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THE LEWIS GUN

OFFERED TO GERMANS BEFORE THE WAR WEAPON REPORTED AGAINST IN ENGLAND A claim for more than 113,000,000, retained by the Crown as being due for excess profit duties and income tax in connection with the supply of Lewis guns during the war was heard by Mr. Justice Darling in the London Law Courts. It arose on a petition of right, the suppliants being the Armes Automatique Lewis, a Belgian company, and the Birmingham Small Arms Company, Ltd., Birmingham, who said they agreed to reduce the price of the guns on the faith of representations made by Sjr Ernest Moir, on behalf of the Ministry of Munitions, that the Lewis Gun Company would not be liable to British taxation.

The Attorney-Generalz Sir Gordon Hewart, K.C., when explaining the Government’s attitude towards the claim, said tho suppliants contended that they were told that they would not be liable to taxation as the company was Belgian. On the faith of that representation they said they agreed to take a reduced price for the guns, but the Crown maintained that no such representation was made and, if it was made, departmental officials had no power to grant dispensation from British taxes. Mr. Eustace Hills, K.C., for the suppliants, eaid that a model of tho gun, which was invented by Colonel Lewis, a retired officer of the United States Army, was submitted to the authorities in England in 1912. A company was then formed and its shareholders were almost entirely Belgians. Later the Birmingham Small Arms Company became a shareholder'. In April, 1913, a trial order Was given by the War Office for two guns, and by -the Admiralty for one gun. About the same time the guig was submitted to foreign Powers, including Germany, Austria, Italy, France and Russia, and all gave trial ordefs. The three guns ordered by the British War Office and the Admiralty were delivered in December, 1913, and were tested and reported against, but just before the outbreak of war the War Office ordered five guns at .£175 each. On August 16, 1914, they ordered 15 more, and three davs later a further 30. Up to September 12 of that year 252 of the guns had been ordered. Describing an interview in November 1915 between representatives of the Lewis Company and officials of the Ministry of Munitions, Mr. Hills said that a contract was made to deliver guns at .£lOO each, and later further contracts were made with prices at X‘Bs and HBO per gun'. . Mr. Henry W. Rudd, managing director of the Lewis Gun Company, crossexamined by Sir Ernest Pollock, K.C., said the contracts for the Lewis guns totalled .£13,000,000. of which 1110,000,000 had been paid by the Government and .£3.000,000 was outstanding. Colonel Lewis, the inventor of the Lewis gun, said that at the interview the company was threatened with the commandeering of tho patents if fh° ■'■price was not reduced. "Sir Ernest Moir appealed to my patriotism,” added CoI-> onel Lewis, "but there was no need, for 'I am intensely British." Sir Ernest Pollock, K.C., for tne Crown, contended that no case had been by the suppliants. _ _ Mr. Justice in dismissing the petition with''costs, eaid that in November. 1915, i.t was plain that Sir Ernest Moir thought the Government was paying too much for the gun, and what ho thought with regard to the gun would quite easily apply to a number of other articles that the Government was purchasing nt that period. There was no eugeestion that either party making 1 the contract w-ae other than perfectly honest. It was a misunderstanding.

Permanent link to this item
Hononga pūmau ki tēnei tūemi

https://paperspast.natlib.govt.nz/newspapers/DOM19210924.2.25

Bibliographic details
Ngā taipitopito pukapuka

Dominion, Volume 14, Issue 310, 24 September 1921, Page 3

Word count
Tapeke kupu
599

THE LEWIS GUN Dominion, Volume 14, Issue 310, 24 September 1921, Page 3

THE LEWIS GUN Dominion, Volume 14, Issue 310, 24 September 1921, Page 3

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