Читать книгу Six Years in the Prisons of England - Various - Страница 4

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MY COMMERCIAL ANTECEDENTS—HOW I GOT INTO PRISON.

In the beginning of the year 1856 I commenced business on my own account, as a merchant in a Northern City. Previous to that time I had been engaged in an unsuccessful partnership, but I paid my creditors in full with the small capital advanced to me by my friends for the purpose of my new adventure. When I began operations, therefore, I was literally without a shilling in the world, but I had a spotless character, enjoyed good credit, and possessed a thorough knowledge of my business; advantages which I easily persuaded myself would enable me to succeed without the actual possession of capital.—My business connections were scattered over various parts of the world, and generally ranked among the very best class of foreign merchants. I usually received orders by letter, sometimes I gave open credits to houses whose orders I could not otherwise secure, but frequently I had remittances long before the merchandise could arrive at its destination. The trade was one of confidence, requiring both character and position for its development, and had I been prudent enough to confine myself strictly to this branch of the business, I would now, without doubt, have been a wealthy and successful merchant. At the end of my first year's operations my ledger showed a satisfactory balance to my credit. The year 1857 opened auspiciously, and I continued to prosper almost to the end of it, when a storm swept over the commercial world, which involved hundreds of firms in bankruptcy and ruin.

From the nature of my business it was scarcely possible I could escape, and although I succeeded in avoiding bad debts, I incurred indirect losses to a very considerable amount. In May, 1858, I paid a visit to the Continent, in order to ascertain on the spot how my connections there had weathered the recent storm. This visit resulted in a large increase of legitimate business, and up to this point I had taken no false step. Shortly afterwards, however, I was induced to embark in two different and distinct branches of trade, which led to my ruin. The first was the manufacture of novelties, which, after a large expenditure, I was obliged to relinquish, in consequence of my not having sufficient capital to make it profitable. The second was a mercantile business, managed by an agent resident on the Continent. This agent was without means, and, as I afterwards found, without the abilities necessary for the position. He had not long commenced operations when a war broke out in Lombardy, which furnished his customers with an excuse for rejecting the goods they had ordered before prices began to recede. The consequence was that I had thousands of pounds' worth of goods thrown upon my hands abroad, which resulted in large direct and still larger indirect losses. It was at this juncture that I ought to have stopped payment, but, being of a sanguine disposition, and my regular business continuing to prosper, I hoped the successes in the one branch would balance the losses in the other, and I resolved to struggle on. I paid a second visit to the Continent about this time, which resulted in the formation of a partnership with my agent, the business to be carried on in his name. The new firm was debited with all the stock on hand at cost prices, and in all future business the profits were to be divided. I thought, by giving my friend an interest in this branch of my business, that I would lessen my losses on rejected stock and facilitate my escape from impending bankruptcy. I arranged to draw bills on the firm at three months' date, payable abroad, for such amounts as my partner could see his way to meet at maturity. I also had a private arrangement with my partner for obtaining what I called accommodation bills. These were in the form of promissory notes, issued in my favour, and payable in London by myself; they were not to enter into the books of the firm, and I was to be entirely responsible for them. I may here also explain that the partnership between me and my agent was not known, except to the customers of the firm abroad and to my own clerks at home. Thus, under the pressure of large obligations I was not at the moment in a position to meet, joined to an extreme horror of the very idea of bankruptcy, involving as it did the loss of a lucrative and steadily-increasing branch of my regular business; I resorted to an expedient to preserve my character and position which I afterwards found the laws of my country declared to be a serious crime, to be expiated only by the complete and utter ruin of both.

During all this time my private and social relations were without reproach; neither was I without opportunity, gladly embraced, of doing good service to the trade with which I was connected, and also to my country. In the year 1860 I was chosen a director of the Chamber of Commerce in the city where my business was chiefly transacted. In connection with the international treaty between Great Britain and France, I was selected by my co-directors to classify and place average permanent values on the manufactures of the district, in order to regulate their admission under that treaty with France. I performed the task to the entire satisfaction of the Chamber, and was afterwards sent to Paris as one of a deputation appointed for the purpose of giving Mr. Cobden the most efficient aid towards the completion of his glorious, and happily successful, project. Owing to the very strong protectionist feeling on the part of the French manufacturers, great difficulties were encountered; but, after the deputation had made two visits to Paris, they were finally overcome. It was universally acknowledged that if it had not been for the presence of practical men in Paris on that occasion, the treaty would have been completely inoperative, so far as concerned the important manufactures which I as one of the deputation represented. For my share in these transactions I received the thanks of the Lords of the Committee of Privy Council for Trade, also the commemorative medal from the French Government, with accompanying letter,[1] acknowledging my services, from M. Rouher, then Minister of Commerce and Agriculture at Paris.

