1928-05-08 — Page 5

HUMILIATION DAY IN CANTON.

JAPAN DENOUNCED.

DEMONSTRATION AND PARADE

STUDENTS AGAIN BUSY,'

LEGAL RIGHTS OF

· MORTGAGEES.

POWER OF VOIDING A TENANCY?

IMPORTANT MATTER FOR ALL HOUSE OCCUPIERS.

The legal rights of a mortgagee and the limited power of a mort [FROM OUR CHINIBE CORRESPONDENT. 1 gagor, although he may be the

CANTON, May 7th.

A huge demonstration "is taking place to-day in Canton in comme moration of Nations! Humiliation Day, May 7th, and in opposition to the present Japanese military expedition to Shantung. The de- monstration is now being staged at the East Parade "Ground, where platforms, pailaus and other tem- porary structures have been erected.

Thousands of people representing

all walks of life will attend, and the demonstration will be followed by a parade through the principal thoroughfares of Canton.

The commemoration of National Humiliation Day in Canton is an annual" affair, but to-day's obeer.

owner of the property, were argued Pin Court yesterday morning when the Banque de l'Indo-Chine sund Mr. J. H. Witchell, Manager of the King Edward Hotel, for $1,000 and costs as means profits in respect of his occupation of Budres Villa from April 1997, to March 18th, 1028 The plaintiffs as mortgageen waived the sum of 895 in order to bring the action within the jurisdiction of the Court.

The case was heard before the acting Puisne Judge, Mr. P. Jacks, at the Summary Court. Mr. M. M. Watson was for the plaintiffs and Mr. D. L. Strellest for the defend ant.

THE HONG KONG DAILY PRESS, TUESDAY, MAY 8th, 1928.

CORRESPONDENCE.

CONSECRATION OF COLOURS.

[TO THE EDITOR OF THE "HONG KONG DAILY PRESA."]

92-1 am by no means sure that I deserve all the nonsense that Mr. Channing chose to write about ma in his distribe published in this morning's issue of your esteemed journal.

To reply would be futile, scarlet chimere certainly lent a Dr. Duppuy's purple cassock and touch of colour to the spectacle. One would have liked to bave seen their full-bottomed wigs, and it is His Majesty's judges resplendent in regrettable that no job could be found for the Vice-Chancellor of the Unixecsity, the originator of whose passing through the, Colony over amazing academical costume was the week-end.-Yours, etc.,

L. E. HAYNES. P.SI quite agree with your Editorial Note. In my opinion (valueless, of course), beth occasion aod time were inopportune. How ever, why worry! It's rather warm to-day, isn't it -L.E.E.

Hong Kong, May 7th, 1928.

AN AVENUE FOR EXTENSIVE FRAUD.

$120,000 FOR CABLE BILLS.

"SUGAR KING" CLAIMS DAMAGES FROM PIÁNO DEALER.

ALLEGED ALTERATION OF DEBIT NOTES.

Mr. Kwik Djeon Eng, the "sugar king," was mentioned at the Supreme Court, before the Chief Justice, Sir Henry Gollan, yesterday, as having been the victim of a fraud alleged to have been perpetrated by an employes to the extent of $120,000.

It was stated that a clerk employed by Mir, Kwik was respon- sible for paying cable bills, and that he had gltered the amounts on the debit noter from the Great Northern Telegraph Company and the Great Eastern Extension Telegraph Company, and in this manner had obtained cheques for increased amounts.

Mr. Kwik, who is the plaintiff in this action, claimed from Tsang Fook, proprietor of the Taang Fook Piano Co the sum of $40,000 on the ground that the defaulting clerk bad handed the cheques to defendant for conversion.

Mr. Eldon Potter, K.C., and Mr., not admit that at any time of the H. G. Sheldon are appearing for alleged frauds the cheques were the the plaintiff, and Mr. F. C. Jenkin and been trayed by frend

property of the plaintiff or that they for the defence.

