MINING SYNDICATE

Dominion, Volume 28, Issue 286, 30 August 1935, Page 2

MINING SYNDICATE

False Representations Alleged

£l5O REFUND CLAIMED By Telegraph.—Press Association. Christchurch, August 29. A claim against Thomas Newburgh and Sons, sharebrokers, and The Mining House (N.Z.), Ltd., a mining investment company, both of Christchurch, was ,to-day heard in the Supreme Court before Mr. Justice Johnston. Plaintiff was Gerald Robert Maling. merchant, of Christchurch, and the claim was for a refund of £l5O with interest.

It was alleged that an agent of defendants, or one of them, had induced plaintiff to advance £l5O to join a syndicate whose object was to acquire and develop an area on the West Coast for gold mining It was claimed that no functioning syndicate had been formed, and alternatively that the re- ’ presentations made had been false. The defence was a denial of the allegations. Mr. C. S. Thomas, who appeared for Thomas Newburgh and Sons, moved for a nonsuit at the close of plaintiff's ease. He said the claim against his client was based on (1) money being received; (2) fraud. It was clear that the firm of Thomas Newburgh and Sons was secretary to Mining House (N.Z.), Ltd., and the first sum of £4O was obviously received by the firm as an agent. He submitted, toe,, that there had been no evidence of fraud by anyone. It was extraordinary, be said, that such a serious allegation should have been made against such a reputable firm and nothing brought iu court to substantiate it. Mr. M. O. Barnett, for Mining House, Limited, moved for judgment for defendant or nonsuit. The evidence failed entirely, he said, to prove plaintiff’s case in any respect. .His Honour reserved decision on the nonsuit submissions until to-morrow morning.