sessed of great wealth. He was a partner I the five banks mentioned above, except the Taan Shing. There was also at the same (time another- Chinaman-named Kan Sing Toi, who was regarded by the Chinese as a man of considerable financial status. He was a part- iner in two of the above-mentioned banks, namely, the Wing Tung Yan and the Kwong Fuk, and was also the manager of the former bank. His name appeared on the two bills of the Wing Tang Yau Bank as one of the parties to them. He had a private advance account with the Bank, and was in the habit of depositing certificates of shares in com- panies and other securities to cover the advances made to him on that account. This account was in existence before Cheong Koon Sing became compradore to the Bank, and it is ad- mitted that he had no connexion with or responsibility for it. It was the custom of the Bank to make a valuation of the securities held hby them on this account at the close of each month, and to send a copy of it to the head office in London. On the 29th February, 1892, Kan Sing Toi's indebtedness to the Bank on this account was $597,314.22 and the securities were valued at $667,646.00. There was, there- fore, on that date a surplus or margin in his favour of $68,301.78.
18
ong Su
Bank and, had d that he (Mr. Darby)
THE HONGKONG WEEKLY PRESS AND
thing material was said or done until Kan Sing Toi arrived at the Bank. He was fetched | (27th thither by Cheong Koon Sing at the instance, as Cheong Koon Sing says, of Mr. Darby It Cheong Koo is unfortunate that the only witnesses who bare sation at the given evidence as to the conversation which It is in nbg then took place are Mr. Darby and Cheong Toi was angry i Koon Sing. They are both interested wit-proposed to me nesses, but no doubt Cheong Koon Sing has a 70,000 of the two much more direct and real interest in inducing Toi) then said to Mr the Court to accept his version of the transac-"too much shares insid tion than Mr. Darby can have on his side. In got a margin too, any case their statements as to what took place could put his account,” with regard to this matter of vital importance nodded his head. He says are in conflict with one another, and I have to Darby aside and asked b determine for myself which of them I will Toi had shares in the Bank and ha believe. In forming an opinion on this point also, and Mr Darby said 4Yes, it is necessary to have regard to the relative He proceeds to say that Mr. Darh truthfulness of the two men as I conceive of it, a paper in English and offered it to the inherent probabilities of the matter, and to Toi to sign, but he refused the subsequent conduct of the parties concerned. the ground that he did Let us consider first Mr. Darby's version English that Mr. Darby, of the conversation and what was done in paper in English and off the course of it. In his examination-in-chief Sing Toi's signature, but he refuse he does not give any details of the conversation, also, alleging the same reason for but merely speaks of the documents which were and that Kan Sing Toi then wrote written at the interview and to' which I will to Mr. Darby the Chinese documen presently refer. In cross-examination he makes translation has been set out above the following statement:-"During the inter- that, on Mr. Darby's asking hin Apparently without any warning, in March, view with Kan Sing Toi and the compradore the document, he exclaimed to ↑ 1892, a crisis of a grave character arose among and myself, I do not remember the compradore only the name of the Kwong Fuk appear the Chinese banks and firms in Hongkong and taking me aside. I cannot swear positively and the name of the Wing Tang Yan was absent, Shanghai. The crisis seems to have been im either way. It is five years ago nearly. I do whereupon Kan Sing Toi explained mediately brought about by the disappearance not remember the compradore having asked me the manager and sole owner of the from the colony of Lo Hoh Pang. This event to get Kan Sing Toi to pledge his margin on Yan; that he had put his name on the took place on the 26th March, 1892. Cheong his share accounts against any possible loss on
of that bank; and that it was theref Koon Sing heard of it on the morning of the the Wing Tung Yan and the Kwong Fuk bills. necessary for him to put the name of that following day, the 27th March, 1892, and he I don't remember whether the compradore in- in the document. He adds that seems to have at once suspected, and with good quired of me during that interview whether Sing Toi to "pay
(meaning reason, that the banks which had drawn the Kan Sing Toi had a good margin on his "hand-over")-some Chinese bills and made the promissory note would loan account. I know something was said which he had with him :- suspend payment and that he and his surety about the margin on Kan Sing Toi's account pulled out twenty or thirty might thereby become involved to a very large during that interview. I think I brought up amounting to about $100,000; extent. He accordingly spent the morning in the matter-I cannot swear." Evidence of this to Mr. Darby, and that the latt making visits to the banks concerned-which, kind is not very satisfactory from the point of take them. Then he says he exp although the day was Sunday, were, in accord-view of clearness and definiteness, but at any contents of the Chinese document in ance with Chinese custom, open for business-rate it shows that Mr. Darby would not force English to Mr. Darby, and Mr. Darby with a view of ascertaining from their managing his memory to testify in favour of the Bank's called him aside and