The difficulty between Mr McGrath’s creditors and the Corporation has assumed another phase, the trustees in the estate being about to sue the City Council for damages on account of the seizure of a locomotive used by the bankrupt at the time he was carrying on the Te Aro reclamation contract. Messrs Waters and McKenzie allege that during the time the engine was in possession of the Corporation it suffered considerable injury, in addition to which they were deprived of its use, whereupon they claim £100 damages. The case is fixed for hearing at the Resident Magistrate’s Court on Monday week. Messrs Buckley, Stafford and Fitzherbert are retained for the plaintiffs.
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