During my second visit to Paris, in 1860, on public duty, I formed the resolution of breaking off my connection with the partner previously referred to, and of starting a business in Paris. I entered into negotiations with a gentleman highly recommended to me with a view to partnership, and received from my father the promise of cash to assist me in my new undertaking. Once fairly clear of the losing branch of my business I hoped very speedily to make up my previous losses, and the spring of 1861 was fixed upon for the opening of my Paris establishment. But my hopes were not destined to be realised. On looking into my affairs at the close of the year, I found, notwithstanding the satisfactory character and position of the legitimate branch of my business, and notwithstanding that my private expenditure did not amount to a tenth part of the profits on that branch, I had otherwise become almost hopelessly involved, and I accordingly resolved to stop payment. With this view, I disclosed to my principal creditor my position and intentions. Taking the manager of the firm into my confidence, I informed him of the assistance I expected to receive from my father, and the hopes I entertained of the results of my Paris business when once in operation. The consequence was that the firm offered to forego 1000l. of their claim against me, and to give me occasional assistance in cash to meet any other engagements if I would continue to carry on my business. At this time I owed them about 10,000l., covered to a considerable extent by the accommodation bills I have already referred to; I must, however, explain that the character of these bills was known to the manager of the firm, and any banker or discounter could have readily satisfied himself as to their value by simply writing to the house in London where they were domiciled.

There were many considerations urging me to accept the offer now made to me. The present of 1000l., the probable success of my Paris business, the approach of my money making season, joined to my horror of bankruptcy, all combined to induce me to alter my resolution to stop payment, and to inspire me with the hope that I would yet be able to retrieve my position and retain my good name. In a fatal hour I yielded to the temptation and closed with the proposals made to me, with the additional obligation that I was to pay off the 10,000l. due to the firm I have mentioned during the approaching season, and to give them good bills in exchange for the accommodation paper held by them. No sooner was this arrangement completed than I set about preparations for opening my Paris house. I refused to send any more goods to my old partner, and ordered him to wind up the business by the following May. I moreover resolved to having nothing more to do with accommodation bills, tore out all the leaves in my private letter book referring to these documents—a very fatal error, as I afterwards found—and exerted myself to pay off the claims of those of my creditors who knew my position. So well did I succeed, that by the end of April I had reduced the 10,000l. claim to rather less than 5000l., or rather to 4000l., taking into account the 1000l. conceded by the firm previously mentioned. But before this I had began to suspect that my friends did not mean to adhere to the arrangement I had entered into with them, one part of which was, that they were to retire and return me the accommodation bills, on getting good paper in their place. I had at this time placed good bills in their hands to the extent of 3500l., but they refused to give up those they were intended to replace until they arrived at maturity.

I began to fear that they would now compel me to stop payment just when they supposed I should be in possession of fresh funds for my Paris partnership, and at a time when (with the bills in their possession, which ought, according to agreement, to have been in mine) they could rank on my estate for about 7000l., when with less than 4000l. I could have settled the account. This, by the way, is what they ultimately did, and had my estate yielded the respectable dividend they expected, instead of losing even the 1000l. they promised to concede to me, they would have been gainers to that amount by the operation.

My transactions with this firm were in the position I have described when I started for the Continent with the view of opening my Paris business, and of winding up my previous unlucky partnership. This was the most successful journey I ever made. I visited Bremen, Hamburg, the interior of Germany, crossed through Switzerland to Lyons, where I appointed to meet my French traveller; visited with him all the large towns in France, and with my pocket-book full of valuable orders I found myself in London in less than four weeks from the time I left home. I arrived in London on a Wednesday, and telegraphed to the firm to which I have referred that I would call on them personally on the following Friday morning, to settle their claim and receive the bills they ought to have returned before. * * * On the Thursday evening, as I was preparing to leave the hotel for the railway station, I was suddenly and most unexpectedly arrested, and have not yet reached the spot I once loved to call my Home.