Herald and news. [volume] (West Randolph, Vt.) 1878-1943, 1902-10-02
swoRE FALSELY
Knott & cIossOn Refused i, n,
IN Bankruptcy a'se

ehhfuptcy,
Referee George w noA.
burlington has completed bs;oerYllle Of
the application for the AIN n9 report On
specifications of objections ' IL and
1,oh thereto IN the matter az ? opposi-
Ciosson, bankrupts. The "a ra,i mott L
exhaustive one and covers N p ~, Is an
ten pages. Every count i = gpewrit-
case aa ms ae complete history Of tsa
1t appears In the first 1.
these bankrupts did no, r t' That
cash book so that at no t;,a Aeep any
their partnership could their s-,, n.,. a.aring
Jan. ~ any person, even the bapk y,s,s
themselves, tell their true gna1 ups
standing. Bankrupt Knott taa a.clal
DOCK account, record or mo1 Aspl 10
showing the dealings with III i.'' anu. alla
Anna Nj. Knott. The fnancia1 SsHe'
ing with his wife amonntad !. "a ueal-
thousands of dollars and coptinra many
70 the time Of the failure. Cns,o, "
or other persons had no means ~ ,O' s's1
ing out the fact that Knott Wa r. .ill-
4 Il
MS wiie's debts and that the wiz y.ng
paying his debts, from anv hooi e@
count Kept by him, Knott. or by a.. a.
books, records or memoraDd, ken, ~
hnott q Closson, for bankrunt K,o;,
testifies that no such books Wero N NV
Kept. No book, record or memora ~
was Kept showing the relafior -''l :.
debtor and creditor existing betweea y
the firm OF Knott q Closson and r TH
Knott & Co. ''e q T.
NOW, the referee asks, dld the ba5k-
rupts fail 20 keep books OF accom-, =
memoranda with fraudulent infent y
order to conceal their true financial
condition In contemplation Of basE.
ruptcy Expert Pratt testifes ~,
they were insolyent, practically sr
months before they failed. The eas6
analysis Of the firms receipts and m,
bursements, made By Expert Pnr
shows that Bankrupt Knott drew AMI
OF the business during the partnership
S52,1VQ.99 and that Bankrupt Clos.a5
drew out of the business s. slg 81
The testimony shows that the bsBk.
rupts were receiving large sums 81
money from customers and not ere.
cutting the orders that Knott was buy.
ing real estate and paying bis wife a
Did debt Of many years standing and
her presents along. buyng
valuable personal property and mak.
ng his wife present OF that, paving
arge amounts OF money to several 81
he firms creditors just prior 10 tie
bankruptcy Of the firm, settling with
hem In full 50 that, under the gener.
i charge of concealment of assets. the
eferee finds the fact from the test.
nony that said bankrupts concealed.
While bankrupt, moneys from their
rustee belonging 10 their estate IN
'ankruptey, the exact amount un-
.nown, including the par yalne Of
twenty-five (25) shares OF Howard Va.
ional bank stock OF Feb. IS, 1900.
The third charge Is, did these bank.
upts make false oaths and false ac.
cunts in their proceedings In bank.
uptcyP Under the charge the referee
lakes no finding of tact IRON the fall
re OF said bankrupts to pa: into their
chedules real and personal property
reviously described, but does find The
let from the testimony that said bank
lpts swore falsely BY putting into
leir schedules fictitious and frauiH.
mt liabilities due their customer,
The referee recommends that dis
large 70 these baukrupts be denied.