Fraud Charges Against Three Businessmen

Chronicle (Levin), 22 November 1949, Page 4

Fraud Charges Against Three Businessmen

NEW PLYMOU.TM, Nov. 21. The trial pf three New Plyiiioiith biismessmen described By tlie Orbwja as "tvell kilowxi in thfe city iiiid distri'ct," oii six charges of feohspiracy to deffaud aiid false pretencesj opened in . the Bilprfehle Court, New Plymouth,. this morning. The accused are James VVhittingdpn Darby, city councillorj Charies Robert Cook, builder; and Stanley Wallace Hogarth, who is a

phllciiiai in a painting and paperhangiiig fifrh. Thfe tkree rben are accused of conspirmg to defraud the New Plymouth City Council of sums of £20 and £87 lSs ih respect bf contracts .which hrfe Held to nfe unlawful because Darby, being a councilloq was also an interested party, and jntending to defraud the •councii by falsely pretending that those suuis wetfe payable under contracts. The chaigfes eentre round contracts allegedly made by Cook and the firm of Smith and Hogarth* which, the Crown allfege, arfe ftriahced entirfely by Darby, to do ceitaiii work on tesel'vfes hiid a private hotel owned by the council, for which they received payinent. The Crown alleges that these contracts were uiil&twful becausfe df Barby's connection with tlie iirnls. Thfe 'fchar^es are based i on the Local Authorities Members' contracts Act 1934 whicli hiakes it unlUwfiii for ti mfetnber bf a local body to be an interested party to any contraet over the value of £10 and which permits a local body to claim the recovery Of any sums paid lihder such a contrdet. E\idehce was given by nine Crown witnesses concerning two contracts for paiiiting ih which ac'clised afe allfeged tb be iiiVblved. Fbfther evi^ehce has yfet to b4 given for the proseeution and the trial was adjourned untij tomorrow.