The Sun.
London, England, 1861-07-09 00:00:00

ALLEGED FRAUDLENT BANK.RUP2 Cr.

CHARGE OF OBTAINING £12,000 WORTH OF
GOODS BY FALSE PRETENCES.—John Dales, de-
scribed as a merchant and contractor, residing at
No. 76, 13elgrave•road, Pimlico, and lately carry-
ing on business at Gresham-house, Old Broad-
street, and Dewsbury, in Yorkshire, was brought
up on a warrant before Alderman Hale, at Guild-
hall Police-court, charged with obtaining goods on
credit to the amount of £12,000 within three
months of his bankruptcy, under the false colour
and pretence of carrying on business and dealing in
the ordinary course of trade, with intent to cheat
and defraud Messrs. Thomson, Wodehouse, and
Co., his creditors.
Mr. Albert Turner, of the firm of Sale and Turner,
of Aldermanbury, said—l am instructed, Sir, to
appear on behalf of the assignees of the bankrupt,
who is now before you, to prosecute him under the
Bankruptcy Law Consolidation Act of 1849, for
fraud. The prisoner lately carried on business at
Gresham-house, at Canada-wharf, Nine•elms, and
at Dewsbury, and on the 16th of August last he
became bankrupt, having been in business at those
places since January, 1839, during which period he
contracted debts to the amount of £35,000, the
assets being somewhere about £1,300. His conduct
prior to the bankruptcy in August last has since
been the subject of inquiry, and the assignees have
found that he obtained a very large quantity of
goods of Messrs Thompson and Wodehouse, of Bir-
mingham, the total amount of goods supplied by
that firm to the bankrupt, between the months of
January and August, 1860, being about £lB,OOO,
of which £12,000 worth were obtained within three
months of the bankruptcy. It appears that the
bankrupt was introduced to Messrs. Thomson and
Wodehouse by their traveller ; and in order to make
his representations intelligible,
.ble, it will be necessary
to state that in 1857 the prisoner became bankrupt
for £247,000, and among his assets was a certain
interest which he held in the Ottawa and Brock-
ville Railway in Canada. That property was of
course given up to his assignees, but on becoming
acquainted with Mr. Thomson, ho represented
that he still had an interest in the Ottawa and
Brockville Railway to the amount of £300,000. It
is due to the prisoner to state that, under his
bankruptcy of 1857 he obtained a first-clags certifi-
cate. The effect of such a representation was cal-
culated, if believed, to procure him unlimited credit,
and that he was believed and trusted to a large
amount by Mr. Thomson, will appear in the evi-
dence. The bankrupt also represented that he was
in possession of a very valuable patent for deodoris-
ing the sewage of towns; and although the assignees
cannot find that he has any interest in the Canadian
Railway I have mentioned, we are not in a position
at present to prove that the latter statement is un-
true. We will, however, prove that he has ob-
tained £lB,OOO worth of goods in six months upon the
faith of those representations being true, and that
we have only received about £1,400. This serious
loss led to the bankruptcy of Messrs. Thomson.
and Wodehonse, and they were opposed
in the Birmingham Court of Bankruptcy for reck-
less trading ; and although Mr, Wodehouse's cer-
tificate was suspended on that account, the commis-
sioner entirely absolved him of anything like fraud.
The creditors considered there was something sus-
picious in the manner in which the prisoner was
trusted to so large an amount shortly before his
bankruptcy, but in reality the utmost that can be
said against them is that they acted most foolishly.
They are not, however, the only creditors of the
bankrupt ; for among others there is the Mercan-
tile Discount Company, whose claim against the
estat:, is £17,000. There is no doubt that the pri-
soner is a very c:sver person and has succeeded in
duping a great many people, and when you have
hoard the evidence I think, sir, you will agree with
me and say that there is not the slightest ground
for imputing fraud to the firm of Messrs. Thomson
and Wodehouse.