Untitled

Dominion, Volume 10, Issue 2913, 27 October 1916, Page 6

"I am placed in a veiy difficult position in regard to the conduct of this caso becauso the knowledge of what took place in tho factory in regard to the mattresses is ontiroly in tho breasts of 1 -tho employees of tho Soullar Company. I must, therefore, call theso

men as my witnesses. I proposo to call fcli© two young men wlio made the mattresses and also Mr. Hind, "the foreman upholsterer, whom I expeefc to find an umvilling witness. But I have no other course open to me than to call than in tho hop© and expectation of getting the truth from them. Ido not propose to call Mr. Mcnzics, the manager, or Mr. AVaite, the factory manager, because I hope to get sufficing Evidence from tho witnesses I havo mentioned to induce Your Worship to hold that enough evidence has been placed before the Court to justify you in entering a conviction, unless tho manager of tho .company and tho factory manager, enter the box and discharge the onus of satisfying you that tho manager was unaware of the breaches of contract that were going 011 ' What of the Defence? "Tho defence, probably will bp that tho officials or some of the officials of the company were extremely negligent, but that, however negligent they may have been, there was no fraud, and that tho establishment of mere negligence, however gross, is not an offence. But I reply that the circumstances and facts in connection with this case are only consistent with fraud. Now, sir, consider the circumstances that exist in connection with this contract. Tenders were invited, and 181b. mattresses were expressly stipulated for. That fact .must have been known to the manager, the factory manager and the foreman upholsterer when tho prices were being made up._ I hope to be able to show that the instructions given by Hind to tho men were that the mattresses wero to weigh ahout lHlb. . ■ , "Why should Hind. s>o act? He has been a- paid servant of tho company for over twenty years. Ho cattnofc personally benefit by such action. .Why would he, in his subordinate position, have dared to havo bo acted without instructions from, or with tho knowledge of, Menzies and Waito? It is not necessary; I submit, for rue to prove directly and up to the hilt that Menzies knew of the breaches of con- . tract that were going on. I shall endeavour to establish certain facts, and it will ho for tho Court to say whether, from the facts >so established and the whole of the surrounding circumstances, the only reasonable inference that it can draw is that Menzies must liave known what was going on,'and I submit that the Court must convict. It is inconceivable that, in face of the specifications, in ,faco of the fact that Menzies and Wliito had access to that part of the factory where these mattresses were being made, that the weighing machine was there, that the mattresses wero actually weighed, that Hind did not know that tho contract was being broken. Ho could "not havo benefited himself personally by such breach, and the only reasonable inference is that from tho very commencement there must havo beon somo kind of an arrangement between tho manager and Hinds that the mattresses were to bo 161b. in weight." Evidence was proceeded to. The Dircotor of the Defence Stares. Thomas M'Ohristoll, Director of the Defence Stores, deposed that the contract .with tho Scoullar Company required tho mattresses to be 181b. in weight and tho pillows to be 31b. When Scoullar's matiresses wero weighed, ! many were light weight, and 219 con- • taiued rope-ends, little bits of papor, i bits of. wood, and the sweepings of the shop. Some of the knots wero "as big ■ as your list."

Mr. Weston: How many of these 219 mattresses did you personally examine? M'Christcil: Between fifty and sixty. Mr. Weston : How much sweepings do you say was in cach?

M'Christcil: Quito enough if thero was any germs in them to kill every man aboard a ship.

Mr. Weston: You are talking rather iooßcly when you say that.

M'Christcil: No. 1 am not. Lam [prepared to bring scientific evidence.

Two mattressos wero brought into .court.

His Worship: Don't bring them up here if they contain germs. Two were opened, and M'Ohristell held up liandfuls of the contents. "Do you call that flax?" he asked. Mr. Weston: What do you call it? M'Christell: Filth. Mr. Weston: I love to hear you talk. M'Christell: Well, take this, and sco if Mr. Weston: Oh, no. M'Christell: Well, hand it to anyone with common sense. His Worsliip: I don't think that ropo should be in the mattTcss at all. Mr. Weston: No, but what I say is that the witness is exaggerating. Mr. Macassey: That is a very improper remark to make. Wharf Workers Make the Discovery. Frederick Augustus Bilton, transport shipping ollicer, said it was reported Us him by tho labourers who were taking the mattresses from tho slieds to the troopships that the mattresses had hard substances in thom, and he reported to Major M'Christell. Robert George Parker, lieutenant in the Royal New Zealand Artillery, said that 219 of the mattresses were rejected as containing rubbish. Mr. Macassey: What would you say was tho condition of thoso 219 mattresses ?

