ACTION AGAINST BANK

Press, Volume LXXI, Issue 21577, 13 September 1935, Page 6

ACTION AGAINST BANK

MR LYSNAR'S CASE DEFENCE OPENED (mussa iasocuTioH tblsobak.) GISBORNE, September 12. The case for fee defence in the action in which William Douglas Lysnar claims £137,000 from the National Bank, after repudlation-'of a contract concerning financing plaintiff's Arowhana station, opened yesterday, before Mr Justice Blair, at a special sitting of the Supreme Court, which commenced on Tuesday of last week. Mr A. 'H. Johnstone, K.C., for the bank, said that if the plaintiff succeeded he would have raised himself from a position of hopeless insolvency to substantial wealth. During the period when other farmers found difficulty in carrying on before 193t, ; Lysnar owed £40,000 to the Public Trustee, £72,000 to the bank, and £9OGD to the East Coast Commissioner, in addition to other large amounts. Plaintiff now sought the return of the property plus £137,000, and if he' succeeded he could pay off the Pubhe Trust mortgage and have £12,000, in his pocket. The bulk of the money spent by Lysnar on the station had found for him by the bank, which had agreed tq cancel £42,000 of the £72,000 owing on overdraft. Counsel said that the claim was a startling one which, in all the circumstances, .savoured of rapacity and greed, and it was hoped to show that it contained no more substance than merit The hearing of evidence is proceeding. ' /,' j