The Thrapston Foundry Co. previously Vulcan Foundry, Market Road, Thrapston
(Summary, full version below)
Mr John Burns was called to a meeting of creditors called by the official receiver at the County Buildings, Northampton on January 30th. The statement of affairs of the Thrapston Foundry showed a gross liability of £10,786 9s 4d. The debtor resided at Oaklands, Rugely and his occupation was a colliery agent. Some 12 years previously he took on the Thrapston Foundry to help his brother in law Mr John Neilson who was an undischarged bankrupt. When Mr Neilson obtained discharge from his bankruptcy 7 years ago, Mr Burns wished to retire from his connection with the Foundry, but did not do so. He had put up to £2000 of his own money into the business, but there were no articles of partnership signed. Mr Neilson had full control and benefit of the business, and Mr Burns received not one farthing, so he considered the business was really Mr Neilson’s.
Judgement was obtained against the Foundry by a creditor execution, all assets had been sold, and the business was closed. Mr Burns stated the cause was the mismanagement by Mr Neilson, but he was still personally liable for £7796, very little of which would be covered by sale of furniture at his private residence. It was possible that the Thrapston Foundry Company might still be solvent, and if a new manager was found, he (the new manager) would be entitled to these assets. Mr Burns intended to make an offer to his creditors, but it had not yet been forwarded.
(Summary prepared by Sheena Dickenson)
Newspaper report : Northampton Mercury, Friday 26th January 1894
John Burns Burns, of Vulcan foundry, Thrapston, iron founder, trading in co-partnership with John Neilson, under the style of the Thrapston Foundry Company, and residing the Oaklands, Rugeley, Staffordshire.
The Official Receiver (Mr. Alfred Ewen) has called meeting of the creditors herein at the County Court Buildings, Northampton, January 30th. The statement of affairs in respect of the Thrapston Foundry Company shows a gross liability of £10,786 9s. 4d., of which £7,799 4s. 6d. is estimated to rank for dividend.
The assets are as follow :
- Cash in hands of Sheriff, £189;
- Book debts, good, £2 9s. 9d.
- Book debts, bad and doubtful (£419 9s. 3d., estimated to produce), £1 14s. 6d. ;
- TOTAL £195 4s. 3d.
Showing deficiency of £7.606 Os. 3d.
The statement of affairs in regard to the private estate of the debtor shows gross liability £1,240 13s. lid., of which £1,025 13s. lid. is expected to rank for dividend.
The assets consist solely furniture valued at £350.
Preferential creditors claim £15, leaving deficiency of £680 13s. lid.
The Receiving Order was made on November on the debtor’s own petition.
The Official Receiver states that the debtor says he has resided Oaklands, Rugnley, tor the last ten years and that his occupation is that of a colliery agent, his remuneration being a fixed salary and commission and his place of business the colliery. It appears that about twelve years ago he took the Thrapston Foundry, with a view (as he says) of assisting his brotherin-law, Mr. John Neilson, who was at that time undischarged bankrupt. Mr. Neilson appears to have had the full management and control of the foundry. About seven years ago, Mr. Neilson having obtained his discharge from his bankruptcy, the present debtor wished to retire from his connection with the Foundry Co., but he did not so, and since that date the business has always been carried on in the name of the Thrapston Foundry Co. The debtor appears to have put, in all, about £2,000 of his own money into this business, and Neilsou also appears to have advanced very considerable sums. There were articles of partnership signed.
Neilson (it is alleged the debtor; had the full control and benefit of the business carried at the foundry, the debtor not having received one farthing. He states considered that after Mr. Neilson received his discharge the Thrapston foundry business was really his, but inasmuch as he finds that he is responsible tor these debts in addition to his own private debts when filing his statement of affairs he has included as far as he is able to do so all the liabilities and assets of the Thrapston Foundry.
Judgment having been obtained against the Thrapston Foundry Company by creditor execution followed, and the Official Receiver understands everything has been sold, and the business of the foundry now appears to be closed.
The debtor states that the cause of his insolvency is the mismanagement of the Thrapston Foundry Company by John Neilson.”
The Official Receiver adds : The debtor, with view of assisting his brother-in-law. entered upon a business speculation, and does not appear to have exercised any proper control over the details of such business. The consequence is that he is now saddled with unsecured debts in respect of his connection with the Thrapston Foundry Company, to the extent of £7,799 4s. 6d., against which the assets, as far as I am able to state them, only amount to £193 including the disputed sum of £189 in the hands of the Sheriff as aforesaid.
The furniture of the debtor at his private house has been valued and expected to produce £360. If the Thrapston Foundry Company is ultimately found to be solvent, that is to say, if the other person interested can take upon himself the liabilities, then it is presumed that he would be entitled to take the assets set out above, but if he is not able to show that the Thrapston Foundry Company is solvent, then it appears that the trustee in the bankruptcy of John Burns Burns, would be entitled to the assets if they are ultimately realised on behalf of the creditors of the Thrapston Foundry Company. The debtor states that he intends to make an offer to his creditors, but he has not at the time of making this report forwarded it.