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the name of Gunganarain and did not state who the drawer was. I knew I had accepted a Bill for 600 Rs. within the week, before I got the letter of demand. It had no time to run as it was payable on demand. It was drawn in favor of Takoor Doss Sircar, signed Emma Roberts-for 600 rupees. Miss Roberts is my sister-in-law, I did not know of the drawing of the Bill till I saw it in the hands of Takoor Doss; be Takoor Doss brought it to me, about 7 or 8 days after I had been in Calcutta. I had seen Miss Roberts several tiines previons to this. I not only mean to say, but do say positively, that she did not communicate to me her intention of drawing the Bill. I think I was arrested about 3 or 4 days after I had accepted the Bill, I asked the Attorney a delay of 14 days in hopes that I might be able to arrange the debt, but he refused to accede to it, Takoor Doss was formerly in my employment, 10 years ago and since my arrest to collect the bills to enable me to make out my schedule. I applied to the Attorney, and not to Takoor Doss, to give me time, as I considered Takoor Doss had nothing to do in the affair. I had no direct knowledge of the debt being due to Gunganarain Shoame, but I took the Attorney's word. I distinctly swear that I did not accept the Bill for the express purpose of being arrested, neither did I come down for that purpose. No other creditor except Gunganarain Shoame has detained me in Jailhe is the only one. My debts amount to 1,28,000 rupees and I am not aware of any detainer against me. I do not recollect having written or said to any person, that I would come to Calcutta for the very purpose of being arrested, but I may have said that I knew the danger I ran in coming down of being arrested, and that if I was, I would take the benefit of the Act as I feared no examination into my affairs. I do not know when the Bill was drawn. It may be dated 20th March, but l am not cer. tain, I had no knowledge of it but at the time when I accepted it. The debt was due long before I thought of coming to Calcutta; the money was due to Miss Roberts many months ago. I think I came to Calcutta about the 26th or 27th of March. I cannot say that the Bill was antidated.

Here Captain McNaghten explained that his reason for saying, he would if arrested take the benefit of the Act for he feared no investigation, was that it had been given forth to the public that he was little better than a swindler of shop-keepers, and that he was only protected by being several hundred miles distant, and be therefore resolved, that if he ever was ar. rested he wonki stand a scrutiny in the Insolvent Court, to show the falsehood of the insinuation--such a resolution he considered due to his united character of an officer and a gentleman.

Capt. McNaghten's examination continued. Miss Roberts made me advances to about 600 Rs. under these circumstances. I had the misfortune to lose my charger and was compelled to purchase another; the gentleman from whom I purchased it was proceeding to England and I not having the means to pay, Miss Roberts was good enough to advance the money for me; it was about this time twelve months. I do not recollect her lending me any other sums of money. I am not indebted to her in any sum, I do not consider her my creditor when she has made over the Bill to another. I have not put her name in my schedule as I consider the acceptance an acquittance from her. I bave not asked her whether she has received the amount of the Bill from Takoor Doss. I have received a receipt in full of all demands from her. I considered I had no business to ask her whether she had received any money from Takoor Doss; I am not fond of prying into other people's affairs, I think I did not see Miss Roberts after I had accepted the Bill, and before the letter of demand. I saw ber on the morning of the day I was arrested, a few hours previ

ous to my arrest. I received the letter on the 2d April and was arrested on the 5th. I cannot say I told Miss Roberts I had received the letter of demand, but I may have said to her I had reason to believe I would be arrested. I did not make any stipulation with Takoor Doss when I accepted the Bill; he was not five minutes in my house. I did not ask him if he had paid Miss Roberts. I knew at the time I had no means to pay. I know nothing about Gunganarain Shoame, but his name, and that I heard for the first time from Mr. Lawes, his Attorney. I do not know that Gunganarain Shoame went round to all my creditors ; if he did he had no authority from me. I do not know I am sure whether he would go to my creditors without authority, but I ought to know I gave him hone. If Gunganarain Shoame has been to the Jail I do not know: I do not know him by sight. Several natives have been to the Jail with me, but I do not know their names. I know the names of the two Chaprassees who went round to my creditors.

