The Sun.
London, England, 1860-07-21 00:00:00

THE SUN, LONDON, t,ATURDAY EVENING, JULY 21, 1860.

O ricE OF DIVIDEND. —BANK OF
-±-1 DEPOSIT (Established A.D., 1844), No. 3, Pall-mall
East, London, S.W.—The WARRANTS for the HALF-
YEARLY INTEREST, at the rate of 5 per cent. per annum,
on Deposit Accounts, to the 30th June, are ready for delivery,
and payable daily between the hours of 10 and 4.
PETER MORRISON, Managing Director.

July 1.0, 1860.
Prospectuses and forms sent free on application.

Pall-Mall.—lmportant Sale of Capital Champagne, Sparkling
and Still Hock and Moselle, Claret, a Butt of Duff Gordon's
Sherry, and 36 quarter Casks of Gould Campbell's Sherry.
ITESSRS. FOSTER are directed to SELL, by
AUCTION, at the Gallery, 54, Pall-Mall, on FRIDAY,
27th inst., at 12, the following superior W INES, viz.:-300
doz. Champagne, from the stores of the celebrated house of
Binet fils, in cases of one and three dozen ; 400 doz. Sparkling
Hock and Moselle (Yriqoyh's and Co), in cases of one and
three dozen ; 100 doz. of Rhudesheimer and Markebrumer
Still Hock ; 50 doz. St. Julien Claret. Also. 36 quarter casks
(same mark and consecutive numbers) of Gould Campbell's
Sherry and a butt of Duff Gordon's Sherry. These Wines,
lying in the London Docks and Bonded Warehouses, are
ordered for absolute sale. Messrs. Foster believe they will
all be found extremely good..
- - • -- -

sgample and Catalogues can be had any time after Monday.
No. 54, Pall-Mall.

BY RER MAJESTY'S ROYAL LETTERS PATENT.
(Granted 1860.)

MR. A, ESKELL, Surgeon Dentist, 8, Lower
Grosvenor-street, Sole Inventor and Patentee of an
Invention which has for its object the Perfect and Painless
Adaptation of ARTIFICIAL TEETH, upon a novel prin-
ciple, whereby one set of teeth lasts a lifetime, and a second,
or reserve set, is unnecessary. Changes take place in the
mouth from absorption of gums or removal of stumps, teeth,
ie., and ordinary sets would, under these circumstances, be
comparatively useless, er only rendered available at some
cost, but upon Mr. Eskell's patented process they are not im-
paired in the slightest degree. Residents abroad, or in the
country, have it in their power to adjust their artificial teeth
at all times without the aid of a dentist. Mr. Eskell does
not grant licences to use his patent, which can only be ob-
tained at his residence, 8, Lower Grosvenor-street, where the
medical profession, the nobility, gentry, and the public may
see specimens, and obtain every information. Teeth stopped,
dr,c. All consultations Free.

8, LOWER GROSVENOR-STREET,
And Bennett's Hall, Birmingham.

RCPTURES.-BY ROYAL LETTERS PATENT.

WHITE'S MOO-MAIN LEVER TRUSS
is allowed by upwards of 200 Medical Gentlemen' to
be the most elective invention in the curative treatment of
HERNIA. The use of a steel spring, so often hurtful in its
effects, is here avo:ded—a soft bandage being worn round the
body, while the requisite resisting power is supplied by the
Moe-Main Pad and Peent Lever, fitting with so much ease
closeness that it cannot be detected, and may. and thebe worn
ding sleep. A descript: ve circular may be had„
truss, which, cannot fail to fit, forwarded by post, on the cir-
cumference of the body, two .aches below the hips, being
sent to the manufacturer,
Mr. WHITE, 22-s, Piccadilly.
A Single Truss, 165., 215., 265. 6d.,.'and 31s. 6d. Postage, ls.
A Double Truss, 31s. 6d., 425., and 525. 6d. Postage, le Bd.
An Umbilical Truss, 425. and 525. 64. Postage, ls. 10d.
Post-office Orders to be made payable to John White, Post-
office, Piccadilly.

