The Express.
London, England, 1863-02-24 00:00:00

LAW INTELLIGENCE.
(THIS DAY.)

COURT OF EXCHEQUER.

Sittings at Nisi Pollock GuildhalL
Jury) Lora Chief
Ban aad a Spacial Jury.)

EFAVA.24 P. THE COMTE:NI OF WALDIGHAVE.

The trial of this case waa resumed at the sitting of the
court to-day. It was an action brought by Mr. John Philip
Beano, elicitor. against the Counter of Waldegrave, now
the wife of Mr. Chichester Porteous. IL P., for breach of
covenant, iCI a deed executed by her late husband, the earl,
whereby be granted to the plaintiff the next presentation
to the rectory of Morley, Essex, and covenanted to pay
him 1;40. and interest in case no vacancy should occur
during either of the live of the earl or the countess, or the
plaintiff should be defeated of the presentation. The
plaintiff said he bad been deprived of the presentation, and
not paid the 1,500/.. and he now brought the action to re-
:over that sum and interest against the defendant ea widow
of the executor. _

The defence we that the deed was not the late Earl of
Waldegrave's, that it was obtained by fraud on the part of
the plaintiff, and that in consideration of the payment of
1,510. the plaintiff had discharged the defendant from the
performance of the covenant.

Mr. Kerslake, (i.e., Mr. G. Denman, Q.C., and Mr.
Buller were counse for the plaintiff ; and Mr. M. Smith,
Q.C., Mr. Coleridge, Q.C., Mr. Serjeant Hayes, and Mr.
Henry James for the defendant.
Mr. M. Smith put in a number of letters and documents
relating to the transactions that took place between the
earl, lir. &WALD, and other parsons.
The actuary of the Westminster Insuranoe Office said
that Mr. Bexian bad effected, on the 30th September, 1845,
• policy of insurance cm the life of the then incumbent of
Boris y ; that be paid the premium at the time, 371. 195.,
and also paid it in 1846 ; but that in 1847 the policy lapsed
by non-payment.
Mr. Lebec, auctioneer, of Bond-street, said that in
April, 1841, he discounted • bill for 1,1611., drawn by
Heaven, and accepted by Lord Waldegrave. He gave the '
value of it to Mr. Heaven. The bill remained in his posses-
"dog Until 1847. Afterwards be teed Lady Welders,* sa
executrix on the bill, sod received the money, principal and
interest.

In cr*saexamination, be mid the application for renewals
were made by Mr. Beavan.
This was the awe for the defence.
Upon this evidence, Mr. Kanlake called Mr. Beavan, the
defendant, who said that he became solicitor to George
Edward Earl of Waklegrave in 1818. and remained so until
1842. During that tiros peat intimacy existed between
them. The earl's affairs were then very much embar-
rassed, but ba spent his money very freely.
Witness constantly made advances of money to
him. In 1840 the earl married the defendant, the Conn-
tees of Waldegrare. He went to Scotland for the purpose
at being married. Before then the earl and a Captain Duff
and others were charged with assault* the polices, end
proceedings had been commenced against the earl. He
advised the earl to remain in Soothed, and while he was
there he received several letter both from him and Lady
We/dopers.
[The letters were hem reed. Both the earl and the
countess expressed their elm* anxiety to get away from
Edinburgh, where they etayed during the winter of 1840,
describing the Scotch capital se a detectable place, whose
climate was seriously injuring their health. The earl some-
times asked Mr. Beavan for a remittance of money, and
mice mid that though he wished to leave Edinburgh, he
did sot think it advisable to come to London, as he could
not appear m the streets without being recognised by friend;
erediton, cabs, and cads]
The wane's, in oonlinestion of his evidence, said that
the earl and him wife cease to town in March, 1841.
He raised mosey to pay off the bills which they bad
incurred in Edielsnrgh, and which amounted to 1,3001. or
1,4001. be Mamis be procured fr .m Mr. Ulm the value
d the 1,1814 bill, accepted by the earl, and perwcatllY rive
the earl the wog for the purpose of pay* off the
Edinburgh debts. After the earl came to town he,
under advice of oonasel, pleaded malty to the charge of
swanking the polioe, and was sentenced to six months'
mint and to my • fine et 2001.
Berm—WhenThe Chid wee the trial ?
Witasse—ln the Bin's Beach.
Mr. Karelake—And Sir Frederick Pollock was conceit far
Fart Wildegrave. (laughter.)
The Lord Chief Baron—Oh, I recollect the case perfectly
well. I still think that Had Waldemar* received good
advice.

Witness—Lord Waldman medsrwent the term of im-
prisonment. I ceased to be his solicitor in 1842, but I mane
to no settlement with him until 1845. The balance of
3001. which is declared to be owing to me in the deed of re-
lease executed in that year, was entirely independent of the
1,1611., which does not appear on either aide of the
account. In 1847 I became embarramed in coneaptence
of being liable for another perms, and I gave up my esta-
blishment in England, sold my gallery of pictures and
everything else, and went abroad. I had also a large estate
m France which I also sold, and paid every creditor I bad.
I was not able to return to this country natal October last.
[The trial was proeseding when our report left.]

