“Swindle” says Judge

Sun (Auckland), Volume II, Issue 422, 2 August 1928, Page 16

“Swindle” says Judge

ERRICK CHARMERS ESCAPES MESHES OF LAW MORAL, NOT LEGAL FRAUD “The whole thing was a terrible swindle, but I fear you have escaped the meshes of the law/ 7 said Mr. Justice Reed to Errick Charmers, aged 47, who stood his trial yesterday on three charges of obtaining £260 by false pretences from three unemployed men by representing he was the proprietor of a business which was security for that amount. “Is it not fraud for accused to induce these men to pay him sums of money knowing he has not sufficient financial backing?” asked a juryman. “It is moral but not legal fraud; unfortunately it does not come within the statute,” his Honour replied. A verdict of not guilty was then returned and the prisoner was discharged. I Mr. R. A. Singer appeared for accused. Charmers, according to the police, was the proprietor of “Varsity Toilet Requisites,” and he had for distribution at his rooms in Queen Street an “automatic tea distributor” (tea caddie), a “storm-proof metal cloths peg” and a “napthaline preparation for moths” (moth balls). “CLEVER SWINDLES”

The Crown Prosecutor, Mr. V. R. Meredith, said: “The general allegation is that accused was working a series of clever swindles with the idea of getting money from people foolish enough to fall into his trap. It is also alleged accused got the money in such circumstances as would absolve him from criminal liability, by covering himself beneath the cloak of legal contracts.”

Three men, Hodges, Costin and Garrick, had answered advertisement, in which Charmers asked for young men to put money into his business, and to work on wages. Two of them handed over £IOO each and one £6O. Under the agreement the men became the property of Charmers, said Mr. Meredith, and if at any time they wanted to get out they had to give 60 days’ notice. None of the salesmen could do any good with the tea caddies o£ moth balls. At the bank where Charmers was supposed to have his capital the following amounts had been deposited: £1 on May 1, 1928; £6O on May 23, and £7l 9s on June 11. On June 19 there was a credit balance of £23 and now there remained two shillings in it. “In just three cases he had got a good sum together/ 7 said Mr. Meredith, “and if he had collected a little more it would have been well worth his while to have left the country long before any claim could be made.. “When he took the money from these unfortunate individuals he had no financial stability, and the chances of getting their money back were nil, for there is 2s to meet the liability of £260.” “FACTORY ON PREMISES 77 Stanley Arthur Hodges, of Surrey Crescent, Grey Lynn, said he was taken to Charmers’s rooms, where there were a few bottles of hair oil and face cream. Charmers said he manufactured them on the premises. Witness

put £IOO into the business after Charmers had told him about his bank account and a large steel airplane he had built in England. The model of the plane was displayed. Setting out with patent hair-pins, moth-balls, hair-oil and tea-caddies, I-lodges began his work on the following Monday.

Mr. Meredith: How did business go? —Witness: I only sold two packets of moth balls on the first day. Hid business improve in the next few days?—No, it became worse. Hid you sell any hair-pins?—No. Mr. Singer: Perhaps it was because bobbed hair is in fashion. Mr. Meredith: Hid you notice any more activity in the “factory?"—Witness: No, there was no factory. Were you starting to wonder about your £loo?—Yes, I asked if there was any hope of my drawing out. What did accused say?—He said there was not. Hodges explained that other work he was given was the delivery of teacaddies to people who were never at home. On the following Thursday he saw that things were no good and having been told that he could not “get out," he went to the police. Richard Henry Costin, labourer, said he also paid in £IOO and upon commencing work at Charmers’s rooms in Hellaby’s buildings, he unpacked numerous glass jars and filled them with face cream, which had come in bulk. The Judge: What was it, lard? Witness: No, sir, face cream. He added that for about a week he continued to fill jars with face cream and to pack moth-balls into cartons. About three weeks later a detective visited the office and the business was closed. Before he actually commenced work he told accused he did not wish to go further with the matter. However, he was assured by Mr. Raymond, in the office of Melville and Company, whom he had first interviewed, that he stood to lose nothing. Robert Garrick, fish merchant, Onehunga, paid in £6O. “Accused had only one room when I started in March," witness said. “It contained hair-oil, face cream, and a general mixture of articles." His Honour: He had apparently not broken out into clothes pegs then. A WISE MAN An official of the National Bank of New Zealand said accused opened an accpunt on May 1 with £l. He had since made several deposits, but his credit balance now was only 2s. Charles Frederick Smith, a member of the firm of Melville and Company, business agents, said he joined the firm in April. He took no part in the control of the firm until after the end of May, when Raymond left for Rotorua and did not return. 4 His Honour: Has he disappeared?— Witness: Yes. His Honour: A wise man, I think. Hetective Knight said he searched accused’s rooms. The contents, excluding a typewriter, were not worth more than £25. Mr. Meredith said he recognised there was a legal difficulty, but owing to the attitude of witnesses, the case was different from when it was before the lower Court. “I think you will agree this is a pretty barefaced swindle, but I regret to say accused has not been brought within the provisions of the law," the Judge said in addressing the jury. “He managed to get hold of three unfortunate men who were out of work at the time, and were prepared to risk their money. It is my duty, therefore, to direct you to find a verdict of not guilty." Addressing Charmers his Honour said: “ I regret very much having to discharge you as, of course, your swindle was a cruel and heartless one in that you took money from men j who were out of work." i