William Spencer - Bankruptcy

A RUSHDEN PLUMBER’S BANKRUPTCY

“ROBBING PETER TO PAY PAUL”

  On Tuesday, at the Northampton Bankruptcy Court, William Spencer, plumber and glazier, of Fitzwilliam-street, Rushden, came up for his public examination. The statement of affairs showed:

Liabilities		£371     8     8
Assets		£ 64      7     6
Deficiency		£307     1      2

  Examination by the Official Receiver, the debtor said he had been carrying on business for eighteen years.   At first he was successful, and purchased a piece of land for £40, on which he built at a cost of £350.  At that time he had no money of his own, and mortgaged the property to the Market Harborough Building Society for £350.  The other £40 was repaid out of the business, and he repaid £120 to the Harborough Building Society.  He then

MADE AN ASSIGNMENT

to Mr. Watkin, Northampton, and the house was sold by auction and purchased for £450.  They lived rent free for three years, and then debtor’s wife bought the house for £600.  From beginning to end the house had cost about double what it ought to.  He did not know how much he paid at the time of the assignment ;  it was nine years ago, but owing to certain creditors refusing to agree to it, it had never been cleared up.  The old creditors had been satisfied at the expense of the new.

  The Official Receiver : So it has been a case of

ROBBING PETER TO PAY PAUL ?

  Debtor : Yes.

  During the last year’s trade you have reduced the deficiency ? – Yes, my wife has helped me a great deal.

  How much has she found ? – I could not say for certain;  when I was pressed, if she had the money, she always gave it to me.

  Where did your wife get her money from ? – She keeps a boarding house.

  When did she begin that ? – Nine or ten years ago.

  The furniture in that place belongs to her ? – Yes.

  You have been sued time after time ? – Yes.

  How did you

HOPE TO BE ABLE TO PAY

these debts when you incurred them ? – I thought I should be able to pay.  During the last 12 months I have incurred no fresh debts.  I have lost money by contracts.  I never took any large ones, and I cannot say how much I have lost over any particular contract.

  You admit that since this assignment nine years ago you have been able to pay your debts ?

  Yes, it was the old debts.

  The examination was closed, subject to the notes being signed.

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Transcribed by Gill Hollis