The daily journal. (Salem, Or.) 1899-1903, 1902-01-30

that were deposited a. collateral, from
inflammation obtained from A. L. GubeII
and from Information wherever he coulu
fnd IL that he deemed reliable as TO the
value and condition Of the property.
The principal assets Of Gilbert Bros;
consists OF oyerdralts and loans anu
discounts, the face value OF the ioriner IlI
being sg3 S75, and Of the latter No,3oH
The condition Of the bank as to eOlV-
sncv depends upon the estimate OF the
value placed upor these assets. Inc
receiver in the United States Circuit
Conrt valued the overdratts ct SSl ,922,
and the loans and dscounts at t65,OOO,
a loss on the former Of $ll,053, and on
the latter of Sl3357. Mr.. Conway, 8
man of experience in such matters, VINO
assisted the receiver in preparing MS
inventory, agrees substantially in TINS
estimate Of the probable loss on over
drafts. bnt be estimates the loss on
loans ard discounts at 5000 Since
,he inventory referred to was made,
,hree. fourths in amount OF the over
drafts have been collected by the state
Court receiver, who testlhes that the
lusa on this account VIII not exceed
two, three or four thousand dollars
The loan and discount account, with
the exception Of some $40 900 in amount,
copsists OF what are called piano notes.
these notes are an exceptional Kind oil
assets They are payable generally on
long time i'm installments, and are secur'
ed bv the instruments cold. Whale, a
witness who has had eome connection
with this busue,s, places the loss on
these notes At $4,000. A. I. Gilbert, in
advising the receiver Of tn United
states Circnit Court, estimated their
value at $40 600, but he stated at the
time that his estimate was low because
the bauk was ia the hands OF receiver,
that the notes were good and ought tC
LAY out nearly their face value, and
would do 80 # he was able to collect
them. There is wide discrepancy
! between the witnesses as to the value oI
| the other nsspts OF A. L Gilbert
cona'stinp principally OF rea
estate, W that upon the est ma
of values made sbY th3 Witnesses
for the petitioners the Liabilities OF Gll
bert Brothers exceed the assets by above
$50 600, while upon the estimates mac
by the witnesses for A, L. Gilbert hii
assets exceed his liabilities by above
$4,000. Opinion evidence is untrust
| worthy at best, but this evidence hal
ot the usnal quality Of expert opinion
fouuded upon reasons which afford som'
hasis for a Judgment as to its value. The
opinir rs in this case pro and con arr
mere guesses, signifying little, proving
nothing. In such case where a lonl
and host le inquiry has left the ques-
ton of the solvency OF A. I. Gilbert II
doubt. what must the conclusion
be as TO what A. L. Gilber
himself thought of his solvency at the
time the transfers complained OF wer'
made? Under the old bankruptcy act
inability TO pay debts ~ they matureC
constituted insolvency. Then the mat
ter of solvency was a simple one. Now
new test iI prescribed: Does the 70
spondent's property at fair valuation
pual his liabilities? And this is thinI
,bout which the owner may not know
nut II he himself thinks he is solvent, 4
is enough and in a case j ke this, wher'
there, equally capable with those who
hink otherwise of forming trustWor
thy opinion, think the respondent sol
vent, it is necessary conclusion that h'
hought himself so, aRd that he wal
ioneIt in that opinion. Where the facti
md circumstances permit It, the pre-
.umption must 10 in favor OF good taiti
ather than the contrary.
The presumption arising from the
ransi-r of property by an insolvent II
ffected by the amount Of such transfer
Thus where the transfer was on all one't
property, this was held to afford g
violent, almost conclusive, presumption