Page:Federal Reporter, 1st Series, Volume 8.djvu/588

 574 FEDERAL REPORTER. �weeks afterwards his petition in bankruptcy was filed. It is higlily probable, also, from the course and charaeter of events, that he was either embarrassed, or that he foresaw approaching embarrassment at the time of the prior conveyance to James M. Adams. Upon a con- Bideration of all the circumstances appearing in the case, it is difficult to belieye that these transactions, and especially the arrangement with Chester Adams and subsequent conveyance to Mrs. Griswold, •were not made in actual intentional fraud of the rights of then exist- ing creditors ; and, although it is not probable that at the time of the conveyance to Chester Adams, or even when the title was subse- quently transferred by his representatives to Mrs. Griswold upon pay- ment of the amount due to Chester Adams' estate out of funds fur- nished by Griswold to his wife, Griswold specially contemplated by that means defeating the collection of the present indebtedness to complainant which did not then exist ; yet I cannot resist the conclu- sion that the legal title was given that direction with the intent to protect the property especially from any demands then existing, and generally from any that might thereafter arise out of the operations and speculations in which Griswold was engaged, or in which he might there- after engage, until he should again fully recover his lost Sound finan- cial position. AU the circumstances justify the belief that these transactions were originally made, and the trusts so established after- wards kept continuously on foot, for the very purpose of putting and keeping the funds used in a position where the property and its income would be subject to Griswold's control and enjoyment, without being subjected to the payment of his existing debts, or to the risks of his subsequent speculative operations; or, in other words, for the purpose of putting himself in the position described by Mr. Justice Swayne, as "a settler purposing to throw the hazards of business in which he is about to engage upon others, instead of honestly holding his means subject to the chances of those adverse results to which all business enterprises are liable." Smith v. Vodges, 92 U. S. 183. From Gris- wold's own statements, at varions times and to different persons, dis- closed in the testimony, it would seem that he had not at any time since his bankruptcy, up to the moving of this controversy, considered himself to be in a position to safely take and holdthis property in his own name, but that he contemplated doing so when the proper time should corne. �The moneys which the complainant is now seeking to recover were obtained by Griswold through deliberate frauda in presenting to, and procuring payment from, the United States of false and unfounded ��� �