Mr. Clarke here stated, that the objections he had to urge, were not with a view that Captain McNaghten should be detained in Jail for any further period, but to show the Court, that he was not entitled to the benefit of the Act, which he now sought; and therefore before he went into the Schedule, he would call witness to prove, that Gunganarain Shoame had gone round to Captain McNaghten's creditors and was a man of no property ; that he gave no consideration for the Bill, which was drawn by Miss Roberts, the Sister-in-law of Captain McNaghten, a circumstance, which with his own statement that he had never enquired from her, or from Takoor Doss whether the amount had been paid to her, made a

case of strong suspicion, that no debt really existed, but that the Bill was got up for the purpose of procuring his arrest and ultimate discharge.

Joynarain Mookerjee was called by Mr. Clarke, and deposed as follows:--I am acquainted with Gunganarain and Takoor Doss; they came once to Mr. Smith's house, I do not recollect the day; they called during Captain McNaghten's confinement. Gunganarain stated that Captain McNaghten had sent him to enquire what was due to Mr. Smith; at that time there were great many others, but I do not recollect their names. I know Nobokissen Law, he is Banian to Messrs. Samuel Smith and Co., I am a Bill-keeper in their service. I have heard that Captain McNaghten is indebted to Nobokissen Law, but to what amount, I do not know. I believe, that in consequence of Takoor Doss not having any written authority from Captain McNaghten, no attention was paid to his request. I cannot say whether Gunganarain or Takoor Doss enquired about the debt.

Ohheychurn Mitter was next called and stated as follows:-I know Gunganarain Shoa me and Takoor Doss; I have seen them in respect of Captain McNaghten, at Mr. Burkinyoung's; I do not know for what pur. pose they came there, but they asked me what was the amount due from Captain McNaghten to Mr. Burkinyoung. I do not know how often they came. I do not know Gunganarain Shoame, he said, he was Captain McNaghten's Sircar. I do not know what business he follows, neither know where he resides.

Mr. Clarke stated, that he had subpænaed Gunganarain Shoame and Takoor Doss, but had not been able to serve them, and contended that with the examination and evidence now before the Court, Captain McNaghten was not entitled to obtain the benefit of the Act, as it was a case of great suspicion, that out of the debts of 1,28,000 enumerated in the Schedule, he (Captain McNaghten) was arrested for one of six hundred rupees only and on a Bill drawn by his Sister-in-law-and the more so as it was accepted without any communication with her; when all these suspicious circumstances were considered, he thought Captain McNaghten should be at least remanded till further evidence could be obtained.

Sir E. Ryan said that in his opinion, upon the evidence before the Court, there was nothing in the transaction of such suspicion as to warrant him in remanding Capt. McNaghten, which he could only do by attributing to him wilfull and corrupt perjury, and he was asked to come to such a conclusion upon mere şurmise. Captain McNaghten had been sworn and examined by the counsel for the opposing creditor, and from his statement, which had not been impeached by the witnesses, and was the only one before the Court, the debt would appear to be a bona fide one. If it were not so Miss Roberts should have been called who was the person best able to speak to the transaction and she could have contradict. ed it, it false ; but she had not been produced, neither had Takoor Doss nor Gunganarain who could also have spoken to the debt, and the lat. ter of whom might have explained why he went to the different creditors. As the case now stood he thought Captain McNaghten was entitled to the full benefit of the Act.

Mr. Clarke stated that he wished now to put to Capt. McNaghten a few questions as to his Schedule.

