Hon’ble C[harles] B. Penrose)

Solicitor of the Treasury)

Sir,

Annexed is a copy of a proposition I have received from the friends of Joseph Smith to secure the payment of the judgement against him. If acceded to you by you, it will be unnecessary for me to further oppose his obtaining a discharge under the Bankrupt Act. I am of opinion, under the circumstances, that it will be best to accept the proposition. If I should defeat his obtaining his discharge under the Bankrupt Act (of which I have no doubt) it would then be necessary to institute proceedings in Chancery, to set aside fraudulent conveyances he has made, in order to subject his property to execution. Such a proceeding would be attended with costs and delays. The hearing of his application for the Bankrupt Act will be adjourned until I can receive your instructions as to the acceptance or rejection of the said proposition.