CHARGES DISMISSED.

Auckland Star, Volume LXV, Issue 224, 21 September 1934, Page 8

CHARGES DISMISSED.

ALLEGED FALSE PRETENCES,

TRANSACTION'S IX SHARES.

(By Telegraph.—Own Correspondent) NEW PLYMOUTH, Thursday. ,- Ar, :- W ; , H - Woodward. S.M., in tho Magistrates Court to-day, dismissed eight charges of false pretences fcrouM against A. R. Dalley, Auckland, and" J S. Payne, Auckland, director and shares salesman, respectively, regarding the sale of shares in Xtravac, Ltd., to persons in New Plymouth, on the ground that 'promoters'" shares were falsely represented tn lie ordinary company shares. Detective Meiklejohri conducted the prosecution, and Mr. J. F. W. Dickson appeared for the accused. The magistrate said that purchasers of the shares bought because Payne sold them shares in the Xtravac 'Process Company for the purpose of exploiting a process. He had no doubt Payne knew the complainant persons were being deceived, but he did not think nondisclosure or suppression, no matter how ilagrant it may have been, was the cause of inducing people to part with their money, or that it amounted to a false pretence. There may have been some fraud on the company, but whether there wae an intention to defraud the persons concerned must remain in doubt. Because the company owed Dalley a considerable sum of money, and it might be by the sale of Dalley's shares he received money which in the ordinary course would have gone to the company, it did not amount to intention to defraud other persons. In dismissing all the informations of false pretences against both men, the magistrate said he relied on evidence which did not disclose that there had been any false pretence. The question next arose as to the place of hearing of the nine charges against Dalley of alleged forgery in connection with the transfer of shares. He was being charged with making hi each case a false document with intent that it be acted on as genuine. Mr. Dickson submitted that the proper Court for the hearing of the charges was at Auckland, as if there had been an offence it was committed there. The first allegation had been that an offence was committed at Auckland, then at New Plymouth and now the police wanted to substitute for either of those places the Dominion of New Zealand. The charge of forgery was laid by Xtravac, Limited, because they were the only persons who could have suffered if there had been forgery. Their office, the books of the company and several witnesses were in Auckland and the Crown could better afford to pay the cost of taking witnesses to Auckland than could accused afford to pay the cost of bringing his witnesses to New Plymouth, Detective Meiklejolm said if the charges were heard in Auckland it would mean taking nine witnesses from New Plymouth, while there were only three witnesses for the prosecution in Auckland. Mr. Woodward said the signatures on the transfer paper purported to be signatures of persons resident in New Plymouth and he held, therefore, that the proper place for the hearing was New Plymouth. After evidence had been heard accused pleaded not guilty and was committed to the Supreme Court for trial. Bail of £150 and a surety of the same amount was allowed.