FIRE ENQUIRY

Press, Volume LXX, Issue 21323, 16 November 1934, Page 6

FIRE ENQUIRY

♦ W. DAVIDSON GIVES EVIDENCE HEARING MAY END TO-DAY The enquiry into the fire of June 8 at the warehouse of Davidson and Company, Ltd., has now extended over 10 days. Jt is hoped that the cn- , quiry will be concluded to-day. Yesterday afternoon William Davidson, manager of Davidson and Company, Ltd., gave evidence. The court was adjourned before the evidence could be completed and to-day Davidson will be cross-examined by Mr C. S. Thomas for the. Guardian Assurance Company, Ltd., and possibly re-examined by his own counsel, Mr W. J. Sim. The enquiry is being held before Mr E. D. Mosley, coroner. Chief-Detective Dunlop represents the police. Allan McNeai Wilson, .storcman. in answer to the chief-detective, baicl that in the £750 at which he had valuer! the goods he had included all saleable and unsaleable goods found in tho warehouse after the fire. To Mr Thomas, witness said that h* had found more goods overvalued than undervalued. Leslie Harold Fee, an accountant, wiw recalled for cross-examination by Mr Sim. He said that he had examined the stock book, the invoices of sales, and the purchases of the company. When Mr Sim questioned the payment of Wilson for his enquiries, Fee slated that before the fire Wilson was being paid £5 a week. Mr Sim asked who was paying Wilson after the death of Graves. Witness said he had nothing to do with the engagement of Wilson or his remuneration. Investigating for Eight Weeks Witness said that he had started his investigations on June 9, and that new aspects in the case were being brought to light all the time. He had spent about seven or eight weeks on the business. The outward invoice books covered the full period of the enquiry. Those found in use at the end of the period were not full. It would be possible that more invoices other than those in the book starting at 1200 had been used for special sales. This might account for some additional sales not taken into account. He had not been told by Davidson that one inward credit book was missing. .Questioned by Mr Sim about the capital that had been put into the business, he said he could not state anything definite. The only specific reference to additional capital was that Davidson had mentioned that sums totalling £3OO had been put into the bank in April and May. To Mr Sim, witness said that the purchases over the period from March 1 to June 7 would exceed the sales, by a little more than £IOO. Mr Sim: The stock has thus increased; more goods have been purchased than the sales show. Witness: That is so. How many sales were of goods not in the warehouse?— That aspect was not examined. In making up these returns Mr Fee said that he had deducted from the stock sheets all the recorded sales.

"Books Absolutely Useless" Mr Sim and Mr Thomas with the chief detective and the two accountants examined the books on the bench where Mr Thomas stated to the coroner that from the books it appeared that no supplies had been made to the A.B.C. stores for two months. Mr C. W. Evans, the accountant called in

by Davidson, mentioned that the supplies were shown in the invoices. Mr Thomas: That's the point I want to make. These books are absolutely useless; they have not been written up. The coroner to Mr Sim: I think witness's conclusions are correct; it is your client's fault that other information was not put before him. Witness said that the total excess made by the alteration of the invoices would be about £l7O.

Limited Liability William Davidson, manager for Davidson and Company, of Lichfield street, residing at 61 Bealcy avenue, snid that the company was formed in September or October, 1930. There was no question of turning Hie firm into a limited liability companv until about 12 months ago. The question of forming a limited liability company had not been discussed previously. The chief detective then produced a circular headed "Davidson and Company, Ltd." Mr Davidson admitted the circular, anu said he had considered turning the company into a limited liability company as early as 1931. The company carried on business until March, 1934, when the arrangements were made for turning the firm into a limited liability company. The arrangements with the bank had not been completed, so that cheques were still drawn on Davidson and Company. Witness said his :;on was the main .shareholder in the old company. His statement to Detective Haloow that capital invested in the business amounted to £2850 he believed to be correct. . Davidson said that he and his son had conducted the linn's business lu.s son acting as traveller. Lighted! months ago the A.B.C. stores. were bought, his son taking the main interest in conducting this business, the son wanted to come off the road so that he could better conouct the retail business. The son wanted the two businesses to be separated. _ That was the main reason for registering Davidson Tnd Company, Ltd. His son held all the shares except one. The rent of the premises was £2 8s a week Before taking over the A.B.C. stoie he considered that Davidson and Company had no interest m it. His son had purchased the business of the ABC store about six months before he left Davidson and Company. None of the staff was at work between noon on Saturday, June 2, and Tuesday June 5. Witness went into th"e premises on the Monday It was a wet day, so he decided to go to the office and do odd work. He worked in the office for three hours and then went into the store. While washing his hands after working in the, store he noticed an open tin of turpentine. Tnere was about 1* gallons. Nearby were crates of empty bottles. As there was a funnel nearby it was no trouble to bottle the turpentine. Corks were also handy As there were no similar bottles of turpentine he. placed the bottles in fixtures containing liquids o Vitne r s e s n said r he was not sure what shStolinls 1 tot section the warehouse, but he knew there was Tome methylated spirits there in coffee boxes.

