ACTION AGAINST BANK

Dominion, Volume 33, Issue 282, 23 August 1940, Page 7

ACTION AGAINST BANK

An Exchange Transaction An exchaiige transaction involving £20,000 sterling was the subject of an action commenced in the Supreme Court, Wellington, yesterday, and which will continue today. A Wellington company manager, Alistair Scott, brought the action against the Bank of New South Wales. Mr. Justice Smith is hearing the case. Mr. E. It. Kirkcaldie appears for plaintiff and Mr. !■'. G. Spratt for defendant. Plaintiff claimed that on April 10 the bank received £325 for his use, but had since refused to pay him the money on request. lie also claimed that on April 10 he entered into an exchange transaction with G. M. Parker, agent for Macduffs Limited. whereby plaintiff agreed with Parker to exchange £20.000 sterling for £28,325 New Zealand money. Plaintiff employed the defendant bank to carry out the transaction. In a letter, he instructed the Bank of New South Wales to deposit £28.000 wish the National Bank of New Zealand to be held on account of W. and K. Pletcher Limited, whose principals were supplying the equivalent in sterling. He instructed the hank verbally to hold the balance, £325, to his account. The defence was a denial of allegations made by plaintiff. The defence said that, by Hie finance Emergency Regulations gazetted on April 11, the exchange transaction was rendered illegal ami void. The day was spent in hearing evidence find the case will be continued Viis afternoon.