ASSETS CONCEALED

Hokitika Guardian, 17 August 1933, Page 2

ASSETS CONCEALED

CHARGE AGAINST BANKRUPT

SUM OF £7OO NOT DISCLOSED

(Per Press Issociation— Copyright.)

CHRISTCHURCH, August 16. The Supreme Court is hearing a charge against John Craukley Rex, bankrupt hotelkeeper, of not disclosin all. his property to the, Official Assignee. The prosecution alleged that prisoner tried to conceal the fact that ho had a , £7OO investment.

James Hope Robertson, Official Assignee, said lie first became aware of the £7OO when one of the creditors informed him the sum was represented by a debenture in the concern Colosseurns Ltd. Witness interviewed the bankrupt, who made a statutory declaration .that the sum belonged to his mother'.' 1 Mrj Rex made a similar declaration, and witness decided not to pursue the matter further. William John Stacey, solicitor, said that Rex interviewed him in December, 1930, about a sum of £7OO. Rex said he had £7OO in the Post Office. His financial position was bad, and Rex asked whether, in the event of his bankruptcy, the money would be traceable to him by the Official Assignee if it were in the Post Office. Witness said it would. Rex, at a later conversation, asked if the money could be placed in the trust account of witness's firm, and, if it were there, would it ho traced .by the Assignee. Witness told him it would be trace" able. Rex asked whether it could b© put ip in another name. Witness said it could not. Later Rex brought in £7OO in notes, and the money was credited to Rex’s account. Rex did not tell witness the money was his mother’s. The money was paid out in two sums, under authorities signed by Rex, and, in effect, was lent by Rex to A. F. Stacey, witness’s brother, who was concerned with Colo.sseums Ltd. Two months after the money had been paid out, witness suggested to Rex that he get security for the loan, and witness prepared a- debenture over Colosseums Ltd. For the last year, the debenture had been of much value.

Cross-examined, witness said he would have nothing to do with a scheme suggested by accused to defeat his creditors. He was certain at the ■ time that the money was Rex’s. Before the bankruptcy, Mrs Rex was claiming the money. ■ln May,. 1932, a few days before Rex went bankrupt, 'witness entered, into an agreement to 1 pay ; the money to Mrs Rex. After the agreement was .made, difficulty was experienced in meeting the payments, and a writ was threatened. His partner, C. S. Penlington, then made a statement of the facts to the Official Assignee. . He would agree that, possiblv, if th we bad been no threat of a writ, no disc .vure would lia '<> hi’t-w made to the Assignee. . Ceail Spenser Penlington, solicitor, paitner of the witness Stacey, gave supporting evidence, and Peter George Earle, .public accountant, told of the part of the transactions of which 1m ■ . .-Uj' . c .. ,i • had knowledge. No evidence was called for the defence. The,jury, .found Rex not guilty.