The Sun.
London, England, 1841-11-04 00:00:00

BRANDON V. BRANDON.

Upon the application of Mr. WAKEFIELD, this ease,
which had been placed on the paper of Mr. Vice-Chan,
cam' Knight Bruce, was ordered to be transferred to the
paper of the Vice-Chancellor of England.
PRICE U. NORTH.
Upon the application of Mr. GIRDLESTONE, this case,
which was an appeal from the judgment of Lord Abingep,
the Chief Baron of the Exchequer, was ordered, to,he
placed on his Lordship's paper, it having been arranged
that neither Mr.Vice-Chancellor K. Bruce nor MtiVice-
Chancellor Wigram should take Exchequer cases.
The LORD CHANCELLOR having disposed of all his
lunatic petitions, rose shortly after four o'clock. •
The Court will proceed with bankrupt petitions.ito-t
morrow (this day).
COURT OF BANKRUPTCY, Nov. 3. '
IN TEE MATTER OF JAMES EBENEZER SAUNDER&JI
'This day being appointed ter the choice of assignees

under the fiat is lued against the bankrupt, who carried
on business as a linen Manchester warehouseman, at 48,
Friday-street, Cheapside, a number of creditors were in
attendance. After a lengthened discussion, John Covey,
Esq., of the Custom-house ; C. H. Reid, of Wandsworth-
road, gentleman ; and Mr. G. Roe, wholesale boot and
shoe-maker, of Kingsland-road, were eventually appointed.

IN THESIATTER OF RICHARD JONES.
The bankrupt in this case carried on an extensive busi-
ness as a fish factor in Upper Thames-street.
The creditors met for the purpose of choosing an as-
signee, IA hen Mr. M'Cabe, of Cornhill, was chosen.

THE EXCHEQUER BILL AFFAIR.