Parker: The condition was bad—injurious to the health of the troops. And they were not comfotrable. Mr. Macassey: AVhy do you say that? Parker: Because they contained rubbish. • , Mr. Weston: Did Mr. Menzies, the manager of the company, assist you in every way in tho examination of the mattresses? Parker: Yes. Mr. Weston: And the only mattresses which containoci uncomfortable substances were the 219? Parkor: I don't know. Those were just the ones we could feel. Mr. Weston: The pillows. I think, there was no trouble about? Parker: Except that some wero slightly under-weight. Mr. Weston: And some, slightly over. The Crown then called William Clough, an employee of tho Scoullar Company, engaged in the upholstery shop. For some time, he said, ho was wholly employed .in making 'mattresses for tho purposes of this contract. .

Mr. Macassey: Who sent you to that work?

Clough: Mr. Waite, the factory manager. Mr. Macassey: What were you told? Clough: I was told to make four mattresses an hour, and they were to weigh 161bs. Mr. Macassey: Did Hind, tho foreman upholsterer, tell you what they were to weigh? / Clough: About a month later he told me they were to weigh lGlbs. Mr. Macassey: Any instructions about weighing the mattresses? Clough: I was told to weigh one occasionally. Mr. Macassey: Was Hind thero at any tima when you weighed them?— "Ho was, onco or twice." Mr. Macassey; He saw the weights? —"Yes." Mr. "Macassey: You, of course, knew nothing of the terms of the contract? —"No. I only knew my instructions." v Mr. Macassey: Do you know how these sweepings got into the mattresses ? Clough: "Well, I was told that this rubbish and these rope-ends had to be used up. Mr. Macassey: AVho told you? Clough: I thing it was Mr. Johnson, and ho°takes his instructions from 'Mr. Mr. Macasesy: Didn't it strike you as rather an extraordinary thing to I bo told to put that in?.

Clough: I didn't think much about it at all. Mr. Macassey: Di'dn't it strike you as a wrong thing? i^iough: It might have. Mr. Macassey : Wero you blamed for it? Clough: No. Mr. Macassey: !Was Mr. Hind angry about it? Clougb: Not at all. Mr. Macassey: Theu, wo have this extraordinary state of affairs._ Kubbisli and rope-ends are put into tho mattresses and none of the firm is oven annoyed about it. Guy William Johnston, another of tho Scoullar Company's employees, stated that he was told to make up mattresses which were to weigh 161b. Mr. Macassey: How did you come to put in the rubbish and rope-ends? Johnston: . There was a mixture of rope, coarso flax, and dust on the floor, and Mr. Hind picked up somo of it and said: "Use this up." - Mr. Macassey: You are clear about that?

Johnston: Yea. Not Told to Make Them 181b. Mr. Macassoy: That is the stuff which was lying about the floor. —"Yes." Mr. Macassey: Some time ago tho practico was stopped?—" Yes." Mr. Macassey: Wlieu? Johnston:; When Mr. Waitccame up and asked if we were putting rope in, and then, said we had to stop it. Arthur James Hind, head of the upholstery department at Scoullar's for a dozen years, was asked how the estimates were made up for the tender. Ho said ho did not know. Mr. Macassey: Did you see the terms of the contract. Hind: No. Mr. Macassey: Didn't you give a price? Hind: No. Mr. Macassey: Do you swear that? Hind: I was not asked anything about it. Mr. Macassoy: Would Mr. Waite (factory manager) or Mr. (the manager) be likely to liave made ft out? Hind: They might have both. Mr. Macassey: What were your'instructions regarding the contract? Hind: The same as the previous contract. Mr. Macassey: What was that? _ ' Hind: I could not state any specific instructions. \ Mr. Macassey: Do you ask this Court to believe that you got no instructions; also that you gave no price; and so on? Tell me what you understood ■ the weight was to be? Hind: X understood we were to make 161b. mattresses. Mr. Macassey: From whom did you understand that? Hind: I'/om tho management. Mr.' Macassey: The management? Mr. Menzios or Mr. Wait©? Hind': I cannot say. It may have been either, or both. Mr. Macassey: Is that all you oan tell us? Hind: Yes; Mr. Macassey: Were you never told they wore to be 181b. weight? Hind: No. Mr. Macassey :' Di(l you tell (tic young men to put the rubbish into tho matt-

resscs ? Hind: No. Mr. Macasscy: Do you swear that on rour oath ?' Hind: I do. Mr. Macasscy: Hind, Johnston has sworn that you did. Hind: I did not.

