In the same matter and James Middleton.

Inangahua Times, Volume IV, Issue 67, 12 September 1877, Page 2

In the same matter and James Middleton.

This Was a similar application. Mr Sduth appeared to support the application, and Mr Reid on behalf of the Liquidator opposed. Mr Guinness appeared to oppose on behalf of certain creditors. Mr South read a medical certificate from Dr Maurice, stating that the journey to Beefton would be attended with danger to the life of /the applicant, he being in a very bad state of health. Mr South contended that the transfer was also a broker's transaction, and the affidavit alleged that the sale was a throughly. bona fide one. His ., Honor said ho could not quite follow the learned counsel in his remarks > relative to " broker's transaction." It did not follow as a "matter of s course, that because the transaction was effected by a broker that therefore it could not be questioned. A transaction might be quite bona fide, as far as the broker was concerned, but so far as the real parties to it were concerned, the buyer and, seller, it might be a complete sham. Mr South submitted that unless the 'truth of" the r'ffidavit filed was impugned, 1 the allegation-* of, bona fides could not be attacked. „.,;•. ■ His Honor said tjiat tho transaction might bo thoroughly bona fide so far a* the broker was .concerned, but what was '•there" to., show that it was so as between buyer arid sclle.-. Mr South pointed <>ut the broker testi- ! fled to the purchase money having passed. His Honor-said that might be so, but . for „a if, t he Court! could gather from the affidav.it', the seller may hare provided the i purchase money. - After some further argument, his ■ Honor said, in the face of the medical !■. certificate put- in he should not think of • ordering,, the personal attendance of Mr ', Middleton at Reefton, But as it was f quite evident that the. true -facts of t ( h.e 'case could not be elicited without such > an .examination,: the case would stand > adjourned for hearing at Greymouth, on ■ the 29th October,' ■ ' I Adjourned accordingly. 1 In the same m'attdr Re James Stewart. ' This was an application by James ' Stewart to be. removed from the list ol ' contributories 1 uf on the ground that he ', sold ar^d transferred his interest some : time prior to the initiation of the winding 1 up. proceedings. ' '■ .Mr South appeared in support of the* ' application, and- Mr Reid ou behalf of 1 the liquidator appeared, to, oppose. L „SFhe following evidence was taken :— ' William • -M'Le'ah'-Wl' am liquidator, in ■ {the ina'tter of , therßainy;/.Creekir: ( Coaip;any. ' The 'fia'me of James' < Stev^ai , t : appear^ upon; 1(1!*'. i.i .!'.''". IJJ ClJj'Ktitlt,' 1 1i-,ft.,: V l , rl th,e. register injrespect.tq 50.0 shades, and, " it is shown that in June he transferred 1 to 1 'oho' Christy. I 'can't say that I can ■ ; attack, the bona -fides. 1 regarded all ; transfers after the- 29,th May as sua- »'• picious. '' •'■•■•' ■ ' ■ .' , Henry Cornfoi't — I ..am a timber mers chant, residing at Kumara.. I am, the ) attorney of James Stewart, and produce I 'written authority to act. s Mr South - submitted that as theV liquidator could not attack the bona, fides f of the. transaction, it was hardly neces" s s'a'ry that the case should, go. further. > By Mr Reid — Stewart is amaster i mariner trading buy^^l.uneclin, ' I am • , authorised, to, act ou'UisbeßalF. ,1 traris- ■ . ferred his shares to one Christy. Stewart i 'hud' been here in the. early days, and held i-\numejpu^;i^l;eji:e/ts^ v In, April,; Jß76, he iiwrote'.to-JVEnMoasanstructiug him to sell ' all J his ; "sha'res 'if not to? Sfc'hd'to nie . Finally l .I, got. Christy. to tal^e _the.m ; . , The money mentioned in the transfer was not paid at the time I told him' (Ohris.tyV I would ; give him time to pay. I kiievfr Christy i (personally. He is a carter,. , Ha has not since paid, the mpuey'. I made n.6 arvange; : . ment by which, I was to get the. shares ' back, and considered it an absolute transfer. I thought the money would be paid, aud had no idea afc the time of liquidation. Had not hoard anything about the Company being in liquidation. By Mr Sou,th— The money was not paid.

Christy had an open account with me, and I held him liable. His circumstances were such as to warrant me in giving him credit. It was a bona title transfer. By the Court — Christy was working for me. I spoke to him about the shares, and tolcThim. he. might make some money out of them. Mr Reid said he had no desire to press the opposition further, The explanation, given appeared satisfactory. s His Honor concurred, and the name of James Stewart was ordered to be removed from the list of contributories. His Honor added that the liquidator was quite justified in, the course he had taken, and complimented Mr South upon the completeness of the affidavit filed in the case. Costs were allowed the- applicant as also £5 5.<. counsel's fee.