Mr. Clarke resumed the examination of Captain McNaghten. The debts mentioned in the Schedule were contracted in the course of 17 years; part of my debt to Messrs. Alexander and Co. must be within 2 or 3 months of 17 years, since its commencement. I received from Messrs. J. Scott and Co. out of the sum of 38,000 mentioned in my Schedule 10,000 Rs. only, ten years ago. I have paid them at various times 1,200 Rs. The debt to Messrs. Fergusson and Co. is also for money borrowed, from 10 to 12 years ago. The debt to Messrs. Alexander and Co. of 16,000 is also for money borrowed, 32,000 is due to Mr. Cullen as Executor of Mr. Blaney. The amount borrowed was 14,000 Rs. it was a debt due to Mrs. Broders from whom it was originally borrowed. Mrs. Broders without any solicitation, or anticipation on my part sent this money to me as a present, perfectly spontaneously as far as I know; I was in those days a poor Subaltern and in want of money, but would not take it as a present, and after a great deal of solicitation she took my note. She lent the money without any condition to pay my debts being attached to it; she knew I was in distress, I never saw her, nor had any communication with her on the subject; she was an old friend of mine, I do not remember whether I gave a note of hand, or bond ; I have never seen it since, I do not know whether Mrs. Broders is alive, but I hope she is. The debt to Mr. Jones of 4,000 Rs. is like others; it is a debt of 1822, Mr. Burkinyoung's debt is of 1824, the nature of which I should like to explain, Messrs. Alexander and Co. was the first Agency house that I borrowed of; the next house was Messrs. Fergusson and Co.; the next James Scott and Co. I do not know exactly why I applied to Messrs. Fergusson and Co. but probably it was on the refusal of Messrs. Alexander and Co. to advance. I was then an Ensign on 200 Rs. a month, and could not stand the expence of war equipment. All the money I got from the Agency houses I distributed in payment of my debts to Tradesmen.

The Court. The debt due to Mr. Burkinyoung is for a Piano, which I purchased from him in 1824, I went to his shop and he showed me a Piano which he said was just imported and which he puffed off in the way these people usually do, I was tempted to purchase it, and he agreed to allow me twelve months credit, I agreed to pay 1,700 Rs. and gave two notes, one payable in six, the other in twelve months, one of which has been discharged. I was a Lieutenant then but was on the Staff, I had an allowance of upwards of 2,000 Rs. a month.

The Court suggested Mr. Clarke that as he was representing only one creditor, he ought to confine his examination as to that debt and only go generally into the other transactions.

Mr. Turton on the part of Captain McNaghten, said he had not the slightest objection to Mr. Clarke's examining Captain McNaghten on any point he wished.

Captain McNaghten's examination continued. I do not know what I took from Messrs. Alexander and Co. I used to take a thousand Rupees at a time, and as I required more I would draw another thousand. In 1820 my Debt to Messrs. J. Scott and Co. commenced; it was 10,000 Rs. out of which I paid 1,200 Rs. I speak conjecturely as to dates. I went to Eng. land in 1826; the amounts of my debts was about 80,000 Rs. in 1824. I have contracted no debt since my return, except with a Tailor. My pay as Lieutenant in the Army was worth 250 Rs.; as Deputy Judge Ad. vocate General and while Acting Judge Advocate General, I think I got about 1,500, and as Editor of the Bengal Hukuru 600 a month. I held the situation of Acting Judge Advocate General for 5 or 6 months, I was Editor of the Hurkaru for upwards of a year. When I was only Deputy Judge Advocate I got 700 per month. Since the reduction of these allowances I have not been able to meet my debts. Before I received the appointment of Acting Judge Advocate General, I was a Lieutenant in the Army and Deputy Judge Advocate General, I received about 1,500 Rs. as a Military man, and as Editor of the Hurkaru 600 Rs. The Editor: ship was worth more as I had the command of Stationary and Servants. In 1824 with Interest and all I cannot say I was not in debt about 70,000Rs. My present pay is 380 Rs. I had no expectation of paying off these debts except from my pay and allowances nor did I ever hold out any.

