INCOME TAX CASE.

Dominion, Volume 3, Issue 781, 2 April 1910, Page 5

INCOME TAX CASE.

THE CHARCE AGAINST BOWRON BROS. MOVED INTO COUET OF APPEAL. At a sitting of tihe Sunremo Conrt in Chambers yesterday, the Ohief Justice, Sir Bobert Stout, heard three applications connected with the case of Bowron Brothers, reoently heard ia the Ohristdiuroh, Magistrate's Court. The information laid in connection with the case, which occupied two and a half days, commencing on, March l> alleged: (1) That on November 6, 1906, defendants' firm did knowingly and wilfully make a false return in ■ writing in relation to €he income of the said firm of Boyron Bros., affecting that firm's liability to taxation by avoiding the full taxation in rospeot of income tax. ~ ■ (2) Did knowingly and wilfully deliver a false return in writing in relation, to the income of the firm of Boyron, Bros., affecting that firm's liability to taxation. ' (3) Did knowingly and wilfully make a false return in writing in relation to the income of the firm of Bowjon Bros., affecting that firm's liability to taxation.

At the hearing of the case, Mr. Skerrett took a preliminary objection, raising question of tie magistrate's jurisdiction to hear the case, and arguing that though the information, was laid 'within, the statutory period, instructions were not given to issue summonses til] January 13 last; The magistrate remarked that'he felt that there was a good deal in Mr. Skerretfs aTgument, but he considered he was bound not to decline jurisdiction. Hearing of the charges therefore proceeded, and the magistrate, reserved his decision. .Subsequently steps were taken, with a view to'prohibiting the magistrate from deciding the case on the ground that he had not jurisdiction to do so. •

When the case was brought forward yesterday, Mr. C. P. Skerrett/K.0., appeared for William Bowron, George Bowron, and George John Smith, merchants of Canterbury, formerly carrying oh business as Bowron Brothers. Professor Salmond, . Solicitor-General, appeared for- Helyar Wedderburn Bishop,. S.M.; of Christchuroh, 'and William Morris Tyers, inspector in the Land and Income; Tax : Department. j On Mr. Skerrett's application, an order was made that certain interrogatories should be answered in five dare' time. ~;... .■-....■■

An .order was mado by, consent that James Frank Andrews,: civil servant, of Wellington,. should be cross-exam-ined before the Registrar of the Supreme Court. •-. ■.. ' ■": . .

Mr. Skerrett moved that the motion for prohibition ehould be removed into the Court'of Appeal, and the order wta made by consent. : ■ ■