251 F. 429 | D. Maryland | 1918
The trustee in bankruptcy asks that the bankrupt be required to turn over assets which he is alleged to have concealed. The bankrupt says he surrendered them all. The referee was directed to take testimony and report. He finds that the bankrupt has failed to turn over merchandise to the value of $9,147.74. The trustee asks that this finding be confirmed, and the bankrupt directed to deliver such merchandise to him.
The referee finds that on the 1st of November he had on hand a stock of goods which was worth not less than $5,000, and possibly twice as much. During November, December, and January, upwards of $8,100 of additional goods came in. His sales did not at retail greatly exceed an aggregate of $5,000, and the goods so sold had not cost him over $3,300. In consequence, he should have turned over to his receiver goods of the approximate value of $9,800. All that in fact came into the receiver’s hands were appraised at $526. The total appraisement of everything in his store footed up $1,196; but $670 of that aggregate was the value placed upon his fixtures. At public sale his brother bought both stock and fixtures for $905. The referee concludes that the bankrupt has failed to account for upwards of $9,100-of goods which were in his possession immediately before his bankruptcy. The erddence not only justifies, but requires, this finding. The bankrupt says that the goods appraised at a trifle over $500 actual- ° ly cost him $2,000. The three appraisers were experienced men, whose capacity and honesty were not criticized. His charge of gross undervaluation rests upon his uncorroborated testimony, and unfortunately the record shows him to be utterly unworthy of belief. The costly portions of his stock were of small bulk. They could be removed