Examined by Mr. Turton.-On my first arrival in this country, I had no money or letters of credit, or means of providing myself but by contracting debts. Of the debts contained in my Schedule, I should say only one third in amount was principal, the other two thirds, interest and compound interest. I have had other dealings to the extent of two or three thousand rupees with Burkinyoung and Co. and have paid them. The sum I borrowed from Messrs. Alexander and Co. I paid in liquidation of Tradesmen’s Bills and there is not one in my Schedule to whom I have not paid something and certainly thirty to whom I have paid more than I now owe them. The persons with whom I contracted these debts were at the time perfectly aware of my means.

Mr. Clarke having closed his examination of the Insolvent, contended that under the 58th clause of the Act,Captain McNaghten was not entitled to his discharge, as he could not at the time have had reasonable or probable expectation of discharging the debts which he had contracted. 'It appeared from his own evidence that he was indebted to three houses of Agency, and still he went to his clients and purchased of them a Piano, an article of luxury, when he owed them a larger sum and when his permanent means were only 700 Rupees a month, and his pay of 250 ; for the oflice of Judge Advocate General, he only held for a short period, till the return of Sir J. Bryant, and from the Editorship of the Hurkaru he could be removed at any time, as it was in the gift of one man and out of the line of his profession. The Act positively provided, that if debts are

was not

contracted without a probable expectation of being able to pay them, such conduct is fraudulent, and even in this instance, admitting that all the situations held by Captain McNaghten were permanent and yielded 2000 Sa. Rs. per month, how long, he would ask, would such a sum be paying off bis debts?--it would be barely sufficient to keep down the interest. If this

case where the Act applied, Mr. Clarke know of none which could be brought to the notice of the Court.

Sir E. Ryan was clearly of opinion that this was not one of that class of cases which came within the meaning of the words of the Act“ or without having any reasonable or probable expectation at the time when contracted of paying the same.” The Counsel had mistaken the question for the decision of the Court, which was not whether he had at the time a reasonable and probable expectation of paying all his other debts, but the one he was then contracting and upon which he was now opposed; this was what the Court only had to look at though it might e ramine as to the Schedule generally. Captain McNaghten had stated upon his oath that his loans from Agency Houses were for the payment of Shopkeepers ; he had raised three in this way and he might have expected to be enabled to effect a fourth and it was a question but he might have done so; but how was the Court to say he had no reasonable expectation of being able to discharge this bill, when at the time he contracted it, he was in receipt of very good monthly allowances, and indebted to the same individuals who gave him credit in a much larger amount which he subsequently discharged.

Captain McNaghten stated in reply to the Court that his pay and allowances were now 382 Sicca Rupees per month, and that he had no interest or expectation beyond what is held out to officers for meritorious conduct.

Mr. Turton applied, that no portion of Captain McNaghten's pay or allowances should be assigned as they were scarcely sufficient to support his rank and enable him to discharge his duty efficiently, more particuJarly as it had not been applied for; but if any were to be made, he considered it should only be of his pay, as the allowance of Batta, Tentage and Gratuity were given for specific purposes and for the provision of certain necessaries which he was bound to have of the prescribed description and which were absolutely required for the discharge of his duties and the fulfilment of his contract with his employers.

Sir Edward Ryan said, he could not deviate from the general rule on which the Court had invariably acted, and would certainly direct that onethird of his pay and allowance should go in payment of the debts.

Captain McNaghten after having signed the requisite papers was discharged.

To the EditoR OF THE BENGAL HURKARU AND CHRONICLE. SIR,—Your Reporter has given, in to-day's paper, a generally accurate account of the proceedings had, on the 2d instant, in the Insolvent Court; but he has fallen into one or two errors, which I shall beg permission to take this method of correcting; because, though evidently unintentional on the part of the Reporter, they are not immaterial as regards my testimony. Mr. Clarke wanted to prove that I had employed a native of the name of Gunganarain Shoame to go round and collect the amounts of my Tradesmen’s bills, preparatory to preparing my Schedule. I said I had not, and that he neither is, nor was ever in my service, and that to

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