THEFT OF £3631

Gisborne Herald, Volume LXVI, Issue 20037, 8 September 1939, Page 7

THEFT OF £3631

ADMISSION BY AGENT HUGE BETTING -LOSSES SF.M OF 017,000 ADMITTED MAN FOR SENTENCE (Per Press Association.) AUCKLAND, this day. Arrested on warrant on a Motueka fruit farm on Sunday, August 20, Eric Stanley Watts, aged 37, an insurance agent, was charged on remand in tlie Police Court to-day that, between June, 1938, and February, 1939, he stole sums of money amounting to £2722 belonging to Thomas Arthur Taylor, and also on nine other charges, stole from other persons sums ranging from £25 to £312. The total amount which the accused was charged with stealing was £3031. Several witnesses who gave evidence, some of whom were crossexamined by Mr. L. K. Munro, who appeared for Watts, said they did not see any insurance policies on which they advanced the money. Other witnesses said that expected a profit of 121 per cent on the money handed to Watts. Detective-Sergeant Walsh, in reply to Mr. Munro, said that Watts had been very frank and had given all possible help to the police. Watts pleaded guilty to all charges and was committed by Mr. W. R. .McKean, S.M., to the Supreme Court for sentence. Betting Transactions In a statement to Detective Slater, which the police produced, Watts said he was a married man with one child. He became an agent for the Temperance and General Assurance Society, Auckland, on July 1931 on a commission basis. He was later appointed to the staff at a salary of £3 10s weekly, plus £1 expenses and commission. About 1935, he was owing about £330 ifor betting (transactions. He approached a friend lor a loan to buy an insurance policy which was shortly due to mature and which had a loan on it, the interest of which, if repaid, would entitle him to a commission of 12J per cent which he would share with his friend. He was then betting on racehorses in small amounts, and was able to pay his way. He only obtained occasional loans in the manner described when lie got into debt. “About July 1937,” the statement proceeded. ■‘‘l commenced to bet heavily on horses through commissioned agents. I have no idea as to the identity of any bookmaker who received any of this money. I started betting £2 each way on a hoi sc ai a time. The bets were increased wnen I was losing until 1 had as much as £SO each way on a horse at a time. I approached various friends with a scheme, which allowed me to raise money to pay the commission agents. I told my friends that there were policies maturing in a few weeks’ time held in the office which had loans and interest amounts owing on them. He offered them 12 per cent commission. There were no such policies held at or by the office. As time went on. and the supposed policies matured, I then had to approach other people in order to repay these moneys.” Scheme Develops Walts said after he had repaid the first of these loans, plus commission, he had no trouble in obtaining further and bigger amounts. The scheme got bigger and bigger. He was still losing money on racehorses. The scheme took up most of his time and he was neglecting his position with the society. In order to show the society he was getting new business, lie signed up various friends for new policies on the understanding that he would pay the first year’s premium. In that way he had spent about £SOO in about two years. In October, 1937, he opened an account at the Union Bank, of Australia, Newton. Between October, 1937, and March, 1939, he put through the account approximately £93,900. Of that about £17,000 had been used on belling transactions and the balance on repaying loans at the maturity dates. On March 8 last, being pressed for money, he left Auckland with only £G. He obtained a position on a fruit farm at Motueka under the name of “Stanley Bray.” When lie left Auckland he was owing £2G,000. The bulk of the £93,900 that went through his banking account was for transactions with one man, although he still owed him a large amount of money. The profits he received from previous transactions would about offset the amount owing to him. About £BO,OOO ;of the amount put through his banking account would be for transactions with that man. He had no money left.