252 OR 1003 PER CENT.

Grey River Argus, 24 April 1911, Page 2

252 OR 1003 PER CENT.

What counsel described as an astonishing rate of interest was challenged in an action heard by M: Justice Piokford in the King's Bench Division. It was brought t'y Mr Abraham Cohen, money-lender, against Mr Robert Bradshaw, -a director of Taylor, Walker and Co., brewers, of Limehouse. The action was on a promissorynote for £1000 given by the defendant to the plaintiff for a loan of £700, to ib'e repayable in monthly instalments of £100 each. Three instalments were paid, and then the writ was issued. Altogether £700 had been paid, so that £300 was remaining. Mr Tobin, K.C., for the defendant asked his lordship to reopen the question, because the rate of interest was harsh and unconscionable. Had each instalment been paid regularly the (interest' would have been 222 per cent ; but had there been si default of 25 days after the £700 was advanced, the bill would have fallen due under the default clause, and the interest would have been 1003 per | cent. Counsel added that his clients offender to pay 20 pc rcent interest bet ore the writ was issued, and this was not accepted, itat the plaintiff was paid the whole of the loan before* the action was brought. Mr Justice Pickford said he thought the high interest charged could not be supported by the circumstances. He thought the interest should be 50 per cent. Judgment was entered for the plaintiff with costs."