CHARGE AGAINST FRUIT FIRM

Hokitika Guardian, 11 October 1930, Page 2

CHARGE AGAINST FRUIT FIRM

FURTHER EVIDENCE,

WELLINGTON, October 9.

The fourth day’s hearing in the Police Court of the case against Laery and Co., Ltd., auctioneers and produce merchants, was continued to-day and the hearing was further adjourned until next Thursday, The charges against the company are five of failing to disclose to their principals a pecuniary interest in a contract and two of delivering false sales accounts to the Department of External Affairs in connection with the sale of bananas from Samoa. Further evidence was called-to show that buying-in by merchants was well known by growers, who had no objection to the system; Allan Leslie Maofarlane, of Macfarlane and Co., produce merchants of Christchurch, said he had received consignments of bananas from the Government for the last two years. It was customary for his firm to buy in for the country department and resell, Nothing whatever of the practice wan shown in the returns to the Department of External Affirs, The price generally charged country clients was Is a case above the auction price plus charges, The commission charged by the Government was 7} per cent. No objection had ever been made to witness that the account sales sent to the department were false. Actually those returns were true in every particular.

Arthur William Hailwood, of Thomas Paterson and Co,, Dunedin, and Frederick George Gill, a director of Townsend and Paul, Ltd., of Wellington, gave similar evidence, David Umvie, director Sf, Bowie and Go,, Ltd,, said that his firm bad no> country department and did not buy tor country customers, Arthur Jacobs, director of George Thomas and Co,, fruit merchants, of Wellington, said it* hr.d- been th« custom for such firms to buy in. Clarrie Albert White, in charge of the country department of the defendant company, gave evidence that he bought in on the floor of the auction room or made arrangements before the auction to buy in at top auction prices, fixed at the end of the auction. It was well known by all that he did that.

Cross examined, fitness said the twenty-six cases concerned in the present case were not put up for public auction.