The Sun.
London, England, 1853-11-02 00:00:00

TO THE EDITOR OF THE SUN.

beg to suggest the importance of immediate
and general inquiry into the case of every prisoner for
debt, or contempt, in England—who has been confined
three months without applying to the Insolvent or
Bankrupts Court ; also the case of every other prisoner
who solicits such inquiry, and power for this purpose
should be vested in the commissioners of the Insolvents
and Bankrupts Court, for it is far beyond doubt that
hundreds are imprisoned unjustly—in fact not to enforce
payment, but to prevent the just application of property,
and for the purpose of more conveniently defrauding
their victims.

In building transactions such cases have been of com-
mon occurrence, on account of the high rate of interest,
large margin of value, opportunities for disputing every
advance as the works proceed, and preventing the crea-
tion of income by withholding the advances required for
finishing ; and because mortgages in budding transac-
tions are usually executed upon arrangements to advance
funds as works proceed ; in fact, it is obtaining a mort-
gage without a shilling of consideration, and obliging
the mortgagor to exhaust his means and credit in im-
proving the security. It appears incredible that such a
heartless system of fraud should exist in a great com-
mercial country where impartial justice is supposed to
be administered, yet such is the fact, and to an enormous
extent. The course of practice is to select the most
valuable building estate which the apparent respec-
tability and means of the mortgagee and his solicitor
will enable them to obtain, promising the owner every
assistance he may desire to create income by the erec-
tion of houses, and to make the required advances as
works proceed under the direction of an architect acting for
the mortgagee, but at the same time inserting a much
smaller amount in the mortgage deed than the value of
the works planned by the architect. This enables the
mortgagee and his solicitor to find, some pretence for
disputing on every advance when required. The mort-
gagor is thus led into liabilities, and when the houses
are roofed the mortgagee will as soon after as possible
refuse further advances ; the debts for works and
materials therefore remain unpaid, notwithstanding
their value has been added to the security. The
houses, of course, remain unproductive, because they
are unfinished, interest in the meantime accu-
mulating, and professional costs and other charges
are increasing, and the mortgagee and his solici-
tor then commence their complaints about not being
able to obtain payment of interest, and return of the
amount advanced, which they have taken care the mort-
gagor shall not have the means of paying. The only
means contemplated for repayment having been by let-
ting and selling the houses, originally arranged to be
finished, by advances to be made by the mortgagee, and
from the period of signing the mortgage deed, the most
dishonourable means is taken to prejudice the mort-
gagor, which, added to the want of income, prevents
a transfer of the mortgage security. At this stage
of the fraud the mortgagee gives notice of sale,
and if the mortgagor has not the means of protecting his
property by repayment of the advances, or by filing a
bill in Chancery, it will be sacrificed in its unfinished
state to the mortgagee, his solicitor, or persons con-
nected with him in the transaction, and shortly after
the mortgagor will have the mortification of seeing the
property producing a large income in proportion to
the outlay of the guilty party in the transaction.
Persons who carry on this description of fraud rarely sup-
ply the means of finishing houses for if they did so rents
would be created to pay interest, and the houses become
marketable to repay advances, thus defeating the fraud
originally contemplated. It is very common for such
persons to attack the mortgagor by a claim in Chancery.
Notice of sale, and also proceedings at law for recovery
of the amount which they allege, are due from their vic-
tims. All these proceedings going on at the same time,
with the assistance of other legal proceedings by credi-
tors that have been left unpaid for the purpose of in-
volving their victims in debt and difficulty, and obtaining
judgments against them. The want of public attention to
this description of fraud has been the cause of depriving
thousands of widows and orphans of property ample for
their support, if it had been fairly protected, and
timber, lead, iron, and other merchants and bankers
are also defrauded of their just claims. This estate-
stealing mortgage system is in principle similar to bill-
stealing, but carried on by a more wealthy class of
practitioners and capitalists, who have hitherto escaped
prosecution, under the protection afforded by the
Court of Chancery. Numerous cases of similar character
have come under my observation. The solicitors and
money-lenders who practise frauds of this nature, calcu-
late on the aversion of men of property to expose them-
selves in the Bankrupt or Insolvent Courts to obtain pro-
tection. The power of investigation would also protect
the public against much fraudulent litigation to which
the victims are at present obliged to submit. lam con-
fident that if such power of inqury existed there would
not be one-half the number of prisoners confined for
debt or contempt, and at the same time it would assist in
obliging the fraudulent debtors to apply the best means
tol meet all just claims against them. The inquiry
should be held at the respective prisons after giving the
detaining creditors seven days' notice. Of course the
commissioners holding the inquiry must have the power
of discharging prisoners on such terms as may appear
just between debtor and creditor. There are other ques-
tions of importance worthy of consideration by the law
officers of the Crown, viz., that of obliging the detaining
creditor to make an allowance to his prisoner as in other
countries. The extent of time for imprisonment for debt
and the limit of power to imprison beyond a certain
age; for within the last month there was a prisoner in
the Queen's Bench of the age of 88 at the suit of his
own son ; and two females in the same prison died,
shortly before, at the respective ages of 86 and 94, both
victims of Chancery proceedings. In my opinion
females of all ages should be protected against imprison-
ment for debt, the same as the other sex during their
minority. The less credit they have the better for their
general comfort and happiness