Opening his case, Mr. Potter said that the action was a claim for damages for conversion of certain cheques. There were in all go cheques relevant to the case. These were drawn by the plaintiff's man.

..

vances are much larger and more one tima occupied by a Mr. Tanner. Under the circumstances they were ager, on behalf of the plaintiff, on |

intense than any of the previous ones owing to the Shantung situa.

tion.

Outlining his case, Mr. Watson said that he would not be calling any evidence as be depended on the legal position with regard to his e. He said that the premises were at North Point and were at The plaintiffs were claiming fra the defendant the sum of $1,000 as mortgagees. The

owner of the house, Mr. Wong Man Kai mort, gaged the property to the Banque As mortgagees, the plaintiffs were entitled to all rents accruing from the house in question.

house for a year, and that his clients had taken possession of the house two days before the writ was issued, entitled to claim mesne profits for that rest

It must also be borne in mind that the mortgagees could not bring an action for destraint of rent and all they could do was him with trespass.

the Netherland Trading Society and the Chartered Bank. Two of them cheques were made out to order and the others were to bearer.

Mr. Potter said that the plainrie

Among the organizations parti- cipating in today's demonstration de l'lado-Chine on April 20th, 1923. either to evict the tenant or charge was not claiming the face value of

are the following: The Provincial Kuomintang, the Special City Kuo- mintang, the Canton Students' Association, Sun Yat Sen Univer- sity, the Women's Emancipation League, the Aviation

Salvation Association, the General Labour Union, the Mechanics Union, the Canton Chamber of Commerce, the Pressmen's Association, the Canton Primary Schools Teaching and Secretarial Club, the Hong Kong General Labour Union, the Chinese Seamen's Union, the Overseas Chi- nese Association, and the People's Milicia Association. The programme of the demonstration is being ar ranged by the Provincial and City Kuomintangs.

His Lordship: If you do not the defendant toor occupation of

It was on March 18th, 1927, that admit, the lease, then how have you

arrived at your figures! the premises under an agreement claim even 81,000

Mr. Watson said that he could month as masne with the landlord or mortgagor. It profits, but fos the purpose of the was agreed between them that case, he had adopted the figures paid by the defendant. Either on monthly rental of $125 would be which the defendant had agreed to that date or at some subsequent pas rent to the mortgagor..

His Lordship: But what about! dates, the defendant also entered the money which the defendant had into an agreement with the mort- gager to repair the roof of the Pent in repairing the house?

*Mr. "Watson: That's our good house, but the plaintiffs were not a fortune. Probably he had things party to the contract. the plaintiffs were not & party on

Mr. Strellett: I only admit that put in which we did not want.

Mr. Strellett here interposed and that particular day-March 16th, able and that the defendant had, said that the house was uninhabit 1027-ither to the lease or to the by spending a sum of 81,541, made agreement for repairing the house the house habitable. He drew his but they became a party at a later Lordship's attention to the fact that date.

Mr. Watsony continuing, said Mr. Tanner, the former tenant, only that the defendant took possession paid 850 rent and that would clear ernment officials and representatives of the house on March 18th, 1997, of the premises. The defendant had ow the dilapidated condition of the above organizations. All and at the time the agreement was the barangues dealt with the made between the mortgagor and made the house fit to live in and Japanese Twenty-one Demands and the tenant, the mortgagor-was- in it was worth $125 a month at the the expedition to Shantung. The arrears to the plaintiffs in respect present Tanaka Government was of interest on the mortgage. That denounced most bitterly for its entitled the plaintiffs to take posses policy towards China, which was described

flagrant en croachment upon the territorial Buvereignty and political independ ence of China which could not be tolerated under any condition." The alleged brutalities of Japanese in Shantung were then dealt with.

Speeches were delivered by Gov-

BK. &

BOYCOTT POSSIBLE.

|

sion.

On August 18th, 1997, the plain tiffs sent a letter to the defendant by post telling him to pay all rents direct to them and not to the mart This letter, the defendant gagor. said, had not been received. How ever, in October or November the plaintifs again wrote to the de-, fendant asking to call at the Bank

relative to the matter.

