The Sun.
London, England, 1870-08-02 00:00:00

THE CASE OF ESTHER LYONS.

Messrs. Townley and Gard, the solicitors for the defen-
dants in the celebrated case of " Lyons v. Thomas,"
have written a letter in answer to that published
by Mr. Lyons. They enter at some length into the
several details of the case, and maintain that
they suggestel a compromise some weeks before the case
was argued in the court. Mr. Lyons, according to this
account, saw his daughter Esther alone upon two occa-
sions, and was told there was no objection to
his daughter's returning with him to Cardiff if
he could persuade her to do so, but lie failed.
Miss Lyons afterwards refused to see her father, and
declared her conviction that such interviews were useless.
" She is," adds the solicitors, " now nearly 21 years of
age, and is a young lady of strong determination." Mr.
and Mrs., Thomas, according to this account, have not
been parties to any of the negotiations, and have not
communicated with Miss Lyons since the trial.

PROPOSED RECONSTRUCTION OF THE
ALBERT LIFE ASSURANCE COMPANY.
Lord Justice James having, when Vice-Chancellor,
officially superintended the liquidation of the Albert Life
Assurance Company, a petition emanating from it and
the several companies amalgamated with it prior to its
collapse, for the construction of a new organization, was
heard before his lordship yesterday. Sir Itoundell Palmer,
Q.C., M.P., and Mr. Fry, Q.C., were counsel for the
petitioners; whilst Mr. Wilcock, Q.C., Mr. Philip, .Q.C.,
Mr. Amphlett, Q.C., Mr. Eddis, Q.C., Mr. Hardy, Q.C.,
Mr. Napier Higgins, Mr. A. M. Jackson, Mr. Waller,
and Mr. Wickens appeared for a large number of persons
beneficially interested. Prior to the opening of the peti-
tion the Lord Justice inquired whether the whole of the
parties were agreed as to his jurisdiction. The hearing of
the matter by him in his new capacity would deprive
those who might eventually feel aggrieved of the right to
appeal,. except to the House of Lords. It was Conse-
quently very advisable that all difficultyshouldbe removed
before proceeding with the inquiry.
Mr. Eddis, Q.C., said he believed that all the parties
had expressed themselves satisfied with his lordship's
urisdiction.
Sir lt. Palmer then explained the nature of the petition
at very considerable length, referring both to the general
circumstances of the case and legal position it assumed.
The petition emanated from a joint committee of policy-
holders, annuitants, and shareholders in the Albert ; four
others (the Western Family Endowment, Bank of London,
and the Medical and Invalid), which had been amalga-
mated with the Albert, and were under liquidation ; and
three others (the National Guardian, Times, and Beacon),
which had become united with the Albert, but were
not being wound up. Several other companies
which had been attached to the seven com-
panies named prior to their amalgamation with
the Albert were also interested in the petition. For the
purpose of carrying out the proposed re-construction a new
company had been formed, and its articles of association
were registered on the 15th July last. The first thing
provided for in the agreement was that the liabilities of
the Albert should be borne primarily by the Albert share•
holders. There were, doubtless, no inconsiderable number
who would be unable to pay calls even to the extent of
the nominal amount of their shares ; but there were others
who were solvent and able to pay, not only to the extent
of their nominal capital, but extra contributions, so as to
decrease the deficiency which would be created by the in-
solvent shareholders. Everybody would be asked to make
some sacrifice ; amongst other things the Amalgamated
Companies would be expected to subscribe a certain sum
which might or might not be beyond their liabilities,
whilst the creditors would be called upon to make some
abatement in their claims. The plan for a compromise
of the liquidation and proposed reconstruction had been
submitted to the policy holders throughout the country
and had met with the assent of a very large majority, ;
the number of dissentients being quite inconsiderable ;
whilst it had been approved with the utmost unani-
mity
by an • unusually large and, influential
meeting of all• parties concerned recently held
In London, the universal opinion being that
the continuance of the liquidation practically depreciated
the value of the property from day to day without the
slightest opportunity being anticipated of any contingen
advantage accruing. •
The Lord Justice suggested that if the compromise
were effected it would be unjust in this respect. At pre- •
sent there were creditors included in the arrangement
who had claims against solvent companies, and it was un-
fair
that those creditors should be classed with others who
claimed against insolvent companies.
Several of the learned counsel coincided with his lord-
ship as to the immensity of this difficulty, but Sir R.
Palmer thought it a matter which could be overcome by
athicable arrangement.
The Lord Justice eventually decided to adjourn the
petition until after the vacation. In the meantime, the
persons interested in the several companies included in the
petition might convene meetings and express their opinion
of the proposed compromise, and that expression of
opinion would be the basis upon which the Court would
determine to proceed.