When a, felon is takeiiby a police officer, he is removed
from the station to the police office for examination
by the magistrate, before he can be committed to prhon,
and thus an opportunity is afforded him for explanation
and defence. I am therefore at a loss to understand
why debtors, when arrested, are not taken from the
lock up house before a judge or commissioner at cham-
bers for private examination previous to removal to a
prison where, by confinement, the difficulties of honest
creditors are increased, and consequently the means of
payment of their debts diminished. A similar investi-
gation appears desirable previous to allowing a detainer
or vesting order—the latter particularly, because they
are frequently applied for to enable dishonest solicitors
to obtain the management of property they would not
be entrusted with under any other circumstances.—l

am, &c.,

OBSERVER.

THE NEW CAVALRY REGIMENTS FOR INDIA. —ln
answer to numerous inquiries that have been made at
the India-house by parties interested in military mat-
ters, it has been authoratatively denied that there is
any truth in the
,report for some time past circulated,
that three additional India cavalry regiments were to be
raised, one for each Presidency. Those, therefore, who
expect commissions in the new regiments will have
long to wait, seeing that no intention of raising such
regiments ever existed. Nevertheless, the applications
through the Military Department at the India-house,
made by individuals and officers seeking commissions,
have been considerable ; and it has been thought ad-
visable to disabuse such parties of the idea that any
new opening for entering the service exists.
MELANCHOLY DEATH OF A GENTLEMAN OF FORTUNE.
—Yesterday, information was forwarded by Mr. Cook,
the summoning officer of St. Mary, Newington to W.
Carter, Esq., coroner for East Surrey, of the following
melancholy death of Mr. George Webster, a gentleman
of fortune, residing at Walworth. On Saturday morn-
ing last the unfortunate gentleman, while in the act of
crossing Parliament-street, near the Treasury, was
knocked down by one of the Westminster omnibuses,
and on being raised from the ground it was found that
he had sustained several severe injuries. The assistance
of Dr. M`Cann, surgeon, of Parliament-street, was
promptly procured by the police, but the deceased, at
his own urgent request, was conveyed to his residence at
Walworth, where it was afterwards ascertained that his
right leg was extensively fractured, from the effects of
which he gradually sank, and expired on Monday even-
ing last. The deceased gentleman, before his death,
stated that no person was to blame, but that the melan-
choly accident must have arisen from his (deceased's)
extreme deafness.

ENGLISH V. AMERICAN CLIPPERS.—ERRATITM.—In
speaking yesterday of the performances of the Aberdeen-
built clipper ship Stornoway, we stated that her com-
petitor in the race from China was the Challenger,
whereas it should have been the Challenge, a large and
powerful American ship of about 2,C00 tons. The Chal-
lenger is a Thames-built ship, from the yard of Messrs.
Green and Co., of Blackwall, and has always done her
work well.

A CRUEL Hoax.—The Liverpool Mercury says :
The turn-outs at Preston were hoaxed last week by re-
""
ceing a letter, dated "Boreland House, Chelmsford,
thesi ed John Tyrrell, and containing
shapesome-
thing of a cheque for 500/., which it was
tOlic
otu.g2h4iil' ti' was a donation from Sir John T, Tyrrell, 3.1,1).,
the colleague of the noted "W. 8."