Page
THE SWEEPSTAKE CASE.
THE MYSTERY OF "LIZZIE.
EVIDENCE COMPLETED.
GODOWN OR DOMESTICE TENEMENT.
ANOTHER RENTS ORDINANCE CASE.
TEX HONGKONG DAILY FREES, FRIDAY, JUNE 13SD, 1923.
AFFAIRS OF MESSRS. REISS
„BROS, E
ASSETS, £3,000,000.
OFFICIAL RECEIVER'S HOPE OF
* RECONSTRUCTION
The Evening Chronicle (Manchester) of May 18th says:
PARTNERSIU. DISPUTE,
CLAIM TO PARTNERSHIP SUCCEEDS
JUDGMENT BY THE PUISSE JUDGE,
Judzment was delivered yesterday" in jhë Summary Court by his Honear the Paisne Judge (, Justice Gompertz) in the eisis in which a Chinese named Kwot
After an adjournment of eight days the Chinese Club sweepstake case was con-
His Honour the Pulsao Judgo (Mr. tinued last evening before the Beard of Justics Gompertz) was called upon-yes- Arbitrators. The case has now occupied terday morning to decide whether the shine three werks bat last evening saw the ground floor of No. 3. Canal Road, wasi: Great, satisfaction will be felt through arbitration proceedings nearing the final a godown or a domestic tenement withinput eqnnércial circles in Manchester, To-Kai clauit partnership in the Ying
"nyek a wide area in the Fat EAIL RU the nonning of the Rents Ordinance.
the "official announcement that the Business | Koe. C6, and the Tang Lee Yuen, which of the famous firm of Mesars, Reiss wire cited as defendants. Brothers, Lid, of Quay Street, Mancher ter, merchant shippers, which has been hij. His Lordship in 'delivering' judgaent existence for more Fan a century, is not suik-the plaintiff in the case was, thà to be discontinued.
fourth of "eyen brothers and their father, Mr. Murgatroyd, the assistant, official t receiver, conveyed this information to the Kwek Ah Cheung, who died in 1880, was creditors of the company when they, held in continetor to the P. & O. S‚N. Co. for
their first, meeting this afternoong the supply of provisions to steamers.
stages The dispute aro as to the "ownership of the Chinese Club sweepstake
The plaintiffs, a firm known as the Laun winning ticket. No, luxe, which is claimed Le Compang, asked the Court to cosar to have been bought by two separate
antier to quit which they delivered to Parties. Mrs. Violet Chan of Hongkong the defendant firm," Hop Fat & Co., 121, and Mr. Chik Yau Chau of Shanghai Wanchai Rand, on Apri! The de the rival claimants. The money at stake | fendant, have sought protectión under the ampants to
over $50,000. A curious Rents Ordinance by claiming that the feature of the affair is that the winning ground flour is a domestic tenement. ticket has not been produerd to the Court Mr. CA. S. Huse appeared for the by either party. Mr. Chit alleges that he plaintiff and Mr. F. G. Vaux represented gave it to Mr. Sidney Quinn in Shanghai, į the defendants, whereas Mr. Quinn has declared that thed Mr. Rusa said the claim was for posses ticket handed to him was 2075 and notion of the ground four, No. Canal 3068... On the other hand Mrs. Chan Road West, And he thought the only pointings of creditors and contributolics at the under the firm names Ying. Ker nnu Tung
states that she bought the ticket at -i Christmas Eve party and placed it in a drawer, from whence she thinks it was lost during the removal of her furniture
Mr. Chik Yau Chan is represented by Mr. C. G. Alabaster, K.C. (instructed by Mr C. A. S. Rusa) and Mr. Elsley Zeitlyn (instructed by Mr. G. R. Hall Brutton) represents Mrs. Chai,
The first witness called Inst evraing wat Mr P. C. Jenkin (barrister-at-law) who gave formalcevillence as to a visit, paid to him 9 March 8th by Mr.
