7 Abb. Pr. 425 | New York Court of Common Pleas | 1858
—Upon the evidence before him, the judge below was warranted in drawing the inference that the defendant fraudulently contracted the debt; that he purchased the draft with a knowledge that he was at the time insolvent, and would not be able to pay the amount at the expiration of the credit, unless he applied the proceeds derived from the sale of the bills to that purpose.
The bills were sold to him upon the assumption, from the usual course of his business, that they were to be used by him to remit funds to Europe; but on the contrary, according to his own statement, he sold the bills in this market, as he alleges at a profit, but does not disclose in his affidavit the name of the person or firm to whom he sold them, or what he did with the proceeds. When the bills were offered for sale by the broker, he took a day to consider whether he could make use of them, though he had frequently purchased bills of the same drawers
He swears that the failure of that firm affected his credit, and that the large' amount of securities held by them and by him became so depreciated by the crisis, that he was compelled to
The day’s deliberation before concluding the purchase—the purchase of them upon credit, contrary to his usual business custom—the omission to enter the transaction in his books—the fact that he did not purchase them to remit to Europe, but that he might sell them again in .the market here—and his silence as to the name of the person or firm to whom he sold them, and as .to what he did with the proceeds—are all circumstances justifying the conclusion arrived at by Judge Ingraham, that he purchased them fraudulently.
His attempt to explain why he did not have the purchase entered in his books is unsatisfactory. It was in evidence that it is the universal custom among merchants to make entries in their books of the purchase or sale of bills of exchange as soon as they are purchased or sold; and it would be apparent without this evidence that it is unmercantile, and strongly suspicious,
That decision was in my judgment correct, and the order below should be affirmed.
Present, Daly, F. J., Brady and Hilton, JJ.