FRAUD AND THEFT

Dominion, Volume 11, Issue 310, 19 September 1918, Page 7

FRAUD AND THEFT

IN CONNECTION WITH A PATENT FAILURE TO ACCOUNT FOR' REGISTRATION FEES , '.' Before Mr. ¥. V. Frazer, S.Mi, at the Magistrate's Court yesterday a man named Frederick James Blandford Bennett was charged that, between July o and 13,3918, lie received £94 15s. from Thomas Martin ".on terms requiring him to account for tho. money to Messrs. Climie, Coates and Co., registered patent agents," of Christchuroh, and did fraudulently omifc to do so, thereby committing-, theft... Accused pleaded .-•-guilty. ■ , ■■'.-, - Chief-Detective Boddam said that in May last the accused had an office .in the Caledonian Chambers, ■-Willis Street, where, according to a memorandum which he issued; ho called himsett an accountant and secretary. On May 1") accused wrote to Messrs. Climie, . Coatee ntfd C0.,0f Christchurch; ottering to become their-AVelhngton representative/ Numerous letters passed between them 1 , with the result that an arrangement was arrived at. On July l a Mr Martin, 'who ; reside<l at Jiewtown, came into touch' with .accused in connection with a patent which' he had inTented. On Mr; Martin's behalf nccused communicated with . ■ Messrs. .Cliinie. Coates-arid Co., in reference to the registration of the patent., Everything passed off all right until: the monetary, aspect came into the case. Un Julv 6, 'in order to protect the patent in-Australasia, Mr, Martin paid, accused the sum of £71 15s. Later on ho was told by the' accused that it would be-as well,to, "protect vt m Canada, and Mr. Martin paid him a. further £23. "Everything went on swimmingly until July 19,". added the Chief-Detective, "on. which.date ti.e ■•■accused calmly informed Climie Cpatfis and Co. and Martin that he had decided to call a meeting of his creditors.Inquiries were made, end tho matter was put into the hands "of- the police. 'Accused' was arrested by- . DotectiveScrgeant: Andrews, to whom admitted tVoiience, Unfortunately there is very'little of the wreck left, as.the money is,practically all gone. Thomas Martin, of 22 Bmmett Street. .Weimigton South, a contractor, stated •'that he was the hwentor of. anon-re-fillahle bottle, iu connection with,the patent rights for I which he became acquainted with the accused. He first ■ saw accused in" July at the latter s business premises 'in Willis Street, when he.told Bennett that he intended to go to Sydney to have a glass bottle . made. ; . Bennett said he:,would be fool-. Tsh to go;'and that he should have the patent registered. . On.the.following day witness again saw accused, , and •told him that lie would effect the register through him. .Witness returned to accused's office the next day, July 6, and showed him the working of, the .non-relillable principle. Accused duced the necessnrypapers, which were signed by witness, who paid Bennett £71 165., m well as £1 ss. for advice. ■ On the following' Monday witness reeeiyed a letter froni accused, who' requested an interview. '■ : Accused had previously explained that, he was/representing Messrs. Coates, and Co., of: Christchurcb, and suggested 'that witness' should accompany him to flhristchuroh to' see his principals. Witness agreed, and went to Cliji.stchurch on July 10. The patent '.was: protected in: New Zealand, Australia, and the United States,-as well as/in Canada. The , cost-of securing the . patent-rights in Canada whs £23. ; Al-, together, witness paid accusod £94 15s; an registration (tees in connection with the inveritiom':; On Saturday; July. Iβ, witness called at accused's office; as a result- of receiving a letter .from accused, who was. in, Christcliurch,. statim> that ho ; had received several'very handsome offers to take up the invention, acd: suggesting that .the whole matter should be placed in acoused's hands 'to administer. : Accused said that if he was going to take the responsibility of placing tho.invention on the market he must hare-security.-and '• ho suggested that witness should deposit the amount of security'at his office. One of the offers he said he liad received was for £1000, aud he also stated that another man, was willing to pay £2000. If witness desired to avail himself of the £1000 offer the security which accused wanted was £100,, and on therother. amount tlie security asked was. £200. , Later on, witness received a 'letter stating that accused,intended to call.a- meet-in-nr pf his .creditors on July'.22, to 'discussthe liquidation, of his business; hut afterwards '' this notice was can-, celled.--, " ':, . ■■ ;-•> ;; :-- : .,.';.'■• Percy Kichmoncf .Ch'mie, membqs , of .the firm of Climie, Coates, ..arid,■'Co.,' registered- patent agents, .of Christ-. ohurch, gave evidcn6e>'to the effect that on May 15 he received a ; letter from Vac he should.be'appoint-

Ed the firm's agent in Wellington.. In the course* of an interview accused said lie was in a position to secure patent business, and could obtain capital. AVitness stated that at the time it would be unwise- to make such an arrangement, but it was agreed that accused should receive commission for any business which he seemed. Witness detailed the negotiations' which took place in connection with Martin's patent, and stated that at Christchurch he received a telephone message from accused, who asked him, not to raise the question of fees at the coming interview with.Martin, as he (accused) knew Martin's financial position, .because he had certain trust moneys which Martin' wanted him to invest. Accused led witness to believe that lie would forward n trust cheque on to Christcliurch in payment of the fees, which amounted to £94 15s. Out of that amount accused wns to receive hie commission. Up to the present, witness had received no portion of the £9-115s. On July 24, witness received a letter from accused practically admitting his guilt, and asking for mercy. In reply to accused, witness stated that it was a fact that at Christchurclt accused expressed a willingness to pay the amount by .cheque on his own nrivate \account, hut that witness had told him that it did not matter, as he could wait until ho returned to Wellington and send a cheque from there. ■':■■■

Detective-Sergeant A. E. Andrews, who arrested the- accused on August 28 at Featherston Camp, , stated that when he rend the charge to "Bennett the latter made no reply , . On the journey to Wellington accused said he would plead guilty to .stealing the money under .extenuating circumstances. "When taken into custody accused had £5 19s. in his possession. Aocused pleaded guilty "under extenuating circumstances," and was committed to the Supreme Court, for sentence. '•■■ .

• .Chief-Detective Boddam asked that the sum of £o 195., found on accused when arrested,.'.should-ho handed over to Mr. Climb, is the latter would have to go through with the business regardilig Mr. Martin's patent. Mr. Oliinio informed the Court that Martin and himself had arrived at a satisfactory arrangement, and -the applications for tlie , patent rights had gone forward. . There was no dispute on the matter. His Worship ordered that tlie, money should be paid over to Mr. Cliinie.