MAGISTERIAL

Timaru Herald, Volume LXXV, Issue 11577, 12 October 1901, Page 4

MAGISTERIAL

TEdARU—FRIDAY, OCTOBER 11th. (Before Mr C. A. Wray, S.M.) VAGRANCY. . The case of vagrancy against Albert Southwood was called on, accused pleading that he was unable to work. Sergeant Warring said that the Charitable Aid Board would only take accused back on condition that there was a sentence hanging over him if he misbehaved again. His' Worship said he could not do that, <but would remand accused to come up for sentence when called upon. If accused misbehaved himself in the Home he would be severely dealt with' if brought before the Court again. PROHIBITION. Prohibition orders were issued against two labourers, brothers, on the application of their mother. MAINTENANCE. A maintenance case between husband and wife was adjourned sine die. FRAUDULENT BANKRUPTCY. J. F. Park, farmer and sheep-dealer, Temuka, was charged on ten different counts with (1) obtaining money by false pretences from the Bank of New Zealand, Temuka; (2) intent to defraud the New Zealand Loan and Mercantile Agency Company ; (3) giving undue preference "to one creditor, to wit, the Farmers' Co-operative Association, with intent to defraud his other creditors; (4) contracting debts to W. G. Aspinall and the New Zealand Loan and Mercantile Agency without probable or reasonable expectation of being able to pay the same; and (5) having failed to keep such books of account as are usual and proper in the business of a sheepdealer and farmer.

Mr White, Crown Prosecutor, conducted the case for the Crown, and I>lr W. G. Aspinall appeared for the defence. Mr White said that the facts of the case would show that for some years past accused had been carrying on business as a sheep-dealer and fanner very extensively. The informations were laid unoer Subsection 2 of Section 137 of the Bunkrupicy Act of 1892, which held that it was a misdemeanour for any one to contract debts if there was no reasonable or probable ground of expectation of beinsr ab'e to pay them. The creditors mentioned in the information were the Bank of New Zealand £IGS 4s sd, New Zealand Loan Company £1337 Is Id. W. ft. Aspinall £2O, Thomas Buxton £172 17s 9d. As proof or evidence that the accused did so contract these debts, it would be shown that in March, 1899, he found it necessary to arrange for an overdraft at the Bank of New Zealand. He then produced an alleged true statement of his position, which he confirmed to the man-

ager of the bank on 6th November, 1900, that he owned £2OOO, and had liabilities amounting to £SO. Accused borrowed in June the sum of £2O from Mr Aspinall, and that had not been repaid. Accused admitted that he kept no proper books | As to the charge of' false pretences, the! evidence would be of the- false statements j made to the manager of the Bank of N;ew j Zealand as to his financial position. The information under Sub-section 7 charged accused with attempting to defraud his creditors. The evidence on that point would;be that on October 6th, 1900, accused 'gave a security over 2560. sheep to the New Zealand Loan Company, and then attempted to defraud the company by disposing of them contrary to the written lien, and did not apply any-part of the money to the payment of that creditor. The accused had obtained £IOO from the Bank of New Zealand through the false balance sheet shown to the manager (Subsection 20B), and had given undue preference to one of his creditors by the payment of £2OO to the Canterbury Farmers' Co-operative Association one month before he filed.

Thomas Howley, Clerk of the District Court, produced the petition of bankruptcyfiled by accused in the Court, the Judge's notes of the public examination of the bankrupt, and the report of the Deputy Official Assignee. A. Montgomery, Deputy Official Assignee, produced documents relating to the Accused's assets realised =<236 19s Id, and his unsecured liabilities were £2266. He carried on an extensive farming and sheep-dealing business. Accused kept no account books, so it was not possible for witness to know what his transactions had been for the last three J years. It was a decidedly proper thing | for a farmer and sheep-dealer" to keep aci count books, but witness could not say that it was usual for them to do so. F. LeCren, manager for the New Zealand .Loan and Mercantile Agency Company said that on October 1900, accused was indebted to the company for £1422 15s. On that date he gave a lien over 2560 sheep for £1722 15s. Shortly before the bankruptcy the company took possession under the security, and found 170 sheep, which realised £7l 3s 6d. On the date ,of filing the bankrupt owed the company £1337 is Id. Gave no authority or permission to accused to part with the sheep. Arthur LeCren, farmer at Waimate, gave evidence that on October 6th, 1900, he was stock agent for the New Zealand Loan Company at Temuka. Accused signed the lien produced in witness' presence. Had seen accused about a week befoie he signed the lien, and got a number of the sheep mentioned in the security. Some time previously accused had signed a similar document, which witness afterwards destroyed. William Lawson, auctioneer for the New Zealand Loan Company, gave evidence that he met accused two or three weeks previously to his filing, and asked him to see the manager about his account. Accused said he would do so, but did not turn up. He said he had not disposed of any of the sheep. About July 18th last sent out to take possession under the se- | curity, and got about 170 altogether. Met accused in Timaru that day, and told him that the sheep coulcf not be found. Accused persisted in saying that the sheep were there. Some weeks previous to this accused told witness/that he had a large line of the company's sheep on turnips, which were doing well, and the sale of them would considerably reduce the account. Never gave any authority to aocused .to dispose of the sheep. W. ■H. Brown, manager of the Bank of New Zealand, Temuka, produced a statement of accused's financial position on the 27th March, 1899, signed by accused. At the time accused filed he owed the bank £lOl 4s sd. The bank pass-book showed that accused paid in £7O 2s on January Bth, and £lO on May 30th. W. G. Aspinall, solicitor, said that on June 4th, 1900, ha lent accnsed £2O cash. There was no arrangement for interest or repayment, and witnass had never applied forpayment.. Thomas Buxton, merchant, Temuka, said that accnsed when he filed owed witness £172 17s 9d. A cheque for £l3O was given on 18th last, accused arranging to repay it within a w«ek. The amount had not been paid. Walter Wallis, produce manager for the National Mortgage and Agency Company, Timaru, said that on July 6th, 1899, accused consigned through the company 1166 sacks of wheat and obtained an advance by credit of £458 7s Id. He afterwards received a further credit of £63 17s 4d. Accused reserved his defence, and was committed for trial at the next sittings of the District Court on November 14th. Bail was allowed in two sureties of £IOO, and accused in £IOO. The Court ros* at 1.5 p.m.