It is stated that as soon as the Education Bill
comes into operation, the compulsory clause will at once
be enforced in Birmingham, Manchester, and perhaps
Leeds.

MOSES and SON'S PRICE LIST of LONDON, TUESDAY, AUGUST 2, 1870.
F.
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GENTLEMEN'S CLOTHING CONTINUED: MR. GLADSTONE'S philosophic reasoning the other
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Also at Also at Also at Also at courage of his convictions, manifested at this most
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of the EXCHEQUER. Upon the liberality
of the money supplies vouchsafed by the
Treasury to the Horse Guards and to the Admiralty,
depends the efficiency, of course, of the army and the
navy of Great Britain. Everybody who has had
only half an eye to the departmental innovations of
the last twelvemonth, is perfectly aware of the re-
, ductions, the economies, the thrift, the cheese-par-
ing diminutions, here and there and everywhere,
effected in the governance of the navy by
Mr. CHILDERS and in the governance of the army by
Mr. CARDWELL. Everybody was consequently
startled and bewildered the other evening when the
Under Secretary of State for War in the House of
Peers, and the Secretary of State for War in the
House of Commons, announced, the one (that is
Lord NORTHBROOK) that since 1815 our army has
never been in so high a state of efficiency, and the
other (that is Mr. CARDWELL) that no hope could be
held out of the army, or even a part of it

for that matter, being placed on a War Footing.
Apropos to this -double-barrelled discharge of all our
hopes from the direction of the War Office, an ex-
Lieutenant-Colonel, writing from Harrogate to our
leading contemporary, suggests that Lord NORTH-
' BROOK, and his chief, Mr. CARDWELL, should go to
the barrack of some line battalion, and should
there ask the Colonel commanding it to
parade for them all the men medically
fit for service. Allowing the usual deduc-
tion, he says, for men on furlough, in hospital,
on baggage guard, or other detached duties, the
SECRETARY and UNDER SECRETARY OF STATE
FOR WAR will then see, he argues, what a mere
handful of men go, in this year of grace 1870, to the
making up of an English battalion. Should
they afterwards, he continues, proceed to
a cavalry barrack they would there witness
a precisely similar spectacle upon the parad-
ing of the regiment. A spectacle, of course, all
the more alarming when it is borne in mind how
horses are being bought up by hundreds for France
and Prussia, that we are without any train, that
nearly all, if not all, our regiments are undermounted,
and that in war the wear and tear of horseflesh is
proverbial, Having thrown out that sug-
gestion of a visit, being paid in succession by Mr. CARD-
WELL and Lord NORTHBROOK to an infantry and
a cavalry barrack, the writer cannot resist, adding that
he conceives the strength, or rather the weakness of
those two regiments on parade would astonish, if not
alarm, our War Ministers. "It did me," he laconi-
cally remarks in conclusion.
Nevertheless, while the facts stand thus, the
Minister who holds the purse-strings of the nation,
the Minister to whom the chiefs at the War Office
and at the Admiralty must look for the wherewithal,
if need be, to place our forces by sea and land upon
a war footing, can find it in his heart to warble in a
sort of falsetto at the Mansion House Banquet, the
German distich—
" Honour the women who weave and entwine
In oar earthly existence their roses divine ! "
can prattle even the Frenchman's jingling couplet—

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" Whoe'er thou art thy mistress see
Who was, or is, or is to be !''—
like the veriest doggerel motto of some cracker-
bonbon ! Talk of Mr. GLADSTONE'S speech on the
ballot resembling, now, the fiddling of NERO when
Rome was burning ! What, compared with that
speech of the PRIME MINISTER, are these fribbling
absurdities uttered at this most critical moment by
the CHANCELLOR Of the EXCHEQUER ?

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TOPICS OF THE DAY.

" SECURITY AND NEUTRALITY."

The policy of England was happily defined by Mr.
Gladstone at the Mansion House, as " Security and
Neutrality," but the Prime Minister was careful to
explain that our interest in the great Europeah war
now waging is something more than that of spec-.
tators. However other countries may choose to
forget their treaty obligations England has not yet
adopted such a course, and she is bound
alike by national honour and by considerations
of policy to support the independence of Brussels and
Antwerp. Unfortunately the geographical position
of Belgium and the Low Countries expose their
powerful belligerent neighbours to very strong
temptations, and a decisive victory or a crushing
defeat might drive either France or Prussia to an
infraction of treaties. However, if it be clearly under-
stood by all parties that England is prepared to up-
hold the faith of treaties and to guarantee the inde-
pendent existence of these lesser States, the danger
will be greatly diminished. If there is no uncertainty
in the language of the English Government on this
subject, they may promise us with greater certainty
" neutrality as well as " security," inasmuch as
neither France nor Prussia would assuredly willingly
provoke so formidable an opponent to throw her
weight into the opposite scale.