Rushden Research Group: Robinson and Marshall bankruptcy 1921

Robinson and Marshall

boot manufacturers

The Rushden Echo, 10^th December, 1920

Failure of a Local Shoe Firm
Goods Sold Wholesale at a Loss
“A Very Sorry Statement”

A meeting of the creditors of Messrs. A. Robinson and Ernest Marshall, boot manufacturers, High-street South, Rushden, was held at the offices of Messrs. Roberts and Palmer, Rushden, on Tuesday, Mr. E. Catling (Rushden), one of the largest creditors, presiding.

Mr. Claude Palmer said they regretted they had a very sorry statement of affairs to present to the meeting. The trade creditors were £1,398 9s. 10d., and the cash creditors £275 17s. 1d., leaving total unsecured debts of £1,674 6s. 11d. Following was a list of creditors for amounts over £10: Allen and Caswell, Kettering, £23; R. R. Brown, Rushden, £51; Brusnwick Blacking Co., London, £15; E. Catling, Rushden, £239; J. Chambers, Raunds, £66; A. W. Curtis, Wellingborough, £36; Duart Redwood and Co., £245; Hodges and Co., Wellingborough, £91; Knight and Lawrence, Ltd., Rushden, £43; Lane and Hulett, Kettering, £195; Northants Leather Co., £156; Palmer and Surridge, Rushden £36; A. E. Rodhouse, Northampton, £124; Rushden Heel Co., Ltd., Rushden, £14. The stock was valued at £178 3s. 7d., which was 50 per cent. knocked off. It was a

Miscellaneous Lot,

and it was questionable if it would realise more than the amount stated. They had practically no machinery, and this had been down at £33 10s. 0d. The total value of book debts and all assets was £212 13s. 7d., less £39 2s. 10d. preferential creditors, leaving a deficiency of £1,500 16s. 2d. The matter of who actually were partners was questionable. Taking all matters which had come to his notice during investigations, he thought there were four partners in the firm. All the partners owed more than they had, and the furniture belonged to their wives, so there would be no surplus from separate partners’ estates. But that was a matter for investigation if the firm were made bankrupt. The business was commenced in March, 1919, by A. Robinson, E. Marshall, Underwood, and Robinson, senr. Only the first two names appeared at the start, although presumably they all decided to put their heads together and run the business. Each partner paid £23, and Robinson, senr., found £20 or £30 later. Robinson, senr., and Underwood appeared as creditors, and their claims would depend upon whether they considered them partners.

There were no proper books kept, but a sales day book showed the total sales £10,000. The Bank pass-book showed the takings £11,000, from March 16^th, 1919, to November, 1920. The pass-book showed from December, 1919, payments to bearer or self, £2,300, trade creditors £3,439, and at the end of December there was an overdraft of £207, which was still owing the Bank. The partners, all four of them, drew £3 10s. 0d. each week for a time, which was raised to £4 and £4 10s. 0d., the totals paid them being: A. Robinson, E. Marshall and C. Underwood, .... [paper damaged, several lines missing]

.....wages book and sales day book. There was nothing to show the profit made, and the firm had been selling goods wholesale at 2s. to 3s. less than cost, knowing for some considerable time that they were insolvent, and hoping that something would turn up to pull themselves round. He had executed a deed of assignment, which had not been registered, and he did so to protect all the creditors from

Preferential Treatment.

Mr. Knight, of Messrs. Knight and Lawrence, said debtors told him they made a profit of £618 in the first six months.

In answer to Mr. Knight, Mr. Palmer said he found no boots other than those mentioned. The heeling machine and toe punch were sold to pay the solicitor’s fees.

A creditor said he saw a case of boots going away a fortnight ago, and later in the meeting the debtor said they went in payment of a debt.

The Chairman said the state of affairs was very bad, and the firm ought to be made bankrupt.

Mr. Childs, Rushden Heel Co., stated they always told him they had £2,000 worth of stock; that was why they could not pay.

A creditor said they had not paid for the sewing or the finishing, neither for the leather so he could not see how they had made a loss.

Robinson, junr., in answer to questions, said he never told Mr. Childs that the reason he could not pay was that he was owed so much money by other firms. There was no money owing. He said he never told anyone that the firm made a profit of £600. Debtor said he sold leather-lined goods at 10s. 8d., and Mr. Knight said it was no wonder he got into difficulties.

Mr. Catling moved the matter go into bankruptcy, the four to be considered partners.

Mr. Faulkner seconded, and it was carried unanimously.

Rushden Echo, 4th March 1921, transcribed by Kay Collins

Rushden Shoe Trade Failure
Shortness of Trade and Selling Under Cost – Deficiency £1,484

The first meeting of creditors under the bankruptcy of Robinson and Marshall, boot manufacturers, of Rushden, will be held at the office of the Official Receiver, Northampton, tomorrow. The statement of affairs shows liabilities £1,674 16s. 11d., assets £190 15s. 3d., deficiency £1,484 1s. 8d.

The causes of failure, as stated by A. Robinson, are shortness of trade and selling stock under cost. E. J. Marshall states that he cannot give the cause of insolvency as he had nothing to do with the financial side of the business. The deficiency is accounted for as follows: Net loss from business, £627 15s. 2d.; bad debt, 17s.; depreciation of stock, £158 9s. 6d.; depreciation of machinery, £59; and drawings of partners, £728. These items, less £90 excess of assets over liabilities on March 1st, 1919, total £1,484 1s. 8d.

The Official Receiver, in his observations says that the debtors, aged respectively 37 and 46, were employed as operatives until February 1919, when, with two others, they commenced business as manufacturers, each contributing £23. Robinson superintended the factory and kept the books, and the other three worked outside as lasters, there not being room for them in the factory. It was arranged that each should draw £3 10s. a week. No deed of partnership was executed, and it is probable that all the parties to the arrangement are liable, wholly or in part, to the creditors. In November 1920, in consequence of several creditors suing, advice was sought and a deed of assignment executed by debtors on November 22nd. A meeting of creditors was held on Dec. 7th last. The statement of affairs then presented showed liabilities £1,674 6s. 11d., assets £173 10s. 9d., deficiency £1,500 16s. 2d. No proposal was then made, and it was decided that the debtors should file a petition or the creditors should do so. The petition was filed by the creditors.

Rushden Echo Friday, March 11, 1921, transcribed by Sue Manton

Bankruptcy:- The first meeting of the creditors of Robinson and Marshall, boot manufacturers, of Rushden, was held at Northampton on Saturday. The statement of affairs shows liabilities £1,647, assets £190, deficiencies £1,484. Full particulars appeared in our last issue. Not many creditors attended the meeting. No resolution was passed and the matter was left in the hands of the Official Receiver to wind up.

The Rushden Echo, 22nd July, 1921, transcribed by Gill Hollis

A Shoe Trade Failure
Coal Strike Sequel

The case of Robinson and Marshall, shoe manufacturers, Rushden, had been adjourned for the appearance of Alfred Robinson.

The Official Receiver said he had received a letter from Robinson, in which he said that owing to the coal strike he had been without money. He (the Official Receiver) suggested an adjournment until Aug. 16th, and he would inform the Bankruptcy Court at Cardiff.

The case was accordingly adjourned.

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