PROFITEERING.

Hokitika Guardian, 22 January 1921, Page 1

PROFITEERING.

j >—*D©€B»—< | DUNEDIN FIRMS INVOLVED. ;UV TUI.KGIUPH —UK Ft Pit ESS ASSOCIATION j DUNEDIN January 21. Charges of profiteering were heard by J, R. Bartholomew, S.Min the City Police Court to-day, when Douglas Bernstein -was charged with soiling to the D.1.C., 105 yards of costume cloth at an unreasonably high price. Hie D.I.C. was charged with selling one yard of the cloth to a customer at too high a price.

The* Crown Prosecutor (Mr A. 8. Adams) prosecuted, and J. L. Sinclair appeared for Bernstein and J. B. Callan for the other defendant. Bern stein bought the cloth from the Bruce Woollen Mills at 7.'- and sold it for 12/6 to the D.1.C., returning an netun I profit of 67,28 per cent on the cost. The D.I.C. sold it at 21/- making a profit, allowing for discount, of 70.8 per cent.

The defence in Bernstein's ease was that defendant raised the price of Bruce’s cloth when lie found that an English substitute for the balance of an order would cost him 10/8. Counsel contended! that his client was perfectly entitled to base his charges on replacement values, as had been established by the Appeal Court in the "Alarm Clock” eases.

Tn the D.I.C. ease, counsel explained that the price had been fixed by (he departmental head, of whose policy the house did not approve. Counsel also mentioned sections of the Act, providing that in case of an investigation the information so elicited should be confidential and that, in the ease of a judicial inquiry, traders should be indemnified against prosecution. But he stated that his clients considered that it would not be consistent to attempt to block the prosecution from using the information they had readily given. The Magistrate reserved his deei sion.