Had Not Been Blamed. Mr. Macassey: Look here, Hind, this must have been discussed. Did tho manager blame you for this? Hind: No. Mr. Miuoassey: Did- Waite blame you ? Hind: Ho did not. Mr. 'Macassey: You have never been blamed at all? Hind: Never. Mr. Macassey: Was flic weight shown as 181b. on tho cards? Hind: No. Mr. Macassey: "What! You swear to that? Hind: I do. ■Mr. Macassey: Have you got that card there, Mr._ Weston? Mr. Weston passed over a card', and Mr. Macassey asked Hind if it did not purport to show that 181b. of flax was used for cach mattress. Hind: It shows that the flax was used up for it, but not that it went ioto the mattress. Mr. Macassey: How's that? Hind: Becauso of the waste. Mr. Macassey: Do you say that there is 21b. waste in every 181b. ? Hind: AVo tested two bales of flax and found that there was 2Jib: of ■waste per mattress. Mr. Macassey : How did you discover that rubbish was being put into ■mattresses ? Hind: The men told me they were doing it. Mr. Macassey: What action did you take? Hind: I reported to Mr. Waito. Mr. Macassey: Why didn't you tell the men to stop it? _ Hind: My authority is. next to nil there.

Mr. Macassey: TVhat did Waits say?

Hind:' I don't know, that He made any special reply. Mr. Macassey: Was he surprised? Hind: No.Mr. Macassey: He must have known it was being done? i

Hind: I cannot say. v Mr. Macassey: You wanted to clear yourself? Hind: Yes, I wanted to get, out of the responsibility. Upholsterer had Nothing to Cain Through Under-weight. Mr. Macassey: You knew it was wrong, and you were not going to tako the blame? Is that tho position? Hind: That is so. Mr. Macassey: Did Wait© frequently visit tho place when the mattresses wero being made? Hind: Yes. More frequently than I did. Mr. Macassey: Did you make a sample mattress for tho purpose of this .contract? Hind: No. Mr. Macassey: For any previous contract? Hind: Yes, on the outbreak of war. Mr. Macassey: What was the weight ? Hind: I do not remember? Mr. Mpjcassey: Did Waite ever ask you if there was much wrong in the contract —if it was paying ? You have made a statement before this ease that Waite told you there was not much money in the contract—that prices wero going up. Also, that word was passed along that it was coming out rather high. Mr. Macassey: Tho two young men who gave evidence this morning said you told thom to put tho rubbisTi into the mattresses. What was it you said to them? Hind: I was passing through tho fac-. Tory, and I saw somo flax lying on tho floor, and I told them to shako the dust out of it ajid use it. Jlr. Macassey: Tlion they must havo misunderstood you? Hind: Tlioy must have. ' Mr. Macassey: Were you with the late Mr. Scoullar before the business was converted into a company? Hind: Yos; I havo been with tho company oft and on for about twenty years. Mr. Macassey: Have you always enjoyed the confidence of your employers? Hind: Yes. As far as 1' know, I havo Mr. Macassey: You had nothing to gain if these mattresses were short weight? Hind: I had not.

