BANKRUPT IN COURT.

Press, Volume LXIX, Issue 20905, 12 July 1933, Page 6

BANKRUPT IN COURT.

«•-—-♦ NORMAN COMMITTED FOR TRIAL. PLEADS NOT GUILTY TO SIX CHARGES. William Reginald Norman, a bankrupt motor dealer, was yesterday committed to the Supreme Court for trial on six charges, to ail of which he pleaded not guilty, arising from alleged irregularities in his bankruptcy. Mr E. D. Mosley, S.M.. presided at the hearing in the Lower Court, and Dr. A. I-. Haslam represented the accused. The charges against Norman were:— Hi That being a person adjudged bankrupt on May 12, 1933, he had within three years before the commencement of his bankruptcy failed to keep such books of account as are usual and proper in the business carried on by him, and as sufficiently to set forth his business transactions and lo disclose his financial position. <2) That with intent to conceal the true state of his affairs he wilfully omitted, within three years of his bankruptcy, to keep proper books of account. (3) That with intent to defraud he made or caused' to be made a transfer of certain of his property. <4) That within two years before the presentation of a bankruptcy petition he concealed part of his property to the value of upwards of £lO. (5) That within two years before the presentation of a bankruptcy petition against him he made false entries in his books and documents affecting or relating to his property or affairs. (6) That he did not to the best of his knowledge and belief fully and truly discover to the Official Assignee all his property, and how, and to whom, and for what consideration, and when, he disposed of any part thereof. Mr A. W. Brown, who prosecuted for the Crown, said that the six charges were inter-related, and with the consent of the defence could be heard together. Assignee's Evidence. James Hope Robertson, official assignee, said the defendant was adjudged bankrupt on May 12 last. His statement of assets and liabilities showed: debts, £441 lis; assets, £72 lis. The debts proved to date totalled £l6lß 14s Id. Witness had found that in 1930 Norman started business on the liquidation of the Car Disposal Company. His initial capital was £IOOO, borrowed from one Clifford. On Norman's bankruptcy witness received the first statement, another on May 23, and a third on May 29. Witness produced the statements and the books kept by Norman. The books showed no dealings so far as the Tru-tone radio and Bank of New South Wales accounts were concerned. The books ■were fairly good so far as they went. but they were incomplete. Generally they stopped short about five months before bankruptcy, and did not show important dealings made in that time. Norman had two bank accounts. The main account was with the National Bank of New Zealand, Christchurch, in the name of R. Norman. It was through this account that the dealings of the Car Disposal Company were made. It was closed in February, 1933. There was another account in the name of W. Norman in the Bank of New South Wales. This was opened in January, 1933, and: was operated on until bankruptcy. In that time the sum of £849 14s was paid in. None of those dealings was shown in the books. The position of the account was generally very unsatisfactory, and with the exception of one or two items the payments were entirely unvouched for. Approximately £SOO was unaccounted lor Witness questioned bankrupt about this, but received no satisfactory explanation. The books sh ° that on January 25, 1933 bankrupt sold a Nash car to one Gorton for £*», and that amount, together with the sum of 3s 2d, was lodged with the National Bank on the same day. It did not appear that the amount was paid' by Gorton. On the same day accused drew a cheque on the Bank of New South Wales for £24 3s 2d, and paid that sum into the National Bank The transaction out of the Bank of New South Wales was not recorded in the books. Bankrupt said to witness on oath that he bought a radio agency for £220, and produced two receipts signed by one Elliott who was allegedly the vendor of the wholesale selling rights of the Tru-tone radio, owned by Elliott and another man Bankrupt said this was paid from the iSk of New South Wales, in addition Jo £IBO concerning the sale °« a car, which was handed him by his father. Witness was still investigating the Affairs of bankrupt j to him. Transfer of Cars. Edwin C. Gorton said he was employed as a car salesman by the bankrupt for four months, and about $ cars. When the accused closed the business.witness went to Hanmer. on Ms return he found that a Nash car bad been transferred to him. At that SrTe abused owed some money to wit ness. about £l7. About £5 of that was commission and the balance was al loan Witness was surprised to find toat tne car had been transferred to him. The car had just been traded in for £l>U, Sd the selling price would be somewhat less. Witness made no payments on the car to accused. . Milton George Elliott, salesman of King street, Christchurch said that he was first approached by Norman about 7£months ago. The latter said that he gd m bSn thinking of starting a radio business, and wanted to know if witness and Mother man named Densem ™mld make the necessary sets. It decided first to supply Norman wfth sets under contract, and later. Sff wffes? should work forJitata on as lUdio House. Witness and DenSem were working for Norman, and ht m wa»es (£3 15s a week) were all s£u up when witness left three months' ago. Witness identified reStots produced as being signed by Wmself Norman asked him to sign K.saying they were for his personal use. Norman did not pay*" ness any of the money mentioned in thf receipts, and they were not really r«eipts for money received by witDensem. a salesman, said that he was introduced to Norman by Elliott His only connexion with the radio business was as an employee. Witness was told of the receipts at the tone they were signed. Witness did any of the money in tae ?ei£wines3 had had no dealings wfth accused's father and had met him only twice. No amounts had been received by witness from the accused, and he had not received a sum of £lt>o from accused's father. Witness had never had a wholesale agency that he C °Lionef Marcus John Williams, motor engineer, said he was in thr employ ot the accused as a mechanical foreman. When he left the sum of £7 for wages and £6 commission was owing to him. After a visit to Hanmer witness found that Norman had transferred to him a motor-car. Before witness went away he told Norman that he wanted the money, and suggested that he give him a car. Later, Norman said that he wanted a car, and witness na*»ded it over to him for sale. Witness at the time had no thought of the possibility of Norman being bankrupt, and he expected that he would get something from the sale. Bail at £IOO, with one surety of £IOO, was allowed the accused. '