COURT OF BANKRUPTCY.
Mahn Mr. Oonuniesioner Fans.)
IN NZ W. WZNIVARTH.
The bankrupt was a merchant, of Threwhieedleilnet,
trading under the firm of Weatgarth sad Co. ; he was
also partner in • house at Melbourne, tied* under the
also pa Westgarth, Bean, end Elpowers. The failure took
pica seedy • twelvemonth silo, the total liabilities being
46,8914 The assets in this country were oomparstirely
small ; but • considerable amount had been realised I.
Melbourne, and the bigness have been able to declare •
dividend of 7s. 6d. is the peened. This was the adjourned
witting for disobeys.
Mr. Bargood (tastnieled by Messrs. Inwisase, flaws, and
Boyer) appeared for the ; Mr. Linklaisr for cre-
ditors ; end Mr. by Mr. Nicholson, of
Lime-street), for the
Mr. Fargood said he opposed the greeting ciao immediate
order in this case. Of the ix offences embraced in the
159th section, it wee urged that the bankrupt bad bees
guilty of two. He bad entered into • eerie of transactions
by pun:being goods for ehipment abroad, immediately
raising moaey on them by hypotheeetion, sad Applying the
funds so rinsed to mess past liabilities. Mk, it be
contended, was carrying ea trade by mere
of fictitious capital. He had also contracted
debts without probable mesas of being able to pay them ;
for be bad continued to panders keg after the absolute
insolvency of the first was well knowa both to the beak-
rapt sad hi parbms. It was right to state that the
baakrupt's boob bad bees well kept, and bet be bad not
indulged in rash sad hamedous speculation. The bank-
rupt was the sole totaiber of the firm in this country
hie partners, Mr. PASS sad Mr. Spowers, conducted
the business at Mallisarne. Th. heakrupt bad *run
at Melbourne In 1541; Bess jabs& him in 1845 ; in
bankrupt caw to reale he this seestry ; and in Jane, 1868,
*rowers, • breilebbiew ef Bow was taken into
and sited Wes at Melbearne. Up to
August, Westgarth, had teaded in this country
in his own MOW; he thee adopted the firm a
"Weetputh and C 0.," the Ifsibearne Arm4ekaown first
as Westport& and as madame W Ro and
Spews* ;so that • eNisa was always up betm ween
the beam, sad anditere were led to Wive that
they were two distinct isms. The bankrupt had
drawn on the Melbourne Ina, just as though they
were • dieting< base, and they drew upon him.
This eosins of dealing had been to as barrooa extent, mad
could only have the effect of ebbing fictitious capital, for
it was in reality one partner drawing on another. The so-
counts filed showed that Westrarth was deficient upwards
of 8,6001. at the dab of the ban ruppttcey, and the Melbourne
Arm 16,5001. The new firm at Melboune bad paid 11,400 i.
cm abbot of the fined Wes4gartb and Ross, thus damaging
the new creditersto that extant This showed that the firm
had been rotten at the core for years, and going from worse to
worse. They practically stopped payment in December. 1861,
but the adjudicateswas sot till three mouths after, a
composition having been fruitlessly attempted in the inter-
between • The correspcadspos between the partners for some
months before the balers showed that the fact of their
absolute ineolveacy was well-known and recognised by
them. From Jane to December, 1861, Weetpuih had
made parchment in this country to the amount
AWL, of which the whole bad been shipped to
the house at Melbourne, he previously obtain' n ad-
venom oc the bills of lading to the amount of 19,000 L,
and applying this money in discharge of former liabi-
lities. Thus the proceeds of the goods were pretty nearly
absorbed before there was • chance of their being realised
In only one Mebane, during the six months had the bank-
rupt departed from the system of pledging the bills of
lading, and that was in respect of 6701. worth of wine.
The goodi beteg bought at tour or six mooth's
bell.
fore was an nevitable necessity that the last creditors be.
fore the stoppage must be sufferers. The learned
roundel then read extracts from letters passing between the
partners to show that their insolvency had long been known
to them. Is February, 1861, Bpowers wrote from Mel-
bourne complaining of the difficulty of meeting engagements
there, and making remittances home at the same time ; he
said he could not "by any legerdemain"
his reroitioces differently. A mount aftearmt:
spoke of the precarious state of the firm, and said he
wrote "in the vague hope that something might turn up"
(Laughter.) The letter concluded with the prayer, " May
s way of escape be given to us." In April he " anticipated
the worst," and suggested an arrangement with the pia-
ci* creditors. In May be declared that the
" struggle looked well nigh hopeless." and said that
• month or two more would no doubt "meal their
fate." Next month be wrote that the bailees was more
depressed than ever, and that improvemeat could not be
expected for months to come. All this time Wastearth
was baying largely, solely for the sake of obtaining ad-
•110C4111 on the goods. Other letters of more recent date
pave a more gloomy view of the positioa of the house, and
ooe it was stated that "trade is getting duller and
duller/' there is mimed welling on our exchange."
[The case was proceeding when our report left]

LORD PA/minnow AND TM VOIMITZIMS.
Limitless Rea:eel O.p Ire read • geseral order. se-
noturiaz that Lord tau accepted the bosomy
colocelry of the Ist Administrative Battalion of the Crane
Porte iLdes.—Serrey Standard.