ALLEGED PROFITEERING

Evening Post, Volume CI, Issue 19, 22 January 1921, Page 5

ALLEGED PROFITEERING

DUNBDIN CASES.

(BT lELIBRAMI.—FKISB AISeCIATIOM.V DUNEDIN, 21st January. Charges of profiteering were hoard .by Mr. J. R." Bartholomew, S.M., in the City Police Court today, when Douglas Bernstoin was charged . with selling to the D.I.C. 105 yards of costume cloth- at an unreasonably high price. The D.I.C. was oharged with selling one yard of tho cloth to a customer at too high a prioe. Tho Crown Prosecutor (Mr. A. S. Adams) prosecuted; Mi.,3: L. Sinclair appeared for Bernstein; 'and Mr. J. B. Callan. iat the other defendant. Bernstein 1 bought the cloth from tho Bruoo' Woollen Mills at 7s, and sold it' for 12s 6d to the D.1.0., returning an actual profit of 67.28 per cent, on cost. Tho D.I.C. sold at 21s, making a profit, allowing for discount, of 70.8 per cent. ; The defsnee in Bernstein's case was lh»t the defendant raised tho price of the Bruce oloth when ho found that an Kngliah substitute for tho,b»l»nco of tn order would cost him 103 3dl Counsel contended th»t his client was perfectly entitled to baee his charges on replacement values, as had been established by tlio Appeal Court in the alar.rt dock taso. ' .' i ■

In the D.I.C. case, cfitoßel explained that tho price had bein fixed by a departmental, head, ,of whoso policy tho house did not approve. Counsel also mentioned sections of the .Act providing that, in the casi of an investigation, tho information so elioited shocld be confidential, and that, in the case of a judicial inquiry, traders should be- indemnified against prosecutions, but. stated that his clients considered it would not be consistent to .attempt to blook the prosecution fvom using tho information they had readily given. The Magistrate .reserved his decision.