The Sun.
London, England, 1857-10-23 00:00:00

HULL FLAX AND COTTON MILL

COMPANY.

ARREST OF THE LATE CHAIRMAN FOR
FORGERY.
HULL BANKRUPTCY COURT.—OcT. 21.

(Before Mr. Commissioner West.)

RE HENRY S. BRIGHT.

This was a meeting for the choice of assignees and
pro ,f ofdebts. Messrs. England and Saxelbye, and
IVlc2srs. Stamp and Jackson appeared for the as-
- Mesas. Wellsand Smith for the bankrupt.
Mr. Wells stated that there were several appli-
cati )ns for the payment of wages to be proved.
Ocher debts were also proved. The total amount
proved this day was 101,4371. 18s. 2d. In addition
to a few small proofs which we need not give, the
as:;ignee3 of Messrs. Harrison, Watson, and Co.,
roved on 86,107/. ; Messrs. Samuel Smith, Bro-
thers, and Co., 11,8121. ; the Governor and Com-
pany of the Bank of England, 567/. lls. Bd. ;
Ailesrs. Pease and Liddell, 1,2411. 12s. ld.
The trade assignees chosen were Mr. John R.
RinnTose and Mr. Elijah Meggitt.
Air. England said he consented, on behalf of the
assignees, to the bankrupts' allowance continuing.
H also intimated that he had to examine the bank-
rani; on one or two matters.

Mr. Wells—The bankrupt is in attendance.
Ilis Honour—Where, in the room ?
Mr. Wells—ln the room adjoining.
His Honour (to Mr. England)—Do you with the
ox,ipivation to be private ?
Mr. England—lf you please.
His Honour and Messrs. England and Saxelbye
and other gentlemen then proceeded to an adjoin-
ing room, where the bankrupt underwent a private
em,Anination ; and, at the close, as was anticipated,
it was determined that a charge of forgery should
be preferred against the bankrupt. As soon as the
examination was over Mr. M‘Mantrs, the chief con-
stable,. went into the room and took the bankrupt
into custody, a warrant having been issued for his
apprehension.

Mr. Bright was brought into the police-court at
3 .'elock, and took his place in the prisoner's dock,
the solicitors, assignees in the case, and other gen-
tlemen, having previously assembled.
Mr. England (addressing Mr. Travis) said—May
it please your honour, the prisoner before you is
w,ll known as Henry Smith Bright. He has re-
ca..tly become a bankrupt, and on behalf of the
as:3ignees of his estate I am directed to prefer
ag tinst him a charge of forgery, in the endorse-
ment of six bills of exchaur, and also with utter-
ing those bills with a guilty knowledge of their
being forgeries. I produce the first of those bills,
and. shill then call Mr. Payne, the registrar of the
urt of Bankruptcy, to put in evidence of the exa-
mination that hats been taken to-day, and Fhall then
ask you for a remand.

Mr. Samuel Payne was then sworn.
Mr. England (to witness)—Do you produce the
Nt.rAten examination of the prisoner taken in the
(A,urt of Bankruptcy this day
Witness—Yes. Thin is it (the examination was
here produced). It was taken before Mr. Comreis-
Ei r West, and signed by Mr Bright, inthe Court
of Bankruptcy.
Mr. Trays (to Mr. England)—Do you propose,
that it should be read now

Mr. England—No, sir ; 15h311. exhibit to you
the bills in the order that they ni.3y he nizrked to
fit.ilitate investigation. (To the witness)—Will you
be kind enough to look at these bills, and say whe-
th ic they are those that have been produced before
tb:'eomnsiss'oner during the exzmination. of the
v" Itcrupt,
Witness (having examined the bills) —Yes, they
aTrte,e!'''''Pect.ively marked A, B, 0, D, E, and F.
Y are the bills
ofeferred to in the examination
taken this
Bright before Mr. Com-
ini•si-iner West, in the Mar: of Bankruptcy.
Mr. England stated thatu 'l'
forgtry with which
th,) prisoner was now charo.tedlewkastiiat of entering
a lapse name upon the bill'm
Formal proof the prcceearditeigds iAu bankruptcy
having been given,
Mr. England applie I for a remand,
al
inecciodngasaui said
t Pt
ehr e"
haps Mr. Travis would allow them
c ,nvenience of the registrar in fixing ot
Some discussion ensued as to which woulT.be the
most convenient day, and as it was considered that
it would be the better course to remand the case
until Wednesday, Mr. England asked for a remand
to that day.
Mr. Wells asked wliat there was to prevent the
examination and other proceedings in the Court of
Bankruptcy from bring then read. If the applica-
tion Was granted by the Court, his client might be
kept in prison for seven days. If the examination
were
now read'
m his client. it might not be necessary to com-
Mr. Travis--There is now an information on
oath, before meef .forgery having been committed.
Mr. 'Wells—But _b
Y an adjournment my client
may be detained in Prison seven days. I do ittot,

however, object to seven or fourteen days, if bail
is granted.
Further conversation here took place relative to
fixing the time for the adjournment.
Mr. England, in answer to Mr. Travis, stated
that they had evidence to collect from London and
other parts for the prosecution, and it would re-
quire a remand to Wednesday.
Mr. Wells asked if the court intended to fix the
adjournment to Wednesday. He should have liked
a shorter period than a week.
Mr. Travis said he had just received intimation
that there was another charge to be preferred
against the prisoner.
Mr. Wells then applied for the prisoner to be
admitted to bail.

