Co. Director Says He Made Loan To Customs Officer

Press, Volume CX, Issue 32213, 4 February 1970, Page 34

Co. Director Says He Made Loan To Customs Officer

(New Zealand Press Association) WELLINGTON, February 3. A managing director, Stuart Frederick Caldow, said in the Supreme Court, Wellington, today he made a loan to a customs officer primarily because of the “supreme powers of officers of H.M. Customs.”

i Galdow and his company. M. P. Galdow and Company, Ltd, have both pleaded not guilty to a joint charge of corruptly giving a bribe—a cheque for £sBo—in April, 1967. to Harold John Head, then a customs officer, in regal’d to acts in his official capacity.

Mr J. H. C. Larsen, with him Mr K. G. Stone, appears for the Crown. Both accused are represented by Mr F. D. O’Flynn, Q.C., with him Mr D. A. Christie. The Chief Justice, Sir Richard Wild, is on the bench. Caldow, giving evidence bn his own behalf, said he first met Head at a pre-Christmas social held by another company. Head was one of several customs officers invited. He had never asked Head to take any particular action in regard to import entries or other documents of his company or himself. Mr O’Flynn: Did you ever offer him any money for any such things?—No, never. ■ Cheque Given

Caldow said he had given Head a cheque for £5BO. Initially Head telephoned him and requested to see him. Head subsequently called at

his business premises and requested money to pay for a roof he was having put on his house. He had “reluctantly agreed

to tender the cheque in question.” Head had implied it was to be a loan.

Asked by Mr O’Flynn why, despite that reluctance, he had decided to make the loan, Caldow said: “The primary reason would be the supreme powers of officers of H.M. Customs, particularly senior officers."

They could make untold difficulty for importers by virtue of these powers, he said. In evidence earlier in the day, Harold John Head said he was serving a term of imprisonment at Wi Tako prison. From 1948 to 1968 he was employed by the Customs Department and for four of those years was an examining officer. Delivery Orders Head said that two Crown exhibits were delivery orders which were apparently issued through the baggage sufferance section of the Customs Department Asked by Mr Larsen whether he recalled dealing with these documents, Head said: “Well, 1 must admit I feel I have been tied up in this at some time." Asked to explain his statement, Head said he had been sentenced on charges of forgery. He thought he had put the stamps and initials on the documents.

Head said that a cheque—a Crown exhibit—was made out for £5BO and dated April 9, 1967. He had received it from Caldow for services rendered. Mr Larsen: The services being?—To help him get stuff into the country. What did you do to help him get stuff into the country?—l have already been sentenced on those charges.

Head said that instead of four persons handling the paper work he himself had “handled the whole issue.” Extensive Repairs

Cross-examined by Mr O’Flynn, Head agreed that toward the end of 1966 he had had quite extensive repairs done to a house he owned at Manor Park.

Head denied that he had ever suggested to Caldow there might be some difficulty clearing his goods with the Customs Department if he did not make some payment to him.