said to him, 4-Kan partners what were their chances of tiding over position in this case. In re-examination be Toi pidgin-finish, alright, don't you ..the crisis and especially how they proposed to affirms that he never gave Cheong Koon Sing You go other bank; you do your best. Then meet their liabilities to himself and the Bank. to understand, either directly or indirectly, that he says he went away, leaving Mr. Darby and According to his account, he received from the debiting of Kan Sing-Toi's account with Kan Sing Toi together, His evidence proceeds the Tsan Shing, Kwan. Yu, and Kung Tai the value of the four bills of the Kwong Fak as follows. After the interview I took no Banks assurances that their position was not and Wing, Tung Yan Banks would diminish steps to get securities from the Kwong Fuk or endangered or at any rate not made des- his liability in any way. There is no further the Wing Tang Yan Banks I thought the perate, and, what was more to the point, evidence obtained by either party from Mr. matter was settled. Mr. Darby, Kan Sing Toi, contributions of Chinese promissory notes Darby with regard to the terms of the con: and I had agreed that Kan Sing Tor's share and other securities to enable him to versation otherwise than as relating to the account should have entered in it the lial meet in part their engagements, ou which he was documents already mentioned. With regard to of the Kwong Fuk and the Wing Tung also liable. He obtained from the Tsau Shing these documents Mr. Darby says that "he pre on the four bills. I took no further steps Bank a promissory note for Tls. 10,000 made pared two documents for Kan Sing Toi's after this with regard to the four bills of these in their favour by Tsang Taotai at Swatow and signature." The first document was in the two banks. After this interview- $5,000 or $5,500 in cash; from the Kwan Yu and following terms
steps about the other three banks and Kung Tai Banks an assignment of a property
money and securities from them. in Saigon; and from the Kung Tai Bank 500 shares in the plaintiff bank. He was not suc- cessful in his application to the Wing Tung Yau and Kwong Fuk Banks-in the case of the former because he was not able to find the +managing partner, Kan Sing Toi, at the offices of the bank. He was asked in cross-examina- tion why, when he did not find Kan Sing Toi at the Wing Tang Yan Bank, he did not go to
seek him at his house, and he said in answer uthat he did not know where he lived and that it
|
*
Hongkong, 26th March, 1992. The Manager, the Bank of China, Japan, and the Straits,
Limited, Hongkong.
sion of your Bank on this date, drawn by the Kwong Dear Sir,With regard to all acceptances in the posses-
Fuk Bank or Wing Tung Yan Bank of Hongkong on Yuen Loong, Shanghai, I hereby guarantee that same shall be paid at maturity and I hereby authorize you to retain any margin there is, or may be, on my account with your back, to liquidate any debt which may be owing to you through the default of above banks or firme, to protect such acceptances.
ered
This evidence was given in his examination. in-chief. In his cross-examination he said that hands of the plaintiff bank should Kan Sing Toi agreed that his bares in the used to
meet his liabilities in 1 Yan, but he said there was no need writing, and he mentioned both Fuk andWing Tung Yan, the lial respect of both being Tl. 70,000. gard to the two letters written for Kan Sing Toi to he Bays only reason which Kan Sing Toi gave signing the first letter was that it was helish and he could not underst
Mr. Darb unable to explain those circumstances, have wri a second letter These are
It may be noted that this letter is wrongly would have been improper, according to Chinese dated the 26th instead of the 27th March. ideas of etiquette, for him to make inquiries on This letter Kan Sing Toi declined to sign, the subject. It is to be remembered that the and Mr. Darby says that the reason--which bills of the two banka in which Kan Sing Toi gave for this refusal was that "it included the was interested represented a sum of Tis. 70,000 Wing Tung Yan Bank, which at that moment or 897,222 23-in local currency, and there can had not closed its doors."Mr. Darby there be no doubt that Cheong Koon Sing was, very upon wrote another letter of the same purport, anxious to come to Bome understanding or with the exception that the name of the Wing settlement with Kan Sing Toi in order to pro-Tung Yan Bank does not appears in it. This fect himself.
letter also Kan-Sing Toi declined to sign, for the reason, as stated by Mr. Darby, that it was in English and he could not understand English. Kan Sing Toi then wrote and gave to Mr. Darby a Chinese document, of which the follow- ing is a translation —
**About 2 pm, of that Sanday he went to the residence of MDarby, and told him of what had occurred and the two of them went to the offices of the Bank, arriving there between 2.30 Bud 3p.m. No doubt he went to Mr. Darby instead of Mr. Inghbald because the later gentleman had only recently assumed the management of the Bank, while the former chad been employed as its accountant for some
સ
Mr. Darby states that he had “a long interview” on the day in question with Cheong Koon Sing But it does not appear that any
DEX
If Kwong Fook Bank are indebted Tung & Co. (Bank of China, Japan and Straits) for any money on account of draft willing to allow the margin money shares I have pledged in the Wai Tung to be deducted (set off). There, shall discussion to the contrary and nothing fur
of this impor
learly not cons
conve
ve
"to
an
versions befo