Mr. Travis—l decline to grant it, unless you
show me a reason why I should do so.
Mr. Wells urged that he required a full opportu-
nity for conferring with his client. If bail were
fixed his client would come to the court on the
day to which the case might be remanded. He
was not asking for anything unusual.
Mr. James Holden (who had just entered the
court) here said—Now it becomes my painful duty,
and very grievous duty it is, to prefer a charge
against Mr. Bright, and I may state that never in
any case have I appeared with feelings of greater grief
to myself than I do now preferring against him the
very grave charge to which I shall draw your atten-
tion. The charge against him is the very serious one
of forgery, and that to a very large amount. How-
ever, at present, I shall only ask for a remand, and
lay before you such evidence as is requisite for that
purpose. The late Mr. Taylor, of Hull, who was
the partner of Mr. Bright, had a number of railway
shares, and his son, Mr. R. I. Taylor, had also some
shares in his name, and up to some few days ago,
he (Mr. R. Taylor) had every reason to believe
that those shares were in his father's and his
own names. However, Mr. Taylor went to York
the other day to make inquiries at the office of the
York, Newcastle, and Berwick Railway, and to his
surprise and grief he found a transfer of those shares
had been made. Both his own name and the name
of his father had been written on them ; but he be-
lieved that both tho.4e names were forgeries. Those
siguatures had been witnessed by Mr. Bright.
Mr. Taylor, he went on to say, had not had time to
make further inquiries respecting those shares, but
he would put him into the witness-box, and would
then ask for a remand to enable the parties tocome
from York with the documents, and then prove to
you how far the charge against Mr. Bright can be
sub, tantiated. Mr. Holden then called

Mr. Robert I. Taylor, who, after being sworn,
said—The late Mr. J. Taylor was my father ; he is
now dead. He had some shares la the York, New-
castle, and Berwick Railway ; I had also some
shares. My father had 144 and I had 58 shares. I
proceeded to York within the last few days, and
went to the secretary'soffice to examine the transfer
deeds. The transfer deeds conveyed shares.
Mr. Travis objected to the evidence. (To wit.
raess)—From what you have heard, you believe that
your name has been forged ?
Witness—Yes.
By Mr. Ayre—l am satisfied that the shares
have been transferred by a forged document. The
name of the witness to the document was H. S.
Bright.
Cross-examined by Mr. Wells—These shares were
my father's property. They were not the partner-
ship property of Taylor and Bright. I cannot swear
th4t the shares which were mine were not the part-
nership property of Taylor and Bright.
By Mr. Travis—As understood by me, the whole
of the shares were my father's own property.
Mr. Wells—l am instructed to the contrary.

Mr. Travis—That must be matter for evidence.
Mr. Wells applied then for bail, but Mr. Travis
declined to take upon himself the responsibility of
granting it.
During some remarks which followed,
Mr. Payne stated that Mr. Wells should have
copies of the examination of Mr. Bright in the
Bankruptcy Court.
Mr. Eugland said every facility would be afforded
to Mr. Wells in conducting the defence for the pri-
soner.

Mr. Wells—Then am I to understand that I shall
have every facility afforded for the inspection of the
papers and other documents ?
Mr. England—Yes.
Mr. Payne said if it was thought desirable he
would give an order to that effect.
Mr. Sa,xelbye—We will undertake, on behalf of
the a,signees, that he shall have free access to his
books.

Mr. Travis then remanded the prisoner until
Wednesday next, and stated that it would not be
taken in the ordinary course on that day, but as
early as the arrangements of the court would allow.
The prisoner then left the dock, and was removed
to the gaol in a cab.

