part in the transaction over the Kaiti property and when he bought the property it was as his wife’s agent, and she took possession, Re-examined by Air Finn : He had tho bicycle in his possession for 31 years, as his brother-in-1 iw was in San Francisco. Air Finn intimated that he desired to call witnesses in the case, and the meeting was adjourned until Alonday September 14 at 2.30 p.m. ESTATE OF 0. F. KERNOT. A meeting of creditors in the insolvent estate of Charles Frederick Kernot, bootmaker of Gisborne, was held yesterday morning at the office of , Air J. Coleman, Deputy Official Assignee. Air T. A. Coleman appeared for tho bankrupt who stated that his furniture was owned by his wife. He had been married about seven years and the furniture was a present- from his mother-in-law. He had been in business in Gisborne about five years, lie bad taken on an average of £5 a. week, but business had fallen off during the past .six months. From May 1907 until March 1908 ho was in partnership with a Afr Davoy. Neither partner'liad any capital. Some of tho liabilities wero incurred during tho partnership. Insolvent agreed to pay tho liabilities when tho partnership was dissolved. He was forced to file through pressure from his creditor:;. Ho earned barely enough to support himself. The Official Assignee said ho was of opinion that Davoy wis still liable for bis share of tlio debts. Air Coleman said lie thought the bankrupt might bo able to reduce the debts if lie was allowed bis tools of trade.

Mr AV. H. Clayton, a creditor, said lie w as prepared to allow ICernot the tools of trade in the hope he would he able to earn a living.. The question was left with the Official Assignee to decide.