OIL AGENT’S DEALINGS

Sun (Auckland), Volume IV, Issue 1027, 18 July 1930, Page 10

OIL AGENT’S DEALINGS

ACTIVITIES OF “MECCA” COMPANY CASE FOR DEFENCE OPENS Press Association WELLINGTON, Thursday, j The operations of the “Mecca Oil Company" were the subject of further investigation in the Magistrate’s Court j today, when the hearing of the civil j action was continued, in which allegai tions of dishonesty were made against | M. P. Pimentel by former agents, who j sought to recover money allegedly paid ito defendant when they were api pointed. The case for the plaintiffs | was concluded, and after hearing sev- ! oral witnesses for the defence the | court adjourned until tomorrow. I Nancy Wardrop, stenographer, said | that during the five weeks she was employed by Pimentel there had been no communications about oil coming direct from America or going out of New’ Zealand. Arthur Bywaters, storeman for Adams and Blyth, said that oil for the Mecca Company would come in one day and go out the next. Sometimes it came in and went out on the same day. I Eric Manning, grocer's boy, said he i had been employed by Pimentel. It 1 was part of his work to mix oil that had been returned by some of the district agents who were "pulling out of the thing." The oil was put into drums bearing the Standard and Texas Oil Companies* markings. Under instructions from Pimentel he removed the marks on the drums and substituted the words. “Mecca Oil Company.” THE AUCKLAND AGENCY Isaac Joseph Bason, bricklayer, said | Pimentel offered him the Auckland agency of the company. He paid a deposit of £25, and a balance of £450, on the understanding that all the money Invested in the venture would | be secured by the equivalent value in ; oil. When witness received his first ; consignment of oil he resigned. He I was given a post-dated cheque for I £475. This cheque was dishonoured. | It represented Ills life savings. The j oil was valued at £123. ! Leonard James Paterson, of Auckj land, said he answered an advertlso- > ment and Pimentel sent him a teleI gram saying that if he had deposited ; £IOO of the £I,OOO for the purchase j of his stock ho would transfer the Auckland agency to him. Witness | was unable to find the money. Pimentel then suggested that he should find ! £l5O and go into partnership with j Bason. On Bason resigning witness i telephoned Pimentel offering him £SOO j l’or the Auckland agency. The offer j was accepted and he borrowed some money in order to pay the £SOO. Philip Percy Wimsett said Pimentel told him that he was the representative of an old-established American company, and that he intended to establish the business right throughout the Southern Hemisphere. Pimentel said: “Seeing you are not a bad chap we will let you have an agency for £loo.’* Witness agreed to invest £IOO in the business on the assurance that he would not stand to lose anything. He entered into an agreement whereby he was to receive a salary of £4 and commission on sales. Another agreement was drawn up later under which witness was appointed district manager for Wellington. On June 28 he asked Pimentel for commission on the sales he had made. Pimentel gave him a cheque for £6 13s sd. Witness asked for a statement and challenged its correctness- Pimentel, he alleged, hit him in the mouth. “He thought he W’as going to knock me out, but he missed,” said witness. “I hit him back and he called for help." Mr. Treadwell, counsel for plaintiff: You appear to be the only one of his customers who got any satisfaction out of him. SECRETARY'S EVIDENCE Alfred Dudley Smith said he was the successful applicant for the position of secretary to the Mecca Oil Company. A condition of his engagement was that he was required to invest £2OO in the business. This sum he borrowed and paid in. His salary was fixed at £7 a week, but it was later reduced to £5 on the ground that extra assistance was required. While he was in the office witness saw invoices of the receipt of oil from the Atlantic Union, Standard and Texas Oil Companies. Outlining the defence, Mr. Harding said he would endeavour to show that the statements alleged to have been made to the agents who had given evidence for the plaintiffs were not made at all, and that his client had never held himself out as the accredited agent or representative of the Mecca Oil Company. The Magistrate: Is there such a company? Mr. Harding: There is not. Counsel added that it had been in the mind of defendant to form a company of that name. He said oil had been bought locally from the companies mentioned. Further oil had been purchased direct from the Standard Oil Company in America. “We submit," said Mr. Harding, “that these actions have been brought mainly at the instigation of Wimsett, who, I think it must, be seen, had a differ- | ence of opinion with defendant and I wished to seek revenge." It was regrettable that the cheque for £475 had been dishonoured, but that was probably due to the fact that Pimentel had been arrested on Tuesday evening. Evidence was given by Douglas Pemberton, the Timaru agent for Mecca Oil, his partner, Reginald Robert Taylor, and by Leslie Simpson Adam, of Dunedin, and George Hupton, of Nelson. These witnesses said they had no definite complaints, but they would not have entered into the contract if they had known that Pimentel was buying oil in New Zealand. Samuel Carter, of Taranaki, also gave evidence. All these witnesses had invested sums varying from £7O to £2OO.

D. S. Me Caul and P. F. Phillips, New Zealand representatives of the Standard Oil Company, said that oil for Pimentel had already arrived. Another shipment of about 8,000 gallons was on the water in three ships.

The case was adjourned until to morrow.