JUDGMENT AGAINST THE CROWN

Press, Volume LXXIV, Issue 22389, 30 April 1938, Page 21

JUDGMENT AGAINST THE CROWN

PRICE OF AMMUNITION

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WELLINGTON, April 29.

A decision that the price of ammunition purchased by the New Zealand Government from the Colonial Ammunition Company should be converted into New Zealand currency was reached by the Appeal Court in a judgment delivered this morning in the case of the Colonial Ammunition Company, Ltd., v. the Crown (heard on March 29). The contract entered into by the appellant company with the New Zealand Government for the supply of small arms ammunition provided that tne Price payable was to be a price equal to the current War Office cost. In 1935 the question of the addition of the appropriate rate of exchange to convert the War Office price into New Zealana currency was raised by the company, and in May, 1937, the company filed a petition of right against the Crown seeking to recover £6193 2s 7d, alleged to be short paid by the Crown in respect of the years 1936 and 1937. Mr Justice Reed, who heard the matter ' last October in the Supreme Court at Auckland, held that the company was not entitled to the amount claimefd as representing the exchange difference between English and New Zealand currency. _The appeal was taken before the Chief Justice (Sir Michael Myers), and Mr Justice Blair. Mr Justice Kennedy, Mr Justice Callan, and Mr Justice Northcroft. Judgments were delivered by their Honours this morning, holding that the case had been wrongly oacided in the Court below, and that the price of the ammunition supplied must be converted into New Zealana . currency.