Conflict of Evidence The chief-detective said that the stoieman denied that there were similar lines in that part of the store. Witness replied that he knew positively that methylated spirits was there He had placed the paperc"*;; tings in the stacked boxes. The boxes Sw! complete with lids. The paper cXigs were used for packing chocolates. The boxes were sold to a client. There was no order for the boxes at the time of the fire. Ihe boxes had previously been stacked »y the coal bins for some time. He had the boxes shifted as the longer they were left by the coal bins the poorer would be their condition to be sold as new boxes. When the chief-detective quoted Wilson, the storeman, as saying that

no spirits had been stored in certain fixtures for several months before the flre Davidson said this was not correct. Spirits had been stored in the fixtures. Of that part of the store he knew as much as the storeman, as the storeman had not used that part of the store for bottling for several months.

On the day before the fire he sent the storeman to Lyttelton to call on certain customers. It was unusual to send the storeman to Lyttelton. If Wilson said lie had no special instruction about Lyttelton except to look round for orders it would be correct. Witness returned to the office on (he evening of the fire. He left the office about 7 p.m. Pie wont through tho store to see that the double doors were closed. Before he left the store that night he saw three bottles tied up with string. The warehouse was securely locked when he left.

A Question of Time After leaving the office he motored home to tea. He went to the A.B.C. store about 9 p.m. His son had telegraphed from Wellington requesting that a list of goods be made. He stayed at the A.B.C. store till 10 p.m., when he returned 1o the office to make a note of certain goods to be ordered He left the office an hour to an hour and a-half later. During that period he worked only in the office, not entering the store. He had not a watcii and based his times for his statement to the police on the statement of his daughter that she heard the clock .strike 11 on his return home. That was why in his statement he said he left the office at 10.50 p.m. He could not say whether it was 11 or midnight the daughter heard striking. The chief-detective: This is- the first time we have heard about midnight, from you. You were definite about the time you went to the office, the time you went to the store, the time you went home to tea, but your memory fails you on the time you finally left your office. This statement was made on July 19 and you must have realised then how important the question of time was. Witness: I based the time on flic statement of my daughter. The coroner: I think we will adjourn the court for five minutes and perhaps Mr Davidson will be able to recollect accurately. Mr Sim: He is recollecting as accurately as he can now, sir. The coroner: Then perhaps he will be able to recollect correctly again. After the adjournment Davidson was agsin asked at what time he finally left the office. He again said that he based his time on his daughter's statement. The coroner: When was the time fixed? Your daughter said she did not speak to you that night? Witness: Six weeks later when my daughter made her statement to the police. He did not see his daughters when he came home. All the family were in one daughter, who came in later. The chief detective: Well that fixes the time at 11 p.m., as the daughter stated she came in about midnight, and heard you asleep at that time. Witness said he knew of another person in the vicinity who had a car similar to his. Statement Sought The chief-detective: Didn't you go and ask a night watchman to sign a statement saying he did not see Davidson's car outside the premises between 11 o'clock and 12.30 o'clock. Witness: Yes. I understood he was on his round from 11 p.m. The chief-detective: How did you know he commenced duty at 11 p.m. Witness: We had been in conversation for some time.

The coroner: But the watchman says you went to him with a statement in your pocket. Witness: Yes, sir. I don't deny it.

The coroner; Then how do you reconcile that?

Witness: Well, I can't say I had any fixed time in my statement. The coroner: But he definitely states times. Witness: Well I can't remember that. The coroner: Then you destroyed the statement?

The chief-detective: How did you get in touch with the watchman.

Witness: I heard there was 'a question about the time my car was seen outside the warehouse, and found out about the watchman through Mr Gee. The chief-detective: Then you did take a statement down to the watchman?

Witness: It was probably a note to be filled in. The times would be blanks. The coroner: But he swears that the times were between 11 o'clock and 12.30?

Witness: I admit that I saw Copley (the watchman) because I knew Detective Halcrow had evidence that my car was seen outside the office at a later hour than that given in the statement. The enquiry was adjourned until 9.30 a.m. to-day.