The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1872-08-27
CaEsfESAL PROSECUTION UEDER
THE BANKRUPT ACT.
DECISION OF COMMISSIONER LYsHAM In;
THE THOMAS cssE.

LIE 1i1S5.aS SSs-ks
Yesterday morning United States Commits
siouer Lyntam rendered his decision in the |
interesting case Of United States Is. =.
Thomas on charge OF violating the 44th
section of the United States bankrupt law.
The acsrtiett waS sent on for Indictment. As
the ease l. Jtie ~ sofie novelty and con
siderable interest re giSb the decision in
full:
"The accused is before me by Write Of 9
warrant issued upon complaint Of one Of his
Baltimore creditors, charging fraud prscticed |,
nv said Thotllas upon his creditors, and yio-
Iatign Of sretion A of the bankrupt hw.
The case IS aft tiitttsial Que. and seldom pre-
ssnted rs the basis of criminal charge. |
Such sise has iiesef before been presented
- me; anil have netef hedrd of any deci-
sion in our State passing upon and cotistru-
iiiss ihis BENG! ssntate: For this reason. and
in deiereucc to tiie wishes If the learned
counsel representing the accused, hare de-
iayed deciding the matter that might give
the subject proper Investigation.
"Tbc object aId evident purpose Of this
statute scci1Is TO be plainly set forth in
BumpS Treatise upon the Bankrupt Law,
3d edition, page 4Gi. Ii Sas passed 10 pre-
htNL DtiSoiS al'iu VUluttItu- StOllS WI SiSht
With TIE Expectation on the part OF those,
who give the citeEiissi,:s tl.at they viii I've dis
posed Of in the ordinary: course Of btisiheSS,
| when in fact the purchaser intends to dispose
| Of such goods i'll some extraordinary or I'M
usual manner. 1t was TO prevent men from,
abusing their credit aud imposing, by means
of it. upon othsrs, Il was to require the Oh
ssrvauce of good faith III commercial trans
!! so.ibrS; 4 5jrH'> intentfo can only be as
| certained fr0ni t:is Hsts. Criminal intentions
are not, as a rule, divulse6, bit ufs to be in-
fsrrcd from the conduct of the parties. The
short time that elapsed between the pur-
chlse and t9ruSud! transfer or other dlspo-
sition of goods purchased are laid down rs
| controlling circumstances in looking to the
| rtotatiuti of the provisions OF this statute.
| Then. What are The circumstances Of this
ease? Fhe accused; the keeper of very
small @iiiUt.Ekfa store; without mean and with
out reputation as d merchant; selling his
goods as retailer for cash. TEis main, liz
such circumstances, visits Baltimore, aud by
Skt!ful representations TO merchants there
succeeds, during the htser, part Of June and
lst of July. in buying goods 60 slre amount OF
over SI,rGe-in the month of Jufe fhc
month of bankruptcy buying over $4,000
They areshipped to his store here in Rich
meiid. and before the 18th of July the
ciitirt ortiutitt disposed Of in some way.
Only 4 portion y ti'aht we ran account
for. which were found in ths stare Of
| one Of his intimate friends, who shows
receipts for the cash purchase liy him OF sew
eral hundred dollars worth OF SAID goods.
On the .,d 18th July, then. petition in in
voluntary bHnkftlter is tIed against him.
Without waitilfg tile fet;trii-day thereof he
Gontesses his, bankruptcy; and OH saitle day ad-
jlldlcated fTheii the Enited States Marshal
takes possession he finds hut small and III
si-nitcant remnant of stock in stcre-rcal-
/, ling at sale STATS entirely without books,
bank accol;,t: or other evidence showing to
whom these goods were SID TO or in whose
hands placed: what, if anything, there .Tas
due to him for such sales: to whom due ;
and if prtl TO him in cash. what disposition
he had made of money arising. Upon ali
these point. the acctscd remains silent he
pypliins nothing: and this of itself the law
holds to l,c strong prcsumptire proof OF
! guilt, ............
sitting as tinted siatAs Commissioner,
and simply in the character or committing
m1gi>tI7'tc. my duties under the law are MOI
at all enlarged, but narrowed to the simple
inquiry, mol whether there is before lie su.-
tic!ent LEGAL evidence 10 convict and imprlson
tie acc,lsr,i hut simply is there prfnla
r;ucie else or. in the better language of the
court il the Burr trial: If probable
cause be Sh"wn to justify the belief that the
accused hi. toiiiIittcd tho crime charged, he
should be committed for trial. on pre-
!iminarv hearing such proof. as would bc
Necessary 10 convict Is not required
K ts not npeesslry to inquire whether or
not, in this examination telnrr inc, fraudulent
intel.t has been directly protGii. II is Sc
dom susceptible OF such proof even upon
/, final hearing. but must te established by Il
consideration OF all the circumstances of the
case-a ductrilie well eSsabiishel in our own
courts. State and Federal, atld sustained at
length in l3 Minn. Reports, 326 and 45.
Applying these plain principles in the effort
, to impartiallv discharge fIiy duty, | AIN
; forced to the conclusion that hase DO alter
, native but to send on the accused, that the
: case may be thoroughly examined into iy
the next grand jury OF the United States
Circuit Court. TO the accused this course will
AFFORD an opportunity to explain away tue
heavy cloud VI suspicion restiiS nIsn hslnsana
il found guilty it may be an example to other
like adyeululcrs and afford some protection
TO the northern creditors, who are often de
ceiyedand defrauded by designing men, using
aS their instrument (and ab,isinSl the proTs
sions OF the bankrupt hw.'
The accused WAS represented by Judge
Alfred Morton, the Government by District
Attorney Wells, and the Baltimore creditor
bv +. ". Mahood and Fl. A. Atkinson, Jr.
4 POLICE CouRr, MospAY-Justice gFthidm
= E,1t sAts.