CLYDE DISTRICT COURT.

Dunstan Times, Issue 424, 3 June 1870, Page 2

CLYDE DISTRICT COURT.

In Bankruptcy.

Thursday, the 26th of Mfty, (Before hia Honor Judge Groy.) Re William Sowerby.—Mr. Brough appeared on behalf of petitioning and examined i\lr. Michael John Malaghan at considerable length as to the nature of the whole of hia transactions with the bankrupt. Michael John Malaghan, sworn, said; I am a merchant, residing at Queenstown; Have known the bankrupt for a long time, and have had business transactions with him. I claim a quantity of property that was lately the property of the bankrupt: As near as I can say, it comprises seventy acres of land, held under two agricultural leases ; about one thousand bushels of wheat, and same quantity of oats ; a small stack of oaten hay, hut, barn, horse, cart, harness, chaff cutting machine, plough, harrows) and a reaping machine. The reaping machine I paid £35 for, and for the rest of the property £207 14s. and 4 £291 7s. 6d:. For each separate amount I hold bills of sales or mortgages executed to mo by Sowerby. These transactions took place prior to March, 1870. About the 24th March 1 wanted to settle with Sowerby. He then offered to sell me the tvhole of the property oh mV paying the i difference between the money advanced to . him and such purchase money as might be agreed between us, and also upoil my paying off a Certain bill of sale on hia • property given by him to one Arndt for 1 £lls. I accepted this offer, and he sold 1 to me. The total amount t paid to Sowerby, 1 including interest and an account for goods ■ supplied, was £620 15s lOd. At the time ■ of making this arrangement I did not know 5 Sowerby intended leaving the country. I I had a general idea he owed Mr. Wenkheim 1 and Messrs. Sallenstein money, but I thought the accounts were but small; t

asked him about Hallenstein’s, aad he replied ‘‘when I come back I will make arrangements,” that was the only explanation I had with him. I remember Mr. Wenkheim speaking to me about Sowerby. Ho said I had got a cheap farm. I said bo much thebetter for me, but I was willing to let him have it for the amount of money I had paid, together with the axp6ns6& He said he was delighted, and would see'if Mr. Hallenstein would purchase. He saw me afterwards, and then told me Mr. Hallenstein was determined to see it out with me, and had sent for Mr. Brough. Tbe absolute bill of sale is in the hands of my solicitor, Mr. Barton. On the 24th of March, when I completed the sale, I hid. hs I now observe, reason to believe that Sowerby had some transactions with Mr. Hallenstein. But that was nothing to me. I thought, I was giving him enough money to pay his creditors. I did not know at that time that Sowerby was in difficulties. I did not hear that Sowerby had permanently left till Mr. Wilson, a servant on the farm, told me. This was early in April. I hold a power of attorney, or shine such instrument executed by Sowerby, authorising me to uplift the leases 1 his document is in Mr. Barton’s hands. I have written for all the papers, but on account of the delays in the arrival of the mails, they have not come to hand. I undertake to produce to the trustee, Mr. Hallenstein, of Queenstown, the whole of the documents relating to this transaction. Possession of the property included in the absolute bill of sale was given to my clerk, ’and also to myself and Mr. Manders. The case was then adjourned till the next sitting of the Court, for the production of the papers.