SUPREME COURT.—THIS DAY.

Auckland Star, Volume VI, Issue 1661, 15 June 1875, Page 2

SUPREME COURT.—THIS DAY.

SITTING IN BANKRUPTCY.

(Before His Honor Mr Justice Gillies.)

.Be George Thoene, June. A spfciaL sitting of the Court was held ting morning at 11 o'clock, for the further heating of this case. The business of the day was, the argument on Mr McCormick's objections . made last sitting to the discharge of the . bankrupt. ; \ ,Mr McCormick now argued ins otrjecturaa on the following grounds :— ... 1. That the bankrupt had within two months next, before adjudication, in contest- » plation of bankruptcy, and not under pressure from any of bis creditors, with intent to give an undue preference to certain of his credi. , tord. made away with his property. ~ 2. That under the same crafcumstanceß,|]i& had paid certain of his creditors wholly or ia P 3, That he had, with intent to diminish . , the snrn id be divided amongst his creditors, paid or satisfied certain of his creditors "-- wholly or in part. ... , sD 4. That he had with the same intent made : away with his property. 5. That having been to his knowledge a belief unable to meet his engagements, he ', had without reasonable excuse failed to file a declaration of bankruptcy. 6. This count had reference to the bankrupt having paid J. &. Kinross and Co., of , Napier, £500 after adjudication. 7. This count had reference to the concealment of the debt of £100. due to the bank- - Tupt.by Messrs Ryan Bell.and Co. under Drawback Act. The Bth ground set forth that debt appear- ' >~ ing in the statement of accounts filed on the 3rd May, 1875, a3 due to Kinross and Ca for flax, was incurred by fraud. 9. That the bankrupt had, with intent to » conceal the state of his affairs, kept his boots imperfectly. 10. That the bankrupt, both before and after his bankruptcy, had conducted himself so as to defeat the Jaw of bankruptcy by making away with his property in neglecting: ; end refusing to give information necessary to ' ■ the management of the estate by the trustee, in failing to prepare, sign, and file, accord- . ing to law, his statement of accounts, and in I noi submitting himself to be examined according; to the law of bankruptcy. His Honor pointed out that in the Ist ;^ 2nd, 3rd. and 4th counts the learned counsel had omitted the important word "fraudulently." The omission was supplied, and Mr MacCormick: proceeded with his argument, which, « occupied all the morning. He laid the greatest stress upon the first ground of ob- . jection. The main object of the law of bankruptcy was to compel an equal '■; distribution -61 the property among the creditors, and the language of the 2nd sub-section of the 120 th clause was very plain upon the point. T,he learned connsel quoted " In re Barton," 31 L.J. N.S., Bankruptcy 7, and other precedents in favour of his arguments. He had no difficulty in ; understanding the bankrupt's course °f conduct' prior to his adjudication. He hid known for some time that the *firm was f»st drifting into the Bankruptcy Court, and he made up his mind that he would not, so to speak, '"work a dead horse." He; had admitted, that he had made payments in order to const itute the Bank of New South.Wale* • his sole creditor.

(Left sitting).