The following letter has been addreised by Mr.
Bright to the shareholders in the Hull Flax and
Cotton Mills Company
" So lately as March last you were pleased to pass a
vote of thanks to me and nay colleagues, fur our services
up to that period. On Thursday, the Ist instant, at
your special meeting, you requested me to withdrawfrom
the roam and take no part in the proceedings, though
you had allowed me to be present during the reading of
a repart full of one-sided and unfair comments upon me.
" What has occurred to induce this change of con-
duct I So far as you knew, all was running smooth,
until you received the circular dated the 17th September,
summoning you to a meeting of the company, to give
your consent to a voluntary winding up of your affairs.
" At this meeting the three remaining directors (Mr.
Hassell and myself having resigned) presented you with
a report, which, from the length of time taken in its pre-
paration, may be presumed to have received their full
and care ul consideration.
" Wita consummate tact and coolness this document
ignores tue operations of the company for years gets
by,' and very conveniently prefers to confine itself ex-
clusivcl: to 'the recent causes which hare operated to
produce the ultimate suspension of the company.' In
plain Eiglish, the possession of a large sum of money
by myself is the one single cause recognised in the
report, and it is with reference to this subject that I feel
called upon to trespass upon your time and attention.
"M• official csmnexion with your company is of very
recont late. In the spring of 1853 I was requested by
a depttation of your body, and by your then chief
manager (Hr. Rylands) to supply the vacancy at the
board, occasioned by the resignation of Mr. John Bowes.
It wa,, with great reluctance that I yielded to many
pressieg eutreatits, and hardly taken my seat as a diree
tor, aid had certainly no opportunity for in igbt into
your effairs, when Mr. Rylands was removed by death.
I had, however, seen sufficient to confirm the general
opinion that the directors of that board were regarded
as more cyphers, to be consulted or not as the ch.ef
manager might think proper ; and consequently, sur-
prise was lessened when—on our being summoned to-
gether after his decease—l found orders out for cotton
in Anerica and in India, with mercantile engagements
almoA to afabuloneamount, in every quarter of theglobe.
of th•extent of which theboard was utterly ignorant ; and
it is capable of proof that the decisive course I then re-
cornnended, namely, the cancelrnent of every ()Her, where-
evir, or with whomsoever it might be, saved you from
a loss of fully 50,0001.

"With the subsequent arrangements for the manage-
ment of your affairs you are of course acquainted, but
as regard: may share in them you must excuse my shortly
trespass rig upon your patience. My own business en-
glgements were no sinecure, and it was only after much
solicitation from each individual member of the board,
and more especially from the representatives of the late
Mr. Rylands, that I consented to take the active part
which, up to a very recent period, I have continued to
exercise.

" Nor did I yield to these solicitations until I obtained
the c:msent of the board to the oppointment of an officer
—who ought certainly to have been empl.yed from the
formation of your company, I mean an accountant—who
should stand between you and the boards. I urged that
the extent of your business called for the employment of
a c;entlernan in whom you could have confidence, and
where salary should be so liberal as to ensure a regular
and proper attention to the books of the company, which,
as I then stated, it was beyond my power to overlook.
-Ultimately Mr. Carlill was appointed, at a salary of 100/.
1 e annum, this high remuneration being fixed in order
to ensure constant and efficient superintendence in this
fstaththei se f efio dor
books,
,iattcht
aottuh
ine
accountants
tei Fe:
nfin existing n
London,
otat e o f
with
correspondenceth matters,afvi
eawsw
with
so dissatisfied
In the early part of the present year I felt
t
ccuareddi ?ss
eery. formation.. of the company (including—
cbtain a more complete examination of them the
&c.)—than had yet purchase
them—from
the
empicioue circumstances connected with thea
aed sailieg of ship, &c.,
I aid before you ; and I only regret that I did not carrye"
but my inventions and engage the party—but I merel
postponed the intention
.nntil later in the year. I men.y
tion it now rt erely as evidence that I was not afraid
my
o.en account being examine''.
"Another matter, which occurred about the same
period,
may enable candid minds to draw a similar con-
clus'es—l mean my resignation, which thus arose.
With the gro,ving inattention to the business of the
centime), on the, part of Mr. Joßb. Ryland?, his purchase
f ship=,ex'ended mercantile, oFerations, supercie
self-sufficient,
directors, cifice staff, and or:Anary customers, as also 14+
and impai tirlent deportment towards th.e
evident desire and intention tj control the board with
the same iron rule his father had done before him, I had
month by month become more and more dissatisfied.
Nor were my oeileagues less panfully alive to this
vf un-
expectedis
3 state of matters ; so that I do not suppose it
placed my
chairman
surprise to them when, about 9 months ago, I
resignation in the hands of the deputy-
(with whom previously (Capt. Whitaker, It N.) From this genleman
"sly to my joining the board I was
kind-
ness andlyeco n„unacquainted)receivedjdto,,lTthhil,atdwhen
he, suchin
conjunctionu n i ferm kwi
ith
Mr. Hassell and Mr. oe. Holmes, urged the to with-
draw my resignation, I consented to do so, and once
more to devote myself to your interests, and continued
so to do until suddenly attackedwith
I was confined to my bed for many weeks rheumatic
fever.
rialington
Quay. When I was first informed of whatatill r
suspected,' as to money being due from m. eto Rylandsthe
company, I indignantly denied it; and when nithe