mone
:
In his comments on the company's
affairs, the Official Receiver (Mr. J. Grant After his depth the three elder sons car- Gibson) expressed the view that the most ried of the business, but they became in- urgent necessity at the moment was volved in speculation and were ultimately ntain the appointment of a definitive, liquidator and committee of inspection to adjudicated bankrupt. The plaintif control the general liquidation. With took over the undertaking in 1881 and that end in view by find called the meets had emeried it on, to the present day, learliest "possible moment, without waiting his Lordship would be called upon, to decide for the filing of the statement of affairs. Lee. In 1507 4
new business for the www whether the premises can be styled a which must take some time godown Fr a domestic tenement, and The petition to wind an the company Pply of provisions to the Nippon whether or not the premises came under which the Official Receiver understand Yasen Kaisha wa, started under the was a joint prition of the petitioning, names of Ying Keò Kungszu and Tung La the protection of the Rents Ordinance, creditors and the company-was presented Yuen. Its office was in the premis of The contantion of the plaintiff was that on April 24th. the ground floor was a godown No. 3,
On April 20th the company was inform the old firm. The new business continued Canal Rond 'was a three-storied building, id by its bankers that it would I imposantil 1922, when on the application of the
sible any longer to finates the company's plaintiff a receiver was put înă of which the first and second floors were Ensiness, that the nccount must be regard et ns domestic tetepients. The grounded as closed.
SPECIAL MANAGER;
R
*ager.
The' real, issue, was a simple one-Wa} | oor bad a length of 2 feet 4 inch The directors had assured the Official in this new firm. The plaintiff's cas
the plaintiff," or was he not, a partnei a breadth of il feet 6 inches. This per Receiver that after that intimation they Sales to the Hoy Fat Company at a felt that they could not in honesty either was that the firm was started with five Russ (Solicitor) and some Chinese client of $10 a month. The floor was pay accounts or ressive further gonds, brothers then living. One brother was redby, the defaulant, for staring rice. Certain goods were, in fact, received by dead, but his representatives continged. They called concerning the winning fisher
inadvertence: after "April 20th, and tho! of the Chinese Club Sweepstake Introdurgrogeries and for a very Official Receiver hac in certain cases, to raw his stare of the profits. The nitk reply to Mr. Zaitlyn, Mr. Jenkin said that onder prisChinese Watchman authorised the return of such goods or brother, Che Kai, was manager from the had had small chicle on the floor and their retention as part of his own trading beginning, up to his death in 1919. The a document (exhibit. 2) was not produced i
through the agency of the special mau-defendants admitted that regular anual Since the on that pasion. He was then not con- prepared his food there. Grath the evidence of the case, but trouble in Canton and the influx of A special arrangement was ronde bepayments had been minile by Cho Kai to only fine stopping of payment of the refugees into the Calony a number of tween the company and its bankers on his four brothers, but they contended that
April 24th, whéreby the payment of err ! people had been living there. His conten- tain cheques amounting to £16,571 194, 71. ese were purely voluntary contributions MZeitlyn then called a witness intion was that whatever domestic tenement was provided for by the deposit with the of an unvarying amount of $300 per conpection with the mysterious signature was found there was used entirely in con- company's bankers of cheques, bills, and annum which Cho Kai was free to dis continue at any time. They insisted that “Lizzie " which appeared at the foot of nection with the storage of goods there, shipping documents of the total value of
$18,550 148. THE
Cheques to the value of £14.736 2.7.none of the other brothers were partners, one the first telegrams, sent to Mr. and that the floor was primarily
had been paid on presentation, but six, and that Cho Kai, was the sole proprietor Sidney Ng Quinn at Shanghai. The godown.
aggregating £1,835 108. having been question who is Lizzie" was first asked Lee Kam, the assistant manager of the somewhat delayed in presentation, were of the new business until he transferred it by Mr. AluFaster in the cross-examination plaintiff fit, said that notice to quit not paid. The question of their payment to his son, the defendant, Ping Tsun, in was delivered to, the defendant firm on was under consideration, and no doubt November, 1018: Two of the brothers had of Mr. Sidney Quinn, Mr. Quins 'on'
the matter would be satisfactorily areng denied on path that they had ever been that occasion replied that it was Mr. April 8th and Mr. Ross read out the Henry Wei, but the point which perplexed notice to the Court. It required the
The preservation of the continuity of partners The firm's books showed that the Court was why should the name tenants to quit by 5th May or their rent the company's business, the Official Re-there was no record of any division of
eliver continued, fell under two heads: "Lizzie" he used. For the purpose of would be raised from $10 to $30. *-*
(1) Arranging for the continuous per-profits or any recognition of partnership, throwing some light on this little mystery In reply to Mr. Faux, the rent collector forminner of intracts in England, and. The payments were made regularly. Even (*) the ficient supervision of the in yours which showed a debit on sapitel Mr. Henry, Wei- arrived in Hongkong for the plaintiff denied that the godown
company affairs in the East.
account.... yesterday, from Shanghai. He explained keper and his wife and family had been to the Court that, he was a Shanghai meriving there for the last 5 years.“ chant and on the day the Derby was won
Mr. Vaux said he had been instructed he was staying at Mrs. Ng Quinn's house to the effect that the defendant, bis wife in Hongkong. He was present when Dr. and family had been living there for four T. P. Woo telephoned to Mrs Ng Quinn or five years. The back part of the stating that she had won. He witnessed ground floor had a window a courtyard the search for the missing ticket and a kitchen, whilst be admitted that
the front part was used as- godown,
The defendant, in the box, bure out Mr. Yaux's statement, which was also corroborated by a Chinese woman who said she was a neighbour, and knew the defendant's family very well.
