FRENCH FINANCE FRAUDS

Greymouth Evening Star, 10 December 1928, Page 5

FRENCH FINANCE FRAUDS

MINISTERIAL WRITINGS EXPLOITED BY SWINDLER (Australian Press Association.) (By Cable—Press Assn. —Copyright.) PARIS, December 8. The Hanau-Beloch financial scandal develops daily. Seven members of the Government, including M. Poincare, M, Loucheur, and M. Lecques, are now involved through articles they are alleged to have contributed to the Gazette Du France, or the affiliated journal Gazette Des Nations. The paper “L’ Humanite” published the facsimile of a letter from a page of tne Gazette Du France written by M. Poincare, and also charges leading newspapers with having sold space to Mme. Hanau, to the value of nearly £2500 a month. This was filled, it says, with financial news supplied from the Gazette. There is no doubt that M. Hanau cleverly exploited articles of general itopics written by distinguished people, but none except the Communists believe that these writers knew that they were being exploited. The Magistrate thus far has received seven hundred complaints from all classes—humble folk, Government officials and social persons. The police continue to search the palatial offices. A warrant has been issued for the arrest of Pierre Audibert, Editor of the Gazette Du France, but has not been executed up to the present, because of his critical heart trouble. The police are guarding his horise in the nteantime. Madame Hanau retains the selfassurance that has made her one of the most remarkable women in France. When the investigators talk about the total liabilities, Madame calmly insists that there must be a separate balance sheet for each company. She even threatens that if her views are ignored to wash her hands of the whole affair. She is reputed to have been once worth £640,000. Madame, who successfully conducted a perfumery soap business, started the Gazette des Nations, and used articles and interviews with public men of all countries in order to give confidence to her subscribers. Though a keen worker, she loved pleasure. She rose at seven o’clock and motored to the office, but at eleven at night could be seen at Montmarte, where she frequented two night establishments, and also a bar in the Rue Fontaine, where she was known as Madame Marthe, a generous spender. Paul Hersent, legal adviser to the Gazette Du France, has been arrested in connection with the case. EX-MINISTER’S BREAKDOWN. (Received December 10, 1 p.m.) PARIS, December 9. Klotz, a brilliant lawyer, finance expert, ex-Minister, a signatory to the Versailles Treaty, has been taken to a mental home. Newspapers state it is the result of unfortunate financial transactions and> heavy gambling. In a vigorous attempt to keep the fact secret, Klotz for some time seemed to have lost the sense of value of money. He gambled for high stakes at the seaside casino, and paid with cheques which were dishonoured.