EXAMINATION AT THE MANSION-HOUSE OF ONE OF
THE PARTIES CHARGED WITH HAVING BEEN CON-
CERNED IN THE ALLEGED EXCHEQUER BILL
FORGERIES.
Yesterday a person of respectable appearance, named
Ernest Rapallo, who is said to be a stockbroker, was
brought before Alderman Wilson, in the custody of
John and Daniel Forrester, the officers, cliorged with
having been a confederate, with a person previously in
custody, in issuing false and fabricated bills, purporting
to be Exchequer bills.
Mr. Raven, the chief clerk in the office of Mr. Maule,
the Secretary to the Treasury, appeared for the prosecn-
tion ; and Mr. Lefroy attended upon the part of the
prisoner.
As the prisoner was apprehended by officers who well
understood their business, there was no noise or bustle
at all about the Mansion-house ; and when the examina-
tion, which lasted a very short time, came on, there were
no more than eight or ten persons in the Justice-room.
Mr. Rapallo, in being placed at the bottom of the table
opposite the Magistrate's chair, was asked by Mr. Nobler,
what his age was, to which he replied that he was in his
forty-second year.
Mr. Raven—l attend, Sir, upon the part of Mr. Maule,
the Solicitor to the Treasury, to prosecute in this case,
and call on Mr. Burnaby, the chief clerk at Bow-street
police-court, to read a statement made by the prisoner
before Mr. Hall, the Magistrate, at the Treasury, and
taken down by Mr. Burnaby.
Mr. Burnaby—l attended an investigation into the Ex-
chequer bill business at the Treasury on the 25th Oct.
Mr. Raven—Did Mr. Rapallo come there ? Mr.
Burnaby—ll e came accompanied by another gentleman.
Mr. Raven—Did he make any. statement there on that
day? Mr. Burnaby—After having been cautioned seve-
ral times by Mr. Hall, the Magistrate, as to what he was
about to say, and having been told that whatever he
should say might be used against him, he made a state-
ment which was taken down.
Alderman WiLsoN—lt was the prisoner's own state-
ment? Mr. Burnaby—lt was taken down from his own lips.
Mr. Raven—The witness will be so good as to read this
statement.
Mr. Burnaby then read the statement, which was as
follows :
" Ernest Rapallo, being cautioned as to what he
might say, stated as follows :—I became acquainted with
Mr. Beaumont Smith a great many years :ago. I intro-
duced a gentleman to him, with whom he became very
intimate. His name was Salari. He was a kind of broker.
Mr. Salari died about a year ago, and about that time I
came in direct contact with Mr. Smith about the Exche-
quer bills, about which time I took management of a cer-
tain speculation, which I had been on, but was left with
all the heavy part of the business after Mr. Salari's death.
I received from Mr. Smith these Exchequer bills to carry
on the speculation. The last time I received any is about
a fortnight ago. He called at my office in the City. To
the best of my recollection there were 81 bills of 1,0001.
each. I cannot speak positively to the number, but I
think about that number. They were placed in my hands
for the purpose of raising money on them. I asked him
if he could do anything for me in the regular way,
and he came to me and brought them. The only
particularity with him was his request to have
the same number returned to him. I knew what
situation Smith held. I knew the bills were not his
property. I did not consider it was my business to ask
him whether it was a regular thing : it never occurred
to me that it was an irregular thing. Smith was so far
concerned in the speculation, that he furnished me with
the means of carrying it on. He was to have a portion
of the profits in the event of success. Smith has lodged
Exchequer bills from time to time with Mr. Salari,
which I knew ; and after his death I considered it an
established thing. I applied to Smith, and asked him if
he could assist ree to pay for Spanish bonds. He came
to my office with a parcel, and asked me how I was
going on ? I told him I was not going on well ;
and then it was he gave me the Exchequer
bills which I last received. After which I
raised money upon them, with which I paid for the
Spanish stock. Several of the bills are now in the hands
of Mr. Mariner. I never paid him money upon the
bills. I knew Smith had nothing but Exchequer bills
to give me. Any transactions that took place previous
to the one I have mentioned, are of a similar nature.
Several such transactions have taken place, and all within
a-year. I should at all hazards have sold stock to re-
deem the Exchequer bills. Smith demurred sometimes
in lending me as many bills as I have asked him for.
Smith was particular in having the bills returned at a
given time. I can't say how many bills aro now in Mr.
Mariner's hands. I know he must have a good
many.. Mr. Morgan, another broker; knew what
was going on. I knew when the bills must be
paid, which was when the advertisement appeared.
The. mbst transactions of this sort I have had with Striith
can only be three, and the last was the greatest in
amount. I have returned all the bills I have received
from Smith. I should say he never transacted such
business with any one but myself. I had deposits made
in my hands before Salari's death. The last return was
between ono and two hundred thousand pounds, which
was in Juno last ; and the one in March was ,about the
same amount. I should think the two exchanges
amounted to 200,0001. Since the June exchange there
would be about 131,000/. I always wrote to Smith
when I wanted the bills, to the Exchequer-office. I was
always of opinion that the bills furnished to me by
Smith were bonafide good ones.