And at Mr Chan's request be sent eft a telegram io Sidney in Shang- bail" stating "we have won first prize and asking him to return " immediately." Mr. We went on to describe a little His Honour said that on the facts of quarrel between Mrs. Chan and Mrs. Lathe case that had been placed before him he had to give judgment for the defend (Mrs. Chan's sister) which arose over the ant with costs. Joss of the ticket. The witues, and that Mrs. Chan was angry with Mr. Lai, for removing the furniture of her room with- out her supervision. Witness went on to! say that he was concerned about this little difference and on March 3rdho sent off the tedegrun vigj * Lizzie,”! Ha sent this
CORRESPONDENCE
STREET FOOTBALL
TO THE EDITOR OF THE HONGKONG
DAILY PRESS.
off on his own initiative.. In this tele-Sa-Sergeant E'sio Was instru gram, addressed to Mr. Sidney Quinn, he mental recently jarenring the conviction asked Who has won 1." Asked why he of some youths who were playing street
football to the nunoyance of pedestrians. should use the 'nom-de-plume "Lizzie," May 1 direct his attention to the little Dr. Wei explained faat on the same day level at Glenealy, just below the steps he was leaving for Canton and if he had leading frem Caine Road? This is a particularly favoured pitch, where from signed it Henry" a reply might have 15 to 20 nippers enjoy the game at almost come back addressed to Henry" and, all hours of the day. I hate to inform as he wits going to be absent for some against the youngsters, but the fast! days he thought best to sign h lady's remains that they constitute a nuisance, nam By su doing by thought it would and the worthy Sergeant will be confer be opened by one of the family and thus ring a favour on a goodis-sized section of prevent any delay. His reason for asking the community by its being tìm ved- in the cable Who has wont when Yours, etc., he had stated in the first cable "We have won," was simply to get an assurance from Mr. Sidney Quinn that Mrs. Chan had won and this settle the difference which have arisen between the two Indies.
Aftor Mr. Wei had been further cross. examined by the Court, Mrs. Lai (sister of Mrs. Chan) was called. She repeated the story, already known to the Court. re garding the search for the ticket at Mrs. Ng Quinn's house. In reply to Mr.
TOTO.
Hongkong. June 21st, 1.5-A poster written in Chinese warn
ing all would-be offenders and auprising them of the penalty of conviction, might have good re sults if stuck somewhere close to where the game is played;
to
Asked by Mr. Ho Leung why Zeitlyn Mr. Lai said her same was he did not report to the Committee Elizabeth and that she was known when Mrs. Quinn asked, him "Liz" but she knew nothing about the state that the ticket had been lost, Seabio signed Lizzie and sent by Mr. Dr. Woo said he did not think it was
Henry Wold my dy Way
ecessary to do so. The witness further. Resuming after dinner, Dr. P. Woo said that the time of the telephone ( member of the Committee of the conversation was between one and two Chinese Club), relied to the Court his 'clock; shortly after tiffim
telephone conversation with Mrs. No Dr. Kwan (President of the Club)" re Quinn on the day the Derby was run called, said no-one in the club' knew who Mra Quinn told him that the fickend wou the prize until Give or six could not be found. On that occasion, no o'clock that afternoon. mention was made of the winning number. This concluded all the evidence to be The witness: said that he congratulated placed before the Board and as the hour Mrs. Ng. Quinn on winning the prize, was getting late it was decided that Asked boy, he cham to know that Mr. Ngoung would address the Court on the Quinn had won, Dr. Woo said that air following evening (Gay) heelock Mok (Secretary of the Club) had told him It was also decided that the Board of that one of the tickets inned to Mr. Ng Arbitrators be granted an extension of Quinn ad won the Tirst prizo
time from the 27th of Juns to the 10th (Continued at foot of next column)July to consider it decision.
