‘DUD” COMPANIES

Sun (Auckland), Volume II, Issue 352, 12 May 1928, Page 10

‘DUD” COMPANIES

SPECIALIST GETS FOUR YEARS

SWINDLERS ALL OVER ENGLAND

IT is a matter of very great social import that men should not be allowed to go through the facile operation ot floating worthless companies and passing off valueless shares on people who are ill able to afford the money.

■yi7ITH these stern words Mr. Justice Wright, at Manchester Assizes, sentenced to four years’ penal servitude Arthur Casson, or Carson, who was found guilty of false pretences, fraudulent conversion and obtaining credit without disclosing that he was an undischarged bankrupt. The charges arose out of the Thurstaston Hall (Cheshire) convalescent home scheme, in which Casson, posing, it is alleged, as a wealthy relative of Lord Carson and the owner of the hall, induced a number of people to invest by fraudulent means. Edith Carson, or Casson, or Richards, a 36-year-old married woman, was found not guilty on all charges relating to the Thurstaston Hall scheme, but she pleaded guilty to a charge of making a false statement for passport purposes and was bound over for 12 months. Sentenced Abroad Casson’s great speciality was the promotion of companies—with disastrous results to those who invested money in them. He was not troubled with any qualms of conscience regarding his victims, and he found dupes in all walks of life. His operations extended as far afield as Italy and France, and the fact was reveaed during his trial that as recently as last April he was sentenced at Rouen, but in his absence, to imprisonment for swindling. He is a native of Manchester, but his last address was given as Bryanston Street, Paddington, London. A good education, commanding presence, forceful personality and a glib tongue—these were the attributes which Casson used to such good effect in the successful promotion of his many “enterprises.” Add to these an almost uncanny understanding of the ramifications of commercial law, and it is no wonder that he imposed, not only on the credulity of small investors and tradespeople, but also persuaded hard-headed business men, whose names stand high in the world of commerce, to buy his worthless: shares. Specious Promises Indeed, it is on record that he swindled Mr. Harold Savage, managing director of J. Savage and Co., Ltd., out of no less than £7,000. It was in December, 1919, when Casson was managing director of the Casson Chemical Company, that, by his specious promises and artful inducements, he persuaded Mr. Savage to sell the whole of his business, consisting of a works, 17 shops and a patent medicine business called the Teesdale Chlorodyne Company, Ltd., Bradford, for £ 35,000. Of this sum £17,500 was payable to the Casson Chemical Company, and there was £17,000 in cash. Savage's reward was his appointment as assistant managing director at £SOO a year! This was one of the items mentioned by Inspector Kay, of the Liverpool police, in his long statement regarding Casson’s activities as a company promoter. Although he must have sensed that the judge was about to deal with him severely, Casson’s amazing coolness and imperturbability did not desert him. Addressing the judge after the reading of the inspector's statement, he said in almost matter-of-fact tones that there was a little truth in what had been stated, but it was mixed up with a lot of wrong. “I know nothing of some of the businesses mentioned." ; he said. Served in S.A. War “If that account be in any sense trustworthy it shows that your progress between various towns and countries has been marked by the wrecks of companies and the losses of investors,” was Mr. Justice Wright’s reply before imposing sentence. The judge added, however, that he was not taking into account these matters in punishing Casson for the offences of which he had been found guilty. According to Inspector Kay’s statement, Casson, up to 1899, was employed by his brother, a paint manufacturer, in St. Anne Street, Liverpool. He was then an officer in the 6th Liverpool Regiment, and served in the South African War. He later promoted a company which went into liquidation in 1908, and was then declared a bankrupt. In 1915 he promoted the Casson j Composition Company, Limited, at j Putney. He was a director of this j company, which during the war supplied the Government with paint composition for shells. This concern went into liquidation in 1925. Fled to France In 1921 Casson promoted a London weekly paper, the “British Public.” Numerous investors in this lost their money, including L. E. Eeman, of Baker Street, London, who was the poorer by £7OO. Within a few days the syndicate went into voluntary liquidation and Casson absconded to France. In 1923 Casson traded at Poole, Dorset, under the name of the Devon and Cornwall Paint Company, Ltd., Sea King Works, West Quay, Poole. Casson was, under the name of Austin Carlton, managing director. After two years of life this company failed badly and when an explanation was called for by the Official Receiver, Casson had gone abroad. During the time Casson was running the Casson Composition Company, j Ltd,. 1915-25, he also promoted the Casson Chemical Company. Ltd., which ; was declared bankrupt in January, j 1923, owing to Barcays Bank seizing the property and belongings under guarantee of £20,000 given to the bank. Casson’s total liabilities amounted to £19,117, and this time he absconded to France. Banished From tlaly

Casson did not remain idle for long, however, for in 1924 he founded a number of wild-cat concerns which failed as the others had done, scores of persons losing varying amounts of money.

He then found a veritable “Tom Tiddler's Ground” in San Remo, Ligurin, Italy, where he posed as Count de Casson, and ran a business called “The English Household Stores.” He also published at San Remo a newspaper called “The Anglo-American Weekly,” but only one issue appeared, for he wrote an article attacking the character of the British vice-consul.

and was requested to leave the country [by the Government. In November. 1926. Casson, in the name of Angus Cassel or Carson, and his woman companion, the latter in the name of Edith Pugh or Hodgson, projmoted the Aquasala Co., Ltd., specialising in medicines, at Edinburgh. Com•plaints of fraud followed, and the man 1 told the Edinburgh police that he had been the host of the King and Queen and the Prince of Wales, and that he was offered a baronetcy by Mr. Lloyd George. At the time of his arrest Casson was forming three companies. “Once Worth £50,000" Neither Casson nor his woman companion gave evidence on oath, but the former made a long statement —it lasted an hour from the dock —part of which has been already quoted. He denied that he had claimed to be a relative of Lord Carson or the owner of Thurstaston Hall. “Lord Carson.” he added, “would, I think, say I have been useful not only to him. but to the Duke of Northumberland and others some six years ago, when I was connected with the paper world.” Reciting his “life story” at great length, Casson said that seven years ago he was worth £50.000. Regarding Edith Carson, Inspector Kay said that the woman had told the police that she was a native of Birmingham, but they were unable to trace anything of her career until 1912, when she was employed as a cashier by a London stores. The firm stated that she left them to marry a soldier named Hodgson in 1915. In 1924 she began to associate with Casson. and had since lived with him as his wife.

His lordship, in binding the woman over, said he was prepared to assume that she was acting under Arthur Casson’s influence.

“In justice to myself, may I appeal?” asked Casson, when sentence was pronounced. “Your rights are defined by Act of Parliament,” was the judge’s cold and curt reply.