PLASTIC STOCKINGS, KNEE-CAPS, &c., for
Varicose Veins and all cases of Weakness and Swelling of
the Legs, Sprains, Sr.c. They are porous, light in texture,
and inexpensive, and are drawn ()Mike an ordinary stocking.
Price 3s. 6d., 7s. 6d., 10s., and 16s. each. Postage 6d.
JOHN WHITE, Manufacturer, 228, Piccadilly.

what lax, and on being discharged joined the corps
of Royal Marines. His crime was that of having
struck his sergeant a violent blow on the mouth,
on the second occasion hurling a heavy stone at
him, threatening to do for him; and when before
Col. Rea, the commandant, having asserted that he
could not sleep nor die happy until he had taken
the sergeant's. life. So violent was the prisoner's
conduct that he had to be kept handcuffed during
his trial, and was in charge of a double guard, to
prevent his committinc, any outrage in the court.
After hearing the evidence, the Court found him
guilty, and the sentence passed on him was for-
warded to the Admiralty for approval.

MESSRc'. ST_R E TFEILD, LAURENCE,

AND 210.RTIMORE'S FAIL UI~E.

A very numerous meeting of the creditors of this
firm was held yesterday, at the London Tavern, to
hear a statement of the affairs of the insolvent firm,
and to consider generally what steps were to be
taken with regard to it.
On the motion of Mr. W. Turquand, the ac-
countant to the estate, D. W. Chapman, Esq., of
the house of Overend, urney, and Co., was called
to the chair.

The Chairman called on Mr. Tarquand to read
to the meeting the following statement of the
affairs of the firm, together with a statement of the
deficiency :
STATEMENT OP AFFAIRS, JULY 2, 1860.

DR.
To creditors on deposit account
To creditors on open account, including a
portion of bills payable to be retired by
drawers for whose account they have
been accepted £67,148 12 1'
Less amount which may be
claimed by comiguors of
goods—
From debtors ..X6 551 7 8
From bills re-
ceivable onband 2,467 0 9
9,018 8 5
58,130 3 8
To creditors on bills payable £151,678 0 5
Less amount which it is ex-
pected will be retired by
drawers for whose account
they have been accepted .. 79,083 2 11

Leaving to rank against this estate 72,594 17
To creditors partly secured for loans on bills
receivable
Less estimated value of bills

held £18,483 11 11
And cash ba-
lances in hand 1,848 10 0

20,332 1 11

Leaving to rank against this estate .... 20,361 15 10
To creditors fully secured for loans on shares
and on bills receivable, deposited, and on
bills discounted . 5129,430 1 5

Estimated value of securities

held £152,61019 6
Less claims of creditors, as
above .. 129,439 1 5

Surplus to contra £23,171 18 1

To Liabilities—
On bills receivable in circu-

lation
Of which it is expected there
will be paid
in full ....£110,502 19 1
Amount held by
creditors partly
and fully se-
cured
249,031 6 11

Leaving to rank against this
estate £518,699 1 9
Less balances in _banker's

hands £2,838 18 1
And shares held as
security .. 1,320 0 0

4,158 18 1
- 514,540 3 8
To liability on notes of hand

Liabilities £744,448 0 0
CR.
By balance at bankers'—
Heldas security against bills
discounted L2,838 18 1
Ditto, by creditors on loans. 1,871 12 6

£4,710 10 7

By bills receivable or. hand
July 2
Less amount
written back
included in
debtors —L45,747 2 5
And amount
liable to be
claimed by
consignors
of goods ....2,467 0 9
-------- 48,214 3 2

