In H, M. Sapreme Court on Dee-ernier 20, hetero his Honour Judge Sir Peter Grain, the hearing was continued of the' nim instituted by Dr. Hajimi Japanese subject, aga for '¥.88,000 alleged to be due to him cly defendant, Counsel appearing in the case were Mr, Tycho Wing, for the plaintiff, and Mr. Ranald G. Me-Donald,' assisted by Mr, Chang Nieh-yun, for the defence.
'The case for plaintiff' having rested, Mx. MeDonald opened his defence at' the outset of yesterday's proceedings. After pointing out that plaintiff and defendant origin-aly met each other in Berlin 1924, counsel said that correspondence had been exchanged at length.
the course of a number of inter-'Views, they discussed many business, proposals, which included:—a bu: by saying that the case was wrongly}, Jeonceived end that it should have been one for a dissolution of partnership of an accounting.
'The defendant, Hsu Jui-tin, having] mentioned that he was a' British] subject, caid he met plainti? in 1928} and discussed with him questi relating to industrial possibilities in China. After he had returned to} Peking from France and plaintiff had gone to Tokyo, shay had ex-[changed correspondence. 'In August, 1925, witness rented a house for the club' which was opened about the beginning of November that year. He engaged a number of employees, including a secretary and a number servants. The secretary was pai $120 monthly and the monthly wages for the other members of the staff amounted to about $2,000. These men had been engaged August to make the necessary pre-arations and they had been employed for six months. Four thousand dollars was spent in altering the building and furnishing the club, $1,500 _for electric fittings, more than $7,000 on heating and furniture Edward Gutierrez, a Glen, was again brought before the Registrar, Mr. 1.-T. Morris, in H. Mf, Police Couxt, on December 20, charged with "feloniously.and fraudulently embezzling the sunt of $2,659.48," moneys belonging to his employer, Mr. RH. Felgase, Mr. R. S. W. Winter prosecuted and Mr. M. Reader Harris defend-
'Mr. Winter said that accused had been employed by Mr. Felgate' a a clerk. Mr. Felgate was engaged for the most part on outside work and the inside work was left into the hands of the accused. In the carly part of December, the books were examined and the diserepar cies were discovered. Accused admitted that he might have embezzled about Tls. 1,000 or more.
Accused having pleaded guilty, Mr. Harris asked for leniency and said that accused was only 26, He received $125 salary monthly when he began and for the last three years he had received $140. Accused married before joining Mr. Felgate and had three children, "one" of whom had died. He had been put to ness promotion pla Sino-
(83,000 of which had not been paid), Japanete economic alliance; x Inrge foreign exchange bank; a motor] omnibus company for Peking and Manchuria; a rice proposition; mining proposition, a railway construction project involving. $25,000,- 000; an iron ore scheme; a petroleum scheme; a reclamation scheme; a forest rightsgscheme; and basic project scheme In the end, continued Mr. Me-Donald, it was decided to confine themselves to a business. promotion lub in Peking where prominent and influential Chinese could be invited, not as members, but ax guests, was to promote the furtherance of the schemes of plainti.
Nothing Niggaedly Contemplated In pursuance of a series of schemes, the business promotion lub was formed in Peking. A large Duilding was rented with over 50 rooms, for, if they hoped at time to bring' such a large scheme to} fruition, it was no use starting al lub ina parsimonious manner and money had to be spent. They had to entertain guests in no niggardly manner, So the club was formed. However, the time was not propitious and one of the kaleidoscopic Political changes took place. The government changed and, unfortunately for defendant, his patrons Med to leave Peking in haste because he was in fear of his The result was that the club expired and both plaintiff and defendant agreed that all plans had been upset by an unforeseen state of political affairs. With the consent of both parties, the furniture was taken to defendant's house but, before leaving Poking, defendant caused this to be returned to the dealers because it had not been paid for in full, Considerably more than; '¥.20,000 was spent on the club, said counsel, and, when the venture failed, neither party wanted an accounting, With reference to the other items in the statement of claim, Mr. Me-Donald mentioned that nothing had been paid to his client, The sums were fictitious ones, Counsel then. went on to deal with what. he described as. plaintiffs "mysterious diary" in Tokyo which had not been brought into Court. He suggested shat the entries were wrong. and that plaintiff may possibly have added another nought, making $500 read $5,000, As to the motor bus scheme, defendant had worked pardon' this and there never had been any suggestion that plaintiff should put. anything into it until he and his capitalist friends were satisfied. The: ¥.10,000, which plaintiff alleged to have paid defendant, was of no use for a motor bus scheme.
Text read from the printed page and cleaned; old type leaves the occasional error.