Done Every Day.

It is too early to predict what retaliatory measures the people of Canton are likely to take against the Japanese Government. Another boycott against Japanese goods has been suggested, but it is by no

Mr. Watson then cited several means certain that anything of that authorities to show that the mort sort will be done. Cablegrazas will gage to the Bank was only an be sent to the Nationalist authori ordinary Bank facility mortgage, ties at the front, requesting them to and that any lease made between be firm in their dealings with the the mortgagor and a tenant, with Tanaka Government.

out the knowledge of the mortgagee To-day has been declared a gen-“

was improper. He contended that eral holiday for all students and

no lease could be given by the working men. All the factories and iron four rien in Homura are closed, consent of the mortgagees.

mortgagor except with the express so as to give a chance for labourers

His Lordship: Is not that done to participate in the big demonstra every day in the Colony, a mort tion. Narrow white paper straps gagor leasing out his with the following words written on

Mr. Watson: Yes, Property 1

the tort them, "To Commemorate National gagces choose not to interfere, but Humiliation Day; to Oppose the if they did the tenant would have Japanese Military Expedition to to vacato. Shantung." have been pasted on the «front doors of all the shops in Canton. The vernacular news- papers are flooded with ant Japanese Eterature Manifestoes and declarations by military and civil organizations throughout Kwangtung denouncing the Japan ese are daily published in the Canton newspapers.

ly

Present time.

defendant undertook to repair the Mr. Strellett also said that the building on two conditions. First of all whatever money he spent in repairs would be set off against the monthly rent and the second condition was, that the mortgagor would have to guarantee that the lessee would not be ejected.

The Defence,

these cheques because in law, his client could only claim the amount of damages he had suffered.

The defendant piso said that the cheques were honestly received for value. He further denied that the sum of 201,880.23 or any part of that aim was received by him for the use of the plaintiff or under any circumstances that would entitle him to recover it. There was also no notice as to any defect of In Po

Lun's title.

was no dispute with regard to the, Mr. Potter pointed out that there

defendant : haring received the cheques from In Pa Lun and, also to their having been paid to the defendant's account in the Charter

d Bank.

EVIDENCE CALLED." Mr. A. J. Bird, cashier of the Chartered Bank, was then called to The fraudulent clerk, lu Po Lun, the witness box. Questioned by Mr. received the cheques for the purposeeldon as to the procedura which of paying the plaintiff's cable bills the Bank would go through on re from the Eastern Extension Tele ceipt of a cheque bearing a Chinese graph Company and the Great Northern Telegraph Company.

The plaintiff carried on two busi- ness at No. 128, Wing Lok Street, one being the Ching Siong, a world wide business in wholesale sugar and the other, Kiem Tjiang Han which dealt locally in augar.

His Lordship: Is this the gentle tion 1: man who made that big reclama-

"Mr. Patter: Yes.

there was, however, one cash de. Continuing, Mr. Potter said that partment for both businesses. Cabla expenses in connection with the figure every month and it was in business usually ran to a very high this connection that the action arose.

In 1981, the plaintiff firms opened paaies for the purpose of facilitating an account with the Cable Cam- their business, & deposit of $3,000 was made to each company monthly and against this amount, cable expenes were debited.

Iu Po Lun's duty was to attend to the cable bills at the end of each month, and he soon saw an avente for fraud on a considerable The idea of altering the scale.

debit notes was then conceived. The notes were altered to a larger amount, and Iu Po Lun would make with the altered debit notes for out the cheques and present them the manager to sign.

be equally guilty. The frauds, however, were dis. covered in May, 1927, and a warrant was issued for his arrest.

signature and no endorsement, wit ness replied that the Bank would first of all satisfy themselves that the sum mentioned in the cheque was not too large to be placed to the credit of a customer's account, and also see that there was nothing suspicious about the circumstances under which the cheque was drawn.