Balance
Estimated to produce 7,776 12 2
£7,776 12 2
Loss ...... .X 5,167 13 7

By debtors good ' £43,350 12 11
Less amount liable to be
claimed by consignors of
goods
__________- 38,799 5 3
Doubtful £217,670 4 1
Estimated to produce 66,499 1A 2
~_____. 66,499 18 2
Loss £151,170 5 11
Bad, loss 34,683 9 6
By shares and sundry assets ...... . .... 20,376 12 7
By shares held as security
against bills discounted ....1,320 0 0

By surplus secu-
rities £10,898 14 6 10 898 14 6
By ditto upon ,
which special
questions arise 12,273 3 7 12,273 3 7

See contra.£23,l7l 18 1 £142,351 2 8
By estimated surplus of the
separated estates of Mr. T.
Laurence and Mr. William
Mortimere .............. 60,000 0 0
72,273 3 7

Deduct—
Creditors to be paid in full
Expenses of realisation ............

£214,624 6 3
, 483 12 0

Assets
••••..•.••••£214,140 14 3
STATEMENT OF DEFICIENCY, JULY 2, 1860.
Dn.
To liabilities, as per preceding page £744,448 0 4
To profits from Jan, Ito June 30
To reserve fund ........ . ......
. .....
To Partners' Accounts
To bad debt reserve fund
T. Laurence ............£47,076 0 1
W. Mortimore

______-- To Eurplus from separate eat 85,177 3 11
ates of Mr. T.
Laurence and Mr. W. Mortimore

CR. £956,007 1 7
By assets, as per preceding page £214,140 14 3
By losses written off, as per preceding state-
ment—
On bills receivable in hand £5,167 13 7
On doubtful debts .. 151,170 5 11
On bad debts

------ 191,021 9 0
By estimated loss on bills receivable, de-
posited as security against loans ...... 77,001 18 11
By loss on estimated value of pro Petty.:: . . 1,979 16 6
By liability os. notes of hand ............ 10,000 0 0
By difference in books .............. 24 6 6
By liabilities on bills receiv- ..
able discounted £518,699 1 9
Less amount of drafts in
excess of balances due—
For account of Streatfeild
and Co £26006 6 0
Do. Laurence,
Mortimore, &
Co 30,3:58 19 4
56,860 5 4

461,838 16 5

£956,007 1 7
Mr. TURQUAND continued—Of course it was
clear, on the face of this statement, what were
the causes which had brought about the suspen-
sion of this ho use. But perhaps it would be thought
desirable that he should give the meeting some
outline of the progress of affairs which had even-
tually led to I:Jlns suspension. He would not, how-
ever, carry 'them farther back than the Ist
January, 185'7 . On that day he believed that this
firm was pe:rfectly solvent, for the debts which
were now rep:resented to be bad constituting such
a heavy porthi )n of the liabilities, though they now
amounted to, nearly £BOO,OOO,
yet on the Ist
January, 1857, they were no more than £365,000.
But since that period they ;lad gradually gone on
increasing tilt they reached the immense sum he
had stated. Cif course it w‘sald appear impossible
that Messrs. Laurence and Mortimore could rea-
sonably expe et to htse
.any way of relieving them-
selves from 1 he he ivy losses that they had thus
sustained. But he thought it right to mention
that there were t o sources to which they looked
for replacement ( d: these assets. The first was a
large asset on the ,estate of Mr. Vere H. Smith, of
Abergavenny. tr. James Smith, who was a large
debtor to the fi ma, the firm of Messrs. Smith,
Patient, and Co., End Mr. Laurence, were all en-
titled to share in tine residue of the estate of Mr.
Vere Smith, whit to was expected to realise to them
£lB,OOO each, ai id Mr. Laurence had reason to
believe that wh( ra. these assets were realised the

