ANCESTRAL DEBT

Chinese Credit Methods Posterity Will be Paid, but Not at Compound Interest. (From "Truth's" South Auckland Rep.) The reputation of John Chinaman for honest dealing has had a severe shaking m this Dominion, and particularly m the Auckland province, lately, owing to the number of Celestials who have left their creditors wailing. John is as inscrutable m his business dealings as in everything else he does. He is generally supposed to live on the proverbial "smell of an oil rag," but really — according to the writer's experience — John does himself exceedingly well, and if you dropped m on him casually at meal time, you would probably find him regaling himself on roast duck, rich pork and many delicacies which the average European does not eat. John's ethics are as hard as John himself to understand, but a meeting of creditors at Hamilton last week Avas given a little enlightenment on his methods of doing business, although the creditors were by no means convinced that the bankrupt had been square and above board. John's habit of changing his name, to. suit the occasion and his own convenience, is not one that appeals to the European business man, although John himself doubtless sees m it. an undoubted' advantage. At a meeting of creditors m the estate of a bankrupt fruiterer named, for this particular filing, Leong Ming, a resolution was passed asking the Government to pass legislation to compel Chinese to register their trade names, Avith a view to enabling them to be traced and identified m the event of : dishonest dealings. ' ' One unusual feature in this case was the fact, if bankrupt is to be believed, that he was run off his feet in the fruit business by a Avhite man who opened up m the same line next door. Ming said this 'man undercut him and, Avhile his riA'al flourished, he (Ming) Avas forced into bankruptcy. Apparently, therefore, there is hope for the Avhite race yet. Bankrupt's deficit was approximately £280. Ming's solicitor" said that while there Avas 4 no lack of business acumen on Ming's part, the opposition proved too strong for him owing to Ming having to buy m the open market, AA'hile the man next door got his fruit direct from South Island growers. Bankrupt's books were kept m Chinese and were difficult to understand, but it Avas gathered that, at his best period, Ming had a Aveekly turnover of betAveen £50 and £60. Ming admitted, m cross-examination, that he -first discovered that things were unsatisfactory about a month before he filed, bu,t he still continued to get credit, expecting to get some assistance from different countrymen of his.He told his creditors, through an interpreter, that he had been a jeAveller m China before deciding io try his fortunes m this favored land, arid had traded m China as Wing On. He admitted that he sent money to his Avife m China. In reply to the D.O.A. he stated that this maintenance money m tAvelve months amounted to the magnificent sum of ten pounds. (Laughter.) The interpreter pointed but, hoAA r ever, that this Avould mean a considerable sum m a Chinese village, and there Avas no one present Avho could say him nay. The interpreter, himself a Chinese, said that, judged from the European standpoint, Chinese business methods Avere Aery crude. They borrowed and lent large sums of money on no other security than Avord of mouth. One Chinaman Avould assist another to his last, resources and Avould not ask for any receipt or other recognition of the debt. It worked on the wise plan that if a' man once faifed to repay Avhat he had borroAved he Avould lend him nothing more. Debts were regarded as hereditary, and many Chinese in New Zealand were at present working off debts incurred by their ancestors of many generations ago. Accounts Avere rendered once a year only, and a Chinaman considered it a lucky omen if he could discharge his debts before the Chinese NeAV Year. Dealing with the important question of Chinese trading under names other than their own, the interpreter said that if a Chinaman Avas not successful under one name he regarded it as a bad omen and Avent under a neAv one next . time. The interpretation of names Avas also taken into consideration by Chinamen. Avhen starting busi-r ness. For instance, the name Wah Lee meant small profits. This was considered unlucky by some, although others > considered it Avould induce custom. While the meeting smiled at all this and thought it very interesting m its way, they were not prepared to admit that the introduction of Chinese business methods into European trading would benefit the latter, and they resolved to ulurge the Government to institute some system of registration of Chinese business names as a protection to the trading community. NZ Truth , Issue 1019, 6 June 1925, Page 7