FRAUD ALLEGED

Dominion, Volume 37, Issue 115, 10 February 1944, Page 4

FRAUD ALLEGED

Supply Of Timber To U.S. Purchasing Board (By Telegraph.—Press Association.) CHRISTCHURCH, February 9. . “Some person or persons almost sticceocled in the perpetration of a cruel, shameful, and cowardly fraud on the Allies fighting for us,” said the Crown Prosecutor, Mr, A. AV. Brown, in his open* inti address to a jury in the Supremo Court this morning in tl;e trial of AVilfred Henry Banks, manager of the Papanui Timber Company, on a charge of attempting to obtain £2BO/1/3 from the United States Joint Purchasing Board for the Papanui Timber Company by means of a false pretence, namely by representing that the quality of timber supplied to the boat’d was higher than in fact, it was. Banks, who was represented hy Mr. H. F. O’Leary. K.C.. AVellington, and Mr. G. G. Lockwood,' pleaded not guilty. Mr. Justice Nprthcroff presided. Air. Brown said that Banks was a well-known business man in Christchurch, In January last vear the U.S. Purchasing Board wanted timber to build a navy mobile hospital in New Caledonia. Orders for the timber were sent out and through the North Canterbury Timber Merchants’ Association allocations were made among various companies for the supply of the timber. Banks would know from the outset what grades of timber were to be supplied. The Papanui allocation was valued at about £3OOO and that timber was. delivered to the Papanui railway station on February 12. 1943. On February 28 the firm sent in invoices and all that remained was for the company to get its money after the figures had been checked in AVellington. The company did not get payment, however, because the timber did not go away. The shin did not arrive and the timber was unloaded at Christchurch, in the yards of the Jnrrah and Butler companies. In the process of unloading the timber was examined and was seen to be defective in many respects. 27.4 per cent, being condemned and a further 5,0 per cent, bein " reduced to a lower grade. The case is proceeding.