Mr. Macassey: And you had nothing to do with making out tho contract? Hind: Nothing whatever.,

That closed the case for the prosecution, and Mr. Weston then addressed fc the Court hriolly. The Defence Begins. g Mr.. Weston said that Mr. Macassey ' had put tho law governing the case very fairly to the Court. There was no doubt, looking back over events r now, that it would have been better ® had Menzies, the manager, exercised f closer porsonal supervision. Counsel referred to the evidence he would call, and said that lie thouglit the Court , would find: that the evidence of Hind , ■was incorrect. However, he did not think for a moment that Hind intended the employees to put rubbish into the mattresses. However, lie did not ; think that Hind had been fair in his evidence: it seemed that he was trying to shield liimself by endeavouring ■ to throw part of tlio blame on Waite. ' Since the troublo had arisen tho do- ' fendant company had done everything they could to put things right. Adam Menzies, manager for Scoullar and Co., was then called. He said that he should think that a copy of the specification -was sent to tho factory,, but oven if it waa not sent there it should not havo heen necessary, as mattresses had previously been made, and no complaint had been received. He • could scarcely credit that Hind did not know that the mattresses were to contain 181b. oFflax. # Everything led him to believo that Hind was aware of the weight stipulated. \ Mr. Weston: Had you any knowledge that these mattresses were being sent in underweight? . Menzies; None whatever. Mr. Weston: Or that rope-ends were being put in? Menzies: None whatever. Menzies added that figures showed tha't 27,00011). of tow had been used m the manufacture of 1500 matresses which worked out at 181b. mattress and pillow. Mr. Macassey: Do you say you got a quotation for this contract from the factory ? Menzies: As far as my recollection goes, I say so. . Mr. Macassey: Hind said ho gave no estimate. Menzies: I can only say what my recollection is. '. Mr. Macassey: You see, there is a direct contradiction between you and 1 Hind. _ ' ■ Menzies: I say that I would got the quotation from Waite, the manager 1 of tho factory, and that Wait© must have got it from Hind, because he is : not capable of giving an estimate for upholstery work without consulting ( Hind. Mr. Macassey: Did you make the estimate. for the mattresses without in- ' eluding battons? Menzios: Buttons wero not specified. Mi'. Macassoy: Did you or did you not make tho estimate to include buttons? ' . Menzies: I did not include buttons. Mr. Macassey: Did you intend to make those mattresses for tho troops I without buttons? Menzios: Yes. Mr. Macassey: Is that an honest thing to/do? i Monzies: Tlioy were not specified.

Mr. Macassey. But is it honest to tako advantage of that omission? That is a quibble 1 Tho Dunedin people put them in. They put 16 buttons in each mattress. Do _ you think your firm was justified in making mattresses without buttons? Menzies: Certainly, I think we would be justified. Mr. Macassey: In view of your evidence, why did you not deal with Hjnd ? Mr. Weston: That is a matter for the directors. Mr. Macassey: Is' not Hind a very good man ? Menzies: Yes; a first-class tradesman.

Mr. Macassey: Is not he an honest man?

Menzies:-As far as I know. Mr. Macassey: Then do you think he would _ como here on oath and swear what is not true?

Menzies: I know ho has changed his statement since ho spoke to the managing director and I on the subject. The Case Closes. ■ Frederick Watte,. for "the last five years factory manager for Scoullar and Co., said that Menzies did not supply any specifications of. the contracthe simply said go on as before. Witness never understood that rubbish wasbeing put into the mattresses, and he did not think that Hind told anyone to put it in: Hind was misunderstood by the men who were making for the contract. Witness had nothing to do with getting or giving an estimate for the contract. Mr. Macassey: The whole of that was done by Menzios, or someone in the office? Waite: Yes. Mr. Macassey: Menzies says he got

you to get an estimate from Hind. He must ho mistaken—eh ? Waite: Ho must be. Mr. Macassey: How do you account for the mattresses being under-weight? Waito: f cannot account for it. Mr. Macassey: Someone must have given, specific instructions to these young men. Waito was silent. Mr. Macassey: Is that.not tho only reasonable conclusion? Can you suggest any reason why Hind should get the mattresses made at 161b. if ho | knew they were to be 181b. Waite: I cannot. Mr. Macassey: Did you tell Hind there was not much money in the contract—that prices were going up? WaiteNo. George Hill, a Scoullar employee, said that the mattresses made under tlio early contract weighed 181b. John Johnson Reich, managing director of tho defendant company, Augustus Samuel Biss, the accountant, and John Deale also gave evidence. The hearing was now concluded, and His Worship reserved judgment. He remarked that what ho had to find was whether or not the manager of the defendant company had guilty knowledge. A good deal of evidence had been taken, and lie would like to look into the point of the liability of the defendant.

Mr. Macassey: My point is that it is sufficient if tlio manager knew what was going ou.