The Sun.
London, England, 1863-11-27 00:00:00

best known *0 hinist.:tf, iEmpeed 415 fate by
this coanr3, he was at once surd by
the " official managers" of the notorious London
and Eastern Banking Corporation. It is true that
he surrendered and claimed the protection of the
Bankruptcy Court, but the right of action belong-
ing to the plaintiffs was not affected by this act,
and, failing to get their demand admitted by
that
Court, they reverted to their remedy at law. Nor
did they atop here. Having issued their writ, they
made an affidavit that they had probable cause for
believing that the defendant was about to quit
England, and got an order directing him to find two
sureties in £50,000 each for his appearance. This it
seems he was unable to do, and the consequence is
that for some time past he has been residing in
Whitecross-street Prison. An application was made
not long since to a Judge at Chambers to procure.
his discharge from custody, but after a careful argu-
ment it was refused with costs. He then applied
to Mr. Commissioner Goulburn, but here he met
with opposition from the assignees, whose expe-
rience of Colonel Waugh made them as unwillieg
as the plaintiffs to let go their hold of him. How-
ever, that opposition has now been withdrawn, and
the Commissioner has resolved to grant the dis-
charge for which the Colonel petitions, iu cese
no appeal should be lodged within a fortnight'
by the detaining creditor. Until that time thia
dangerous gentleman remains in darance, and
must postpone any arrangements which he ma,"
have made for his return to the more genial climato'
of Spain. The grounds upon which Mr. Commis',
sioner Goulburn vindicates his judgment are of
very unequal validity. That which he puts first at,,
foremost is the advantage to the assignees 800
creditors of obtaining a fuller disclosure than they
could otherwise expect. "It was obvious to every'
person of common sense that neither the accountants
appointed by the Court (Messrs. Brown and Dubois)
nor the solicitor to the assignees (Mr. Linklatser)
could make proper inquiry into the case while Ws
bankrupt remained in prison." Upon such a point;
as this we readily bow to the Commissioner's opi-•
neon ; but, obvious as this may be, it is not less
obvious that the interests of justice would be still
more seriously defeated by the bankrupt's abscond-
ing, and rendering no accounts at all. It is antis
factory to know that very voluminous balance-sheets
are in course of preparation, but we have heard
enough of the Eastern Bank to make us very scep-
tical as to any new figures being introduced on the
side of assets, and enough of Colonel Waugh to
diminish our confidence in the value of his services
as an accountant. The Commissioner tells us that
the primary object of the 112th section of the
Bankruptcy Act passed in 1849, permitting such
releases, was to facilitate a complete discovery of
the bankrupt's estate and effects. This may be true,
but we cannot help observing that this very sectiorr
recognises an exception in the case of persons who
are confined " for any debt contracted by fraud or
breach of trust," as well as those who have been.
convicted of offences less heinous than those alleged
against Colonel Waugh. Assuming, as we are
hound to do, that the Commissioner has kept wiAthira
the letter and spirit of this exception, we think it,
plain that the Legislature did not mean the &Is-
cretion of the Court to be exercised, if it could be
helped, in favour of bankrupts who deserve no Lo-
daigence. Besides, the section empowers the Couet
to insist on its own conditions, one of which
might reasonably be the production of adequate
bail. We should have the more right to expect
this security to be taken if. as in the present in-
stance, every large sum had been al ready fixes by one
judge and approved by another. On the other hand,
it is fair to mention, for what it is worth, the state-
ment of the Commissioner as to the nature of the
plaintiffs' claim. It is by no means clear that the
having attempted and failed to substantiate it in
Bankruptcy would be a bar to proceeding by wag
of action, but if it be true that " the debt was
barred by the Statute of Limitations before the arrest
was made," even Colonel Waugh is entitled to the
benefit of that fact. We can hardly doubt that it is
the consciousness of this fla w in their own case that
has deterred the plaintiffs from carrying it anY
further for eight months. It is possible that on this
ground, which the Commissioner will not allow
to
be the main one, the substance of his decision WI
be confirmed on appeal. With the expressions that
fell from him in deprecation of prejudice against
the bankrupt we can have no sympathy. Excew:
sive bail" may, no doubt, be used as an engine 0.1
oppression, and is prohibited by our law ; but it is
difficult to say what bail is excessive when the per;
son arrested is one who hire diverted hundreds o'
thousands of pounds from the pockets of others in to
his own, and has made off wheel detection was cat
min. Colonel Waugh stands self-condemned. 10.
fled this country when it was vital to his character
that he should remain. He chose disgraceful lin
s
punity rather than the choice of establishing his
innocence, because he then believe d that chance to
be desperate. What his motive for now braving
the latter alternative may be we colnnot say ; but
until he clears himself every presturotion must bet
and ought to be against him. Should he succeed in
giving this last proof of his genius, be' may revive,
if he pleases,the orilliant entertainment st of Carupdeo
House, and dazzle London, like Cagliotwro after 11.1 g
imprisonment in the Bastile. But to uu
that he has wrought, and to silence the bitterhini67
proaches of those who were induced to t." list Gibe)
is past his power, even if his conscience be, csP"
of suggesting the desire. do the ruin