payment of Mr. Laurence's share, and the other
shares would go to a considerable extent to relieve
him from those debts. But the division of the
money was detained and still remained as assets.
The ether source was the profits of the business.
He found that during the last three years, during
which they had incurred these heavy debts, their
gross profits amounted to £133,000 ; their gross
charges for business, which were little less than
£7,000 per annum, or £21,000 in three years, left
a net profit of £108,813 in the three years. It was
right to mention also that Mr. Laurence, seeing
such a large amount of bad debts standing in
his books, determined to apply the larger part of
the- profits in their reduction. In the year 1857
the profits amounted to. £27,881, the whole of
which was written off to bad debts. In 1858 the
profits amounted to £39,792, of which £30,000 was
taken to suspense account, and £9,792 was applied
to the bad debt fund. Nothing was taken to the
credit of the partners in either of these two years.
In 1859 the profits amounted to £42,830, of which
£30,000 was taken to the suspense account, and
£4,830 to the bad debt fund,
,while £4,000 was
taken to the credit of each of the partners. So that

in three years the sum 0r£108,503 was set aside to
the credit of bad debts. 'As he was on this subject,
he might mention, in order to dispel certain mis-
apprehensions which existed with respect to the
practice of the firm to charge a heavy commission
on the renewal of these bad debts, he had heard it
stated himself, about the period.of the suspension,
that they had been in the habit, on occasion of a
renewal of bills, of charging their debtors a com-
mission of 2 per cent., which on bills renewed every
three months would make 8 per cent. per annum,
and with the 5 per cent. which they always charged
would make 13 per cent. per annum on all renewed
bills. He would state, however, that this was not
the case. No charge at all for commission was made
except on those houses where the debtors purchased
goods from other parties, and then asked Messrs.
Laurence and Mortimore to pay in cash, and came
on them for the amount—in those instances they
did charge a commission of 2 per cent., but the
practice was confined to them, and they were very
limited in number. With respect to the 'renewal
of bills to the extent of £600,000 no such charg'
was made. Of course, in carrying on a business of
this magnitude it was considered necessary that
none of the houses with which they were connected
should be allowed to suspend payment, and the
partners hoped that, by affording them assistance,
and by laying by their own profits to meet the
losses that might accrue, they would be enabled
ultimately to reduce the debt, for which purpose,
as he had already informed the meeting, they had
already laid by the sum of £lOB,OOO. But towards
the end of May last the failure of Mr. Draper, of
Kenilworth, brought things to a complete stand:
still that house owed *Messrs. Laurance and
Mortimore £50,000. They succeeded in retiring
bills to the amount of £28,000, but doubts and mis-
givings began to arise, the usual channels for dis-
count began to be closed against them, and, more
than that; demands were made that the discounts
then outstanding should be reduced. Under these
circumstances, regard being had to their large re-
quirements for discount, the partners felt it was
useless to go further, and after an ineffectual
struggle, to stem the torrent they suspended pay-
ment on the 2d,of July. Such was the history of
this. unfortunate affair; and if any gentleman
wished to have further information he would be
happy to afford it.
Mr. CIIAYTOR said, if he understood Mr. Tur•
quand, the liabilities for bills in 1857 amounted to
£300,000, and they were now £BOO,OOO, although
they had been reduced £lOO,OOO by the application
of the profits. _ .

Mr. TURQUAND—The amount of bills now is
£721,000. _ _ _

Mr. CIIAYTOR—How do you account for the dif-
ference P
Mr. TURQUAND—The demands of other houses
in drawing funds would go far to account for the
difference. The £lOB,OOO was written off before we
undertook the investigation.
Mr. CHAYTOR—Were these regular transactions,
or were they only increased transactions oil bills ?
Mr. TURQUAND—Of course there was the in-
creased annual charge of 5 per cent. on the bills.
a Mr. CHATIOR—Yes ; but that will not account
for the difference.