(Signed) " E. RAPALLO.
" Taken before me T. J. Hall, Justice of the Peace."
for the County of Middlesex, Oct. 25, 1841.
Alderman WiLsoN—ls that correctly the statement
made by the prisoner on the occasion you speak of ?
Mr. Barnaby—lt is.
Alderman WILSON—Does Mr. Lefroy wish to put any
question, or make any observations upon, the part of his
client ? Mr. Lefroy—l cannot see- vhy Mr. Rapallo
should have been apprehended. When he went to the
Treasury, he went of his own accord, as a free agent, to
give all the information in his power. I was not present
upon that occasion, but I have advised him to state to the
whole extent of his knowledge on the subject. He is
perfectly ready and willing to mention every atom of
intelligence of which he is in possession, and he will at-
tend here at any moment he may be required. I submit
that every reliance may bo placed on his appearance
when called upon, and that it would be improper, under
the circumstances, to detain him.
Mr. Raven—All I ask the Alderman to do is to commit
the prisoner until we shall have an opportunity to
bring forward evidence in proof of his participation
in the issue of these forgeries of Exchequer bills to
a very large amount. My application is founded
upon the statement which has been read, and from
which it is palpable that admissions were made
which are pregnant with proof that he was aware the
bills he issued were forged and fabricated. He knew
that the person from whom he received them was but a
clerk in the Exchequer-office, and upon one occasion the
bills given to him amounted to 81,0001. I trust that the
Alderman will commit the prisoner till the Govern-
ment shall have time to come down with the necessary
evidence. A remand till Saturday would probably be
attended with convenience.
Alderman WILSON—Do you expect that by that time
you will be able to prove the bills were forgeries, and
that Mr. Rapallo issued these bills of which you speak
knowing them to be forged and fabricated instruments?
Mr. Raven—l do.
Mr. Lefroy—This is really very hard upon Mr. Ra-
pallo. He voluntarily made his appearance at the Trea-
sury to communicate all he knew on Monday week. He
was ill advised by some friend not to go to his usual busi-
ness on Tuesday ; but I waited subsequently upon
Mr. Manic, and mentioned that he would be ready to at-
tend at the Treasury at :any time he might be required.
He is willing, as I said before, and ready to give every
information he possesses with regard to all the transac-
tions he has been concerned in, and indeed it is hard to
ask for a remand. There is no ground whatever for sus-
pecting that he has . been engaged in any criminal
transaction.
Mr. Raven repeated that the grounds of suspicion were
very strong indeed, and that the Government would soon
be prepared to produce evidence.
Alderman Wu.sort—lt is very reasonable in the so.
'Reiter for the prosecution to ask for a remand in a
case of so extensive and alarming a nature. It is true
I have no evidence before me to show that forged bills
have been issued by Mr. Rapallo ; but if the Government
think that they are able to show that such is the case,
and that Mr. Rapallo not only issued forged bills, but
that he knew at the time they were forged, I cannot
allow him to go at liberty. Although we have no evi-
dence against him as to the fact, there is great excite-
ment existing on the subject, and public report meets us
everywhere with the intelligence.
Mr. Lefroy—There is no ground for saying that these
gxchequer bills of which my client speaks are forgeries
i Mr. Raven—Mr. Burnaby can make a statement as to'
/that fact.
Mr. Burnaby—l can state that I believe Mr. Rapallo
issued the bills which I believe to be forgeries, knowing
that they were forgeries.
Mr. Lefroy (to Alderman Wilson)—lt really does
seem very hard that my client should bo detained under
such circumstances. He will attend with the greatest
willingness any examination here or elsewhere, at any
time you propose. His wife's health is in a very preca-
rious state', and the news of his detention in prison may
prove extremely injurious.
Alderman WiLsoN—l certainly feel that I am in a
difficulty in this case. I have no evidence before me to
prove that any forgery has been committed. Evidence
to that effect ought certainly to be produced.
Mr. Hobler—Mr. Burnaby deposes that he believes
that a forgery has been committed, and that the prisoner
' dwEaaxA
IMrscehirdi implicated.
sec uyimieeawbills
n lill hL?l,BvoeLefroy—What wBI eudr gn ea hasßurnaby
i Mr.
.Burnaby of
Mr
--no objection to
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grounds for
Burnaby-_I abbeyli—eravlianyagmzreualty to give.asnaasnwwyeirtinnyefosousrmlafantydioonul
Mr. Lefroy—The Gporvoevrne
in these traniactiotns .to allow that there are
Mr. Rapallo is knowingly con-
cernedapnryodfuocredgervvyitwnasessceosmtomitted
they ought to be preparedamwt at l.oiou
it has been long enough before thetnhrog
glthitseearctassinel
s. te
evidence.
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