L—IB

8

90. Did he tell you at the time what it was for; was it an ordinary transaction with him ? —He might have told me at the time, but I do not remember. 91. But you used to cash all this company's cheques ?—Yes, for some time more than half the cheques they issued. 92. Wages cheques? —Yes, the majority of them. 93. And you used occasionally to discount bills for them?— Yes, I have done so. 94. I want to ask you what took place about the time of A. H. Logan's bankruptcy ; about the 14th February, 1889. In January, 1889, judgment was given against Logan for a large sum for costs ?—Yes. 95. When pressed for these costs he came to you and made a proposition?—He proposed to me to take over the mine and railway to protect them from the creditors. He also sold some bookdebts of the company for their face-value, in order to keep them also from the creditors. 96. You did buy some of these book-debts? —Yes. 96a. Did you take over the line?—No, I declined to do that ; but there is something else I wish to say: When the guarantee was called up I did not know the amount it was for; Mr. Macdonald, who was my solicitor then, said that this cheque, which was then dishonoured, was given instead of Sir Eobert Stout's letter of indemnity. I asked him whether he was not present when the promise was made. He said he did not remember the circumstances, but he did remember that we were to be responsible for £50 each. This is what I was trying to get out a little while ago, when I was asked another question. I was wroth that my own solicitor should turn against me; as a matter of fact he then ceased to be my solicitor. 97. Hon. Sir B. Stout.] Did not your own solicitor denounce you for haying made an attempt to suborn him as a witness against me?—He never denounced me in his life. 98. You kept a publichouse when you gave this guarantee, did you not ?—No, not at the time I gave the guarantee. 99. But about that time ?—At any rate, when the guarantee was given, I was not keeping a publichouse. '100. Not in 1890 or in 1891 ?—lt might have been ; but not at the time the guarantee was given ; it might have been in 1891. 101. When did you cease to keep a publichouse ?—The last time about eighteen months ago ; I have kept several. 102. Was not Logan in the habit of drinking and gambling in your publichouse ?—No, not any more than playing a game of euchre for drinks. 103. Do you mean to swear that ?—Logan, I believe, has lost money, but not by me. 104. Did he not ruin himself by drinking and gambling in your house ?—No. 105. Have you ever mentioned to me, either through your solicitor, or in writing, or orally, or by letter, that you held a cheque of mine?—l never did; only through.my solicitor. 106. When?- —When the guarantee was called up. 107. Will you swear that your solicitor ever spoke to me about this cheque, or that he ever mentioned the existence of this cheque in any way?— Mr. Stewart became my solicitor after that. 108. Were you not told it was to lift a bill of Penman's in the Colonial Bank ?—No. 109. You swear that ?—Yes. 110. And you say you advanced the money to him on this cheque; why did you not sue me if you could make or had such a claim against me ?—I have told you the reason already ; because I was advised that I had no redress. 111. But if I was to give you a letter of indemnity, how was it that you never asked for it? Why did you not ask for it ?—I never did. I never asked Sir Bobert Stout to indorse the cheque ; but when'l got it it was brought to me indorsed. 112. Was this at the time you were keeping the " Shades," and Logan was constantly drinking in your publichouse ?—No. 113. What other hotel was it; was it the " Eoyal George " ?—No. 114. Did you receive any letter from Logan on the 15th of September, 1892 ; and, if so, will you produce it ?—I might have received it, but did not file it. 115. But you have it ?—I might have received it, but I do not know that I have it. 116. It was about this transaction, you know?—l might have received it. 117. Mr. Kelly.] What length of time did you keep this cheque?—l kept it about twelve months, until I required to use it. 118. The Chairman.] Why did you keep this cheque without making a demand on Sir Bobert Stout, seeing that he indorsed the cheque ? When you found you had to make good the guarantee, why was it that you did not then make a demand for the money on Sir Bobert Stout ?—I went to my solicitor, asking him to make the demand, and he said it was fruitless, for there was no redress. 119. But why did you not make an application to Sir Eobert Stout, asking him to redeem a cheque of that kind indorsed by him ?—That is the only reason I can give you : I understood I had no redress ; in fact, Sir Bobert Stout kept out of my road. 120. Hon. Sir B. Stout.] Did you not speak to me about more than these matters; and did you ever once tell me about,"or make any mention whatever of this cheque ; did you ever refer to such a cheque as being in existence ?—I do not remember speaking to you. 121. Did you not meet me one day in the street, opposite the Bank of New Zealand, and did you ever mention the existence of this cheque then ?—After the guarantee was called up ? 122. Yes; after the guarantee was called up? —I never spoke to you. 123. The Chairman.] You say you took this cheque in place of an indemnity from Sir Bobert Stout; did you consider that you had any right to use that cheque until the guarantee was called up ? -No. "i was asked to keep the cheque until such time as the guarantee was called up. 124. Did you consider that you could not use it ?—Only for the purpose I got it for. As far as I can make out since, if I could not get the indemnity I was nailed for the whole ; instead of one-