Mr. TURQUAND—No, but I may mention that in
the year 1857 the sum of £200,000 was added to the
debt on account of the panic, which required that
this house should furnish additional facilities to
those firms connected with it. I am here, however,
to state the fact of the increase. I cannot tell you
the cases. Some of the accounts will require to
undergo further investigation, especially the ac-
count with Messrs. Smith, Patient, and Smith,
which amounts to £200,000, though in 1847 it was
only £41,000.
Mr. CLAYTOR—How do you account for the dif-
ference. Was it by accommodation bills ?
Mr. TURQUAND —No, not by accommodation bills.
The accommodation bills are the £57,000 mentioned
•
in the statement of deficiencies.
Mr. CAAYTOR—But this is a most extraordinary
difference in three years.
Mr. TURQUAND—It is extraordhary, but you
find that in one year it rose £200,000. And when
Messrs. Laurence and Mortimore once entered on
the course of keeping other houses on their legs
there was nothing for it but to go on.
The CHAIRMAN—Are we to understand that,
with the exception of the accommodation bills you
have alluded to, all the others are genuine ?
Mr. TURQUAND--I believe that all the rest repre-
sent value received.
The CHAIRMAN—HOW many years have these
£50,000 accommodation bills been going on
Mr. TURQUAND—They all arose in this year.
In January, 1859, some Liverpool house was in
debt to this firm £9,000. Now the position is re-
versed, and Messrs. Laurence and Mortimore are
£30,000 in debt to them. •
Mr. CHAYTOR—HOW is it that they have sus-
tained all this in three years ?
Mr. TURQUAND—I cannot say how, but that

they have is an undoubted fact.
Mr. CHAYTOR—Such a loss in one house alone
appears altogether incredible.
Mr. TURQUAND—In the case of the failure of
Messrs. Payne and Clark, of Bermondsey, Messrs.
Laurence and Mortimore found the funds to replace
their bad debts to the extent of £50,000.
The CHAIRMAN—Then they drew bills to replace
that sum drawn out of their business ?
Mr. TURQUAND—Yes, undoubtedly. The bad
debts were represented by bills.
Mr. CHAYTOR—The bills drawn on Messrs.
Smith, Patient, and Smith must be accommodation
bills if they represent bad debts.
Mr. TURQUAND—I cannot prevent you or any
gentleman calling them accommodation bills or bad
debts.
Mr. CHAYTOR—I cannot tell how satisfactory
these statements may appear to other gentlemen ;
to me they seem to require a great deal of further
investigation.
Mr. TURQUAND—I have already stated that it is
not for me to explain the causes; I am here only
to state the facts and the figures.
Mr. WHITE (of the City Bank)—Can you show
us what were the net trading profits of the firm ?
Mr. TURQUAND—The gross income for the last
three years was £133,000, of which £lOB,OOO was
represented by commission, and other sources, and
£25,000 by interest. In 1857 the interest to their
credit was £9OO ; in the three last years it had
risen to £25,000.
Mr. KENNA—I presume that the interest was
absorbed by the bills drawn by Messrs. Laurence
and Mortimore ?
Mr• TURQUAND—No ; the net profit of the in-
terest was £25,000, The partners were charged
5 per cent. on other biils, while they got their own
at the bank rate.
Mr. CHAYTOR—Then their profits were £40,000
a year.
Mr. TURQUAND—Their gross profits amounted
to £44,000 a-year.

A gentleman in the room said he had been re-
quested by a gentleman near him to put this ques-
tion. Some years ago he deposited £6,500 in the
hands of Messrs. Laurence and Mortimore, believ-
ing them to be in a solvent condition, and he would
like to know if the house was really then in a
position to take money.
Mr. TURQUAND said the books had been not
only well, but admirably, kept, so that he could tell
in a short time how the house stood. lle had had
no difficulty with the limits themselves ; the only
difficulty was that there were 900 open accounts,
and each failure as it occurred affected the results of
the whole. What was the date when the money
was deposited ?
The Gentleman said it had been going on for ten
years.
Mr. TURQUAND—Oh, in 1851. I believe the firm
was perfectly solvent, assuming that the debts re-
presenting £360,000 were good.
Mr. CllAYTOR—Assuming ?
Mr. TURQUAND Yes. I have not gone back
to the origin of them all, but I have reason to
believe they are good.
The CHAIRMAN then said—Gentlemen, I have to