In a cheque such as the one pro- duced in Court, witness said that the bank would have to endorse

the Bank. it as the cheque was made out to

Mr. Sheldon: Would it, a matter of fact, be possible for the and then hand it back to Tang Bank to have endorsed the cheque Fook for his endorsement No, quite impossible. If the Bank re- quires Tsang Fook's endorsement, first. After the Bank had endorsed he would be asked to endorse it it, the cheque could under no cit cumstances he passed out again.

Mr. Sheldon: What is the object of the Chartered Bank's endorse ment on the cheque 1-Without the Bank's endorsement, the Chartered Bank could not collect the amount through the Clearing House,

Mr Sheldon: So the endorsement is not for the purpose of passing Tsang Fook's cheque, but only for the purpose of clearance ?--Yes.

were paid into the Bank, the Bank Mr. Sheldon: When the choquen was under the impression that the cheques were genuine and that Teang Fook was entitled to the proceeds 1-Yes.

Witness in reply to further ques tians, said that it was not an un- common practice for cheques to be drawn and made payable to a Bank who would then credit the custom. ers, to whom the cheque was in- tended, but in cases like this, Tsang Fook would not be allowed to draw against the cheque until it had pass ed the Clearance House and that the Bank was satisfied that the cheque was genuine,

In his defence, Mr. Strellett said that the mortgagor was in actual possession on March 18th, 1927, and The whole situation was that the the fact that he was in possession defendant had paid no rent to the could not be unknown to the mort plaintiffs from April, 1997, to March,gagee.

The whole situation was 1928.

that the mortgagor, being in posses- sion, had put another tenant in his After getting the cheques signed, fu took them to Tsang Fook, who place, and that being so there was nothing to make a tenant enquire paid them in to his own account as to whether not the property after paying, the Cable Companies. was mortgaged.

In this connection, Mr. Potter com- Dealing with the letter which the mented that, in law, if a person did Bank had sent to the defendant, not pay money where he was Mr. Strellett said there was nothing ordered to but paid it to another to show whether the plaintiffs had any that party, even if innocent, wanted the defendant to remain in occupation or that they would treat him as a trespasser. In fact the letter did not disclaim his client's

His Lordship then remarked that tenaney, for all it said was that de fendant should pay his rent direct the excess sum amounted to four to the mortgagees and not to the times the value of the claim. "proprietor Wong Man Wai Mr. Potter replied that the There was also no suggestion in the shortage amounted to $120,000.

His Lordship then pointed out letter that the defendant would be that plaintiff originally claimed required to i, M. Surellett said, 850,000 and now they were claiming

mesne profits. Mesne profits, was in law nothing more than $40,000 and yet they said that the damages for trespassing. What shortage amounted to $129,000, profits, Mr. Strellett asked, would Mr.Potter admitted that it was the mortgagees get out of the pro- a vast sum, but it was not the plain- Ferty even if the defendant did not tiff who drew the cheques and it trespass. They had suffered nothing did not matter to the case who be the same as adopting the lease! but on the other hand the property drew the cheques, as negligence was Mr.no defence so long as it was proved Mr. Watson explained that in the was improved for them.. Colony a mortgagee was not allow. Strellett also said that even if the that they were drawn for one pur-

In Po Lun's salary was 350 ad to apply for destraint of rent, plaintiffs held to the claim for pose only.

Mr. Potter niso referred to the month, but with bonuses, he would unless he had actually taken posses mesne profits on the technical sion, and being so, his clients had points, his Lordship could award statement of defence. He said that get about $2,000 a year. Witness no alternative but to apply to de ten cents a month, because in truth the defendant denied that he had also said that he had known Tsang fendant for the rent due.

and in fact the property had not wrongfully deprived the plaintiff of Fook for a number of years.

The case will be continued this Tenant Should Find Out It Property suffered any damage arising out of

Mr. Watson then went on to say that a lease made between, & mort- gagor and a tenant was void to the mortgages.

His Lordship: If the tenant re- ceived a letter from the mortgagee asking him to pay his rent to him (the mortgagee), would it not then

Is Mortgaged; M

the defendant's occupation."

