SALE OF A CAR

Greymouth Evening Star, 28 March 1930, Page 5

SALE OF A CAR

JUDGE AND MONEYLENDER. [special to “star.”] , AUCKLAND, March 27. Mr Justice Ostler told a witness at the Supreme Court this morning that his defence of transactions in which he was involved, in a dual capacity as a private owner and as manager of . a city firm «f money lenders would not be accepted in any court of law. The case was one in which Ina

Beatrice Wills (Mr Quartley) proceeded against the Equitable Loan and Finance Coy., Ltd., money lenders (Mr ' Simpson) to obtain a statement of accounts and interest arising out of the transfer of a motor car in October, 1927. Harry Jacobs, the manager of the defendant company, said in his evidence that the company was a family affair, and the record produced in Court showed that private accounts were not kept entirely separate from the company accounts. In July, 1927, it was stated by Mr Quartley, the plaintiff mortgaged a car with the defendants and in October the defendants sold the car, refusing to account for the proceeds. Evidence the sale was made for £lB5 was given by the purchaser, Edith Bay McCormack, who said she bought the car at Chedwidden’s auction rooms. Numerous small repairs were afterwards necessary. “I think that applies to most motor cars,” commented his Honor, with a smile. Harry Jacobs,'manager of the defendant company, said the company had a mortgage over the car and the plaintiff was paying £7/10/- a month

by way of interest and reduction ot the purchase price. The car was seized at the police station after Mrs Wills had been arrested (in connection with the notorious Skiftner burglaries). She had told witness it was no further use to her. Certain parts were missing. When the car was sold by auction in August, 1927, witness bought it in his personal capacity and gave instructions later for its re-sale for which he received a cheque for £167 (after £lB auctioneer’s commission was deducted). The total profit from that transaction and for the sale of another car was £97/8/-. He divided this equally between his wife and his mother. His Honor asked witness how he accounted for banking with the company the cheque for £167, which he said was his private property. Witness, who hesitated to reply said surplus moneys were at times paid into ithe company. It was really a family company. His Honor: You enter your private cash in the company’s records and expect the Court to believe that you pay it into your current account? Pooh.

I would not believe it. Do you think the Court is a fool? An order was made for the defendant company to account to the registrar for the profits on the October sale, and also for' the payment of the profits with interest at six per cent, to the plaintiff. His Honor added that if necessary he would rule the case was a proper one for trial in the Supreme Court, and not in the Magistrate’s Court.