So far as the first was concerned," he
had endeavoured to secure, it by obtaining Early in the cass the plaintiff put for from the court the appointment of reward certain memoranda. or slips, and W. H. Garnett as special manager, by his Lordship went on to say that though hour the business had been carried on the case for the defendant, was very ably sines the date of the presentation of the handled and the cross-examination very petition, and countenance had also heen searching, yet the defendants had not given to the performance of certain been, in his opinion, entirely unable to destroy the credit of or to explain' away the memoranda, finite contracts,
NO DEBENTURES.
Dealing with the document of transfer of the business by Cho Kai to his son, EVIDENCE OF DIRECTORS' GOOD FAITH.which had been the subject of fierce can- trovray during the case, his Lordship said he had been unable to decide, whether the signatures impeached were forgeries not.
With regard to the second head, the position. was not na clear as it might be, owing to the possible conflict of laws and jurisdiction as between this country and the court at Hongkong and the Chinese
courts,
His Lordship concluded by saying that on the evidence he was not satisfied that Yam Kai's partnership had been estabe At the request of the directora and with lished. The plaintiff therefore succeeded the sanction of the court he had appoint in his claim, and must have judgment, ed two persons is his agents in Hongkong, but not against the defendant Kwok Yam Canton, and a number of Chinese Treaty Kai. The order he proposed to make de ports. It was possible that the Courts of to costs was that the defendant, Kwcir the East, like those of, Hongkong and the Ping Tsun, pay the costs of the action- Chinese Treaty ports in which the com- Hu did not propose to give the defend- pany had agencies, might eleét to appoint ant Kuck Yaz Kai ang costs for reBLONY a liquidator of their own.
which were apparent. He was ready, if A summary of the company's last it was desired, to consider the question of balance sheet, that of June 30th, 1822 costs in Chainbers. Leave to apply was showed
given..
- 23 1
LIABILITIES. Sandry creditors Beiss Bros. (Liverpool).. Deposits Inderwriting account, Euglish banks
Eastern Bank and fin-
ance housre Eastern Bank, No. 2...... Eastern Bank, No. 3 Provision for fall in alue of stocks in branch books
Mr. Eldon Potter instructed by Mr. £437,002. 8. 2:
G. R. Haywood, represented the plaintiff, 91,699.10. 8 162,106,10.74nd Mr. F. C. Jenkin, instructed by Messrs. Johnson. Stokes and Master wER 5,265,14.LL 830,786.13.2 for the defendants.
422,300. 0. 5 234,187.10.3 297,104.18. 0
The Oficial Receiver remarked that ha understood the total deficiency had since increased somewhat, and that some of the 35.927. 9.10-assets, a substantial propertion in fact,
Wern pledged to the creditors, and to the
Total gross liabiliti£2,413,791,11,4xtent of the pledge the liabilities and
Cash in hand Bilgin hand Sundry debtors
ASSETS..
Mill contracts, less pay
ments or account... «Cousignacuty
Open shipments less re
nittances May 1st
June 30th, 1992,
Stock ju hand China and Hongkong. buildings and pro- perty Manchester warehouse... Ditto Machinery, and
Furniture London, Machinery and--
Furniture Investments.
Goodwill and Trade
Marks
·Balance of Excess. Profits. Duty recoverable
“Toka gruas usītó.A
Deficiency, net
Total
£3,057. 4. 5 $1,861.17.0 400,315.-9.
Base would disappear from either gida of the account, ya jamaa waja *****PLEDORD PRIVATE AFDETE
In addition to the direct securities, the Official Receiver understood "that the directors of the company had pledged 45,680. 4. 6. practically the whole of their privato 6,583, 5. 97 assets with the company's bankers for
ther to secure their account. This security was collateral, and while helping to dis-ar 013,20210, 4 charge the bank's claim would not require --350,608.18. 9 | aseasment or deduction from the amount
of any formul proof.
Mr. Grant Gibson concluded:-
342:488. 4. 0 100.000,-0. 0
5,000, 0, 0
·JATI, 1. 7· 5,472.19. 2
· 100, 0. 0.
34,003, 3, 6
058,613.10. 1 467,177.1
445,701.11 4 "foot of next column.)
The Official Receiver thinks it worthy of note that there are no debentures "whatever”issball by the company. It is easy to realise that the directora night have had issued to themselves debentures to cover their heavy commit ments on the company's behalf, and tho fact that they have not done so in cogent evidence of good faith "?"
The Official Receiver trusts that he may be allowed to jusociate himself with the generally expressed sympathy for the mis fortune that has batallen the company and its directors, and to express hope that, some form of reconstruction may bo devised,
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