Another point, raised by Mr. Strellett was that the mortgagees had in their letter of August 10th, 1927, adopted the tenancy and know that the defendant war the tenant under a lease made between the mortgagor and himself.

SLOGANS AND STUDENTS.

On the principal streets and maaloos in Canton are hung large clotha with anti-Japanese slogans such as: Resist to the Last Man the Japanese Military Expedition to Shantung Down with the Japanese Militarist Tukude Who The whole question, Mr. Watson is Disturbing the Peace of the Far went on to say, was one of equity. East De not Forget the The mortgagees had no knowledge National Humiliation of May of the lesse made between the 7th" "Down with Japanese Immortgagor and the defendant. It perialism;""Down with the rested upon the tenant-to-make Chinese Communist Party Sup enquiries as to whether or not the port the Northern Military Expedi property was mortgaged. tion for the Consummation of the His Lordship: What rent could National Revolution" and "Take you claim if you do not recognise Revenge for t

the Japanese Outrages the lease! AN

Mr. Watson: We are not claim from the defendant, the bill rendered in Tsinan."?

During the parade, handbills and mng rent. We are only claiming by the contractor for the purpose pamphlets of an anti-Japanese mesne profits as interest on the of having the amount reduced but Aero- mortgage had been in arrears over without success. Why should the nature were distributed planes were also encircling the city & year. We are also not concerned mortgagees do this!" Mr. Brellett dropping similar handbill and with any arrangement which the asked. The answer was obvious, he pamphlets. During the afternoon defendant might have made with said, for it, went to show clearly And evening an army of orstor the mortgagor. mostly students, went through Mr. Watson then said that the the principal thoroughfazes of the only point vital to the case was city and harangued the crowds, and that the defendant had had the

theatrical satiren:"" acted

(Continued on next Oolume).

"I

The manager of the plaintif firm" said that it was lu Po Lun's duty to make out a cheque in accordance with the amount on the debit notes received from the Cable Companies. The cheque would then be brought to him (witness) for signatare. He would compare the face value of the cheque with the amount on the debit notes and after signing the cheque, he would hand them to Iu Po Lun.

lu had instructions to pay in those cheques to the bank for collection and with the proceeds. settle so- counts.

the cheques or had converted them to his own use. Defendant also did morning.

HEALTH BULLETIN OF

EASTERN PORTS.

The health bulletin of Eastern Mr. Strellett, in support of his Porte for the week ending April argument, referred to a visit paid by a representative of the mort- 28th was as follows: gagces to the defendant. At that visit, the representative borrowed

that the mortgagees were interested After further legal arguments, the and wished to adopt the tenancy. case was ndjourned unsi May 16th, when witnesses will be called.

Plague. Buez: 9 czx06/2

Aden: 34 cases, 30 deaths. Bassein 1 death.

Bombar: 19 destha Rangoan 3 deaths Bangkok : 1 case. Cheribon: Infected rats.

Cholars "Bassein : & deaths,

Calcutta: 105 death Madrasa "deaths. Mazīmein: 4 deaths. Rangoon 5 deaths.

..

Tuticorin 19 cases, 10 deaths. Pondicherry: 2 cases, 2 deaths. Bingapore: 1 case, 1 death. Bangkok: 24 cases, 14 deaths. Saigon: 23 cases, 19 deaths.

Sumail-poz.

Basrah: 1 case, 5 deaths. Bonday: 54 casca, RT deathe Calcutta: 31 cases, 21.deaths, Madras: 60 cases, 7 deaths. Moulmein: 8 cases, 7 deaths, -Negapatum : 5 cases, 2 deaths, Rangoon: 37 cases, 12 depths. Tuticorin: 1 cap. Pondicherry 8 cases. Shanghai: 3 deathe. Osaka: 9 cases. Shimoneefi 1 case. Mukden: 1 case, Dairen: 6 caRCE. Changchun: 1 case,

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