A MONEY-LENDER AND HIS PROFITS.

New Zealand Herald, Volume XXXIII, Issue 10037, 25 January 1896, Page 2 (Supplement)

A MONEY-LENDER AND HIS PROFITS.

The case of Robert Burden, timber merchant, Chester and Gwersyllt, came before Judge Sir Horatio Lloyd, at the Chester County Court recently. Burden's liabilities amount to some £00,000, and these had been incurred In part by his transactions with a money lender trading as Isaac Gordon in Birmingham, B. Edwards at Chester and Manchester, Spencer in Liverpool, and other names in half a dozen other towns. Gordon had beon examined at Chester before Mr. Registrar Giles, who reported him to tho Judge as a contumacious witness. Mr. Newman said, as the solicitor that examined Gordon before the Registrar, he should like to explain to the Judge that, according to the bankrupt's book, he had received from Gordon £3500, and paid him back £8500, and was still indebted to him in round figures £5000. Gordon (interrupting): It is not true; it is only £4000. Mr. Newman added that Gordon carried on business in twelve different towns under twelve different aimts. As showing the nature of Gordon's transactions, he mentioned that on April 17 Burden obtained from Gordon two advances of £150 each, for which he got two bills of £2-5 eaoh, and on each he paid every fortnight £75 interest. He did that eight times, and thus paid £800 interest in sixteen weeks, whilst the original debt remained. Gordonadmittedthattheinterestamouiited to thousands.

Mr. Newman road from a Manchester paper Gordon's advertisement, in which he said " Respectable borrowers, elsewhere paying the usual extortionate loan-office, money-lenders', or so-called banks' heavy interest ami fees, are certainly invited to come to me (laughter), and I will accommodate them on much easier terms and lower interest" (laughter). Gordon protested that he had produced all possible information, The Judge said ho would send Gordon to prison unless lie furnished a statement showing the exact sum he had advanced in cash to Burden.

Gordon (producing a written statement): Here it is. I can do nothing more. The Judge (glancing it over): Those figures aro very instructive. Some sonsation was caused in court by His Honor reading entries like the following:—Loan £1000, interest £450; loan £150, interest £75; loan £1000, interest £500; loan £250, interest £150; loan £1250, interest £850; loan £1000, interest £700; loan £000, interest £600; loan £2800, interest £2200; loan £1000, interest £900. The Judge: Do you expect anybody to believe that?

Gordon: Yoi. The Judge: Then yon will have to go somewhere else than here (laughter). Mr. Newman said that what Gordon represented as a loan of £2800, on which £2200 was charged, was not a loan in fact, as nob one single penny piece was advanced. It was simply bills. The Judge: You are asked to state the amount of cash you actually advanced. Gordon: I can tell you in two twos. The Judge: Do not talk of two twos here. I will give you a fortnight to make up this account, and if you do not produce it I will put you in prison till you do. Gordon ; A fortnight will not be long enough. The Judge : I thought you said you could do it in two twos (laughter). On the application of Mr. Nowraan, Gordon was ordered to pay the costs of the proceedings.