THE TREASURY DEFALCATION AT

Otago Daily Times, Issue 182, 16 June 1862, Page 5

THE TREASURY DEFALCATION AT

CASTLEMAINE,

(From the Mount Alexander Mail.)

CASTLEMAINE COURT.-—FRIDAY, MAY 23.

Thomas Beagley Naylor, late sub-treasurer for the district of Castlemaine, was charged, as gold receiver, with stealing 110 ouuees of gold, the property of John Grills, The Court was crammed to excess to hear this case. When bronght into Court the prisoner appeared to feel his position mast acutely, and on being placed in nhe dock covered Im fiico with his hands. Mr. Paynter, who appeared for him, asked for a private hearing, which was refused. Mr. Paynter then produced a certificate signed by Dr. Smith, stating that during the last week the prisoner had been in a very low state, and that he feared any undue excitement would be attended with serious consequences. On this ground it was prayed that ;i postponement might be granted. This, however, was declined, though the prisoner was accommodated with a chair in the dock.

Captain Bull deposed—l am resident warden in Castlemaine. I sealed the envelope produced on Friday last, and the seal is still unbroken.

Faulder Watson deposed—l am the landlord of the Imperial Hotel, and know the prisoner. On the 13th of this month I saw the prisoner, about 1 or 2 o'clock in the afternoon, I think. He was then behind the bar. He left after staying about five minutes, and I afterwards found a piece ot parchment with writing on it behind the bar. I should not know the parchment again, or the writing, for I took so little notice of it. I gave the piece of parchment to Mr. Kentish the followiug morning about 9 or 10 o'clock. The parchment produced is like it. I cannot swear to it being the same, but whatever it was I gave it to Mr. Kentish. Mr. H. N. L. Kentish, clerk of Petty Sessions, deposed—On the 14th of this month Faulder Watson showed me a £1 note, and in it a piece of parchment. I took the latter, but did not receive the note. Tile parchment produced is the same. Before I showed it to Captain Bull I went to the sub-treasury and gave it to Mr.Staveley, who gave it toCapt.Bull, who then asked me to mark it, which I did.

Captain .Bull, recalled—l know the prisoner, and find his appointment as Commissioner of Crown Lands on the 24th of October, 1853, gazetted on the 3rd of November. At that time I was living here as Resident Commissioner, and the prisoner, with others, filled po.cjitions subordinate to myself. At that time George Webster was in charge of the Gold Office, and was succeeded by the prisoner, wbo to my own knowledge has held the- position ever since. At that time it was a gold office only ; it is now a gold office and sub-treasury. On tho 14th of this month I went to the treasury, at tbe request of Mr. Staveley. The prisoner had received leave of absence on condition that I performed the duties, and the keys of the treasury were handed to me on the 13th. On tbe 14th, being then in charge, I heard my name mentioned in the adjoining room, and heard Mr. Staveley say, " You had better see Captain Bull, he is inside." A parchment label was shown to me as having been found and brought to be identified in the office. It was an ordinary ticket, and purported to be a deposit of 110 ozs. 16 dwts. by one John Grills. T.he receipt was dated '1859. The book produced is that from which tbe receipt was given. I- do not know of my own knowledge in whose handwriting the book is. I examined the safe then where the gold is deposited, and found the bag, which should have borne the ticket, missing, and the space where it had lain was vacant. It was then suggested that we should look for the receipt to which the ticket referred. We found one there much torn and crumpled, as though it had been carried a'good deal, and it bad some alterations of date on i*--.. The document produced is the same that ■we found. It is not in the same handwriting as the butt, and the parchment does not correspond with the butt. On looking over some blank receipt books, at the very end of one wo found the last leaf cut out, and corresponding exactly with tbe receipt filed. I then went over the gold bags and found the number suppased to be in the office, and agreeing with the books, with tbe exception of the one bag referred to. The book' produced is the same. In it I find an entry dated the* 2nd of May, 1862, whereby it appears that on that day a bag of gold weighing 110 ounces 10 dwts. was returned by the subtreasurer to one John Grills. immediately on making this discovery, I proceeded to town at once and subsequently a warrant was issued for the prisoner's apprehension. Henry Staveley deposed : lam clerk in the gold office and treasury, and have held the appointment four years next July. My duties in 1859 were particularly connected with the clerical working of the gold office. The duty of receiving and re-issning of gold deposited, devolved on the gold receiver, but in his temporary absence, first on myself, and then in case of my absence, on Mr. Grayburn. I, as chief clerk, was authorised to sign receipts for the gold in the absence of tbe gold receiver. On December 14, 1859, I find an entry of delivery to John Grills, of 93 ozs. and on the same clay a second of the lodgement by John Grills of 110 ozs. 10 dwts. which I before alluded to. The block of the genuine receipt was in the handwriting of Mr. Grayburn, and did not agree with the handwriting of the field receipt, the latter being in the handwriting of the prisoner, and I at once said there could be no shadow of doubt that- the prisoner had taken the gold. John Grills, tbe prosecutor, a particularly stupidlooking individual, was_ the next witness, and deposed —I am a miner residing at Dinah Flat. I placed some gold in the treasury, but cannot tell the date. I can, however, remember that I got a receipt, and deposited 110 ozs. 10 dwts. I have not received the gold from the treasury, nor did I ever authorise any one to apply for it. Hugh Price, clerk to Messrs. Butterworth and Co., proved that on the Ist of May the prisoner came to Meesrs. Butterworth and Co.'s office, and sold 80 ozs, of gold, at L 3 15s. per oz. Witness made the record produced at the time of the purchase, and the amount paid was L3OO. This closed the case for the prosecution. The prisoner was cautioned in the usual manner, and in reply to the question if he bad anything to say, replied, " Not now." He was then committed to take his trial at the General Sessions, on the 10th of June next. No application was made for bail, and the prisoner was then removed in custody.