AGENT CHARGED.

Auckland Star, Volume LXX, Issue 102, 3 May 1939, Page 12

AGENT CHARGED.

ISSUE OF CHEQUES.

* SIX COUNTS FACED. SUPREME COURT TRIAL. On six charges of issuing valueless cheques totalling £37, Michael O'Suliivan appeared before Mr. Justice Fair in the Supreme Court this morning. Mr. V. K. Meredith conducted the prosecution, and Mr. Fraer appeared for O'Sullivan, who pleaded not fiuilty. Mr. Meredith said accused had been in partnership in a land agency business with Kdgar Phillips. A banking account had been opened by them, and an arrangement was made whereby all cheques were to be signed by both parties. Cheques Cashed at Hotels. -About December. Mr. Meredith proceeded, accused started issuing chef) lies signed only by himself. By a mistake several of were allowed to ;_ r o through by the bank. Tie continued issuing the cheques. Most of them were cashed at city hotel* for small amounts owing for drinks, a large amount of change being given. Payment was eventually stopped, and when Phillips was asked to sign the cheque* also he declined. Later accused made a statement absolving Phillips. Several hotelkeepers gave evidence of tiie transactions that had taken place. Kdgar Phillips «aid he and O'Sulliva" had been in partnership on a fifty-fifty b;i.Ms. Accused had no authority to sie'ii cheques alone. Witness had" stopped payment as soon as lie was informed that hie partner was doing so. He spoke to accused later. He lost touch with him for some time, and when he saw him next lie signed a statement al>eolving witness. He said he would try and raise money to clean things up. To Mr. Fraer, witness said it was quite true that accused was entitled to half the money in the general account. Partners on Equal Basis. Opening the defence. Mr. i'raer said it Was a simple ca=e in which the two men were in a partnership on an equal basin. Accused had been «.n a drinking liout, and issued cheques, but there had been no question of not meeting them. There was enough money in the bank Jo meet them. "It is- merely a civil ease between the two partners,'"' *aid counsel. Accused, giving evidence, said lie had no idea the cheques would not be met. During this month he had deposited £:><! of liis own funds in the bank. He intended meeting all the cheques. The case is proceeding.