SCOTTISH M’s P. CONVICTED

Greymouth Evening Star, 26 December 1934, Page 5

SCOTTISH M’s P. CONVICTED

GLASGOW LOTTERY FRAUD FICTITIOUS COMPANIES [BY CABLE —PBESS ASSN. —OOPYBIGHT.] LONDON, December 24. Herbert, Moss, M.P., was. fined £5O or in. default three months’ imprisonment.; another member of the House of Commons, W. P. Templeton, was fined £25, or in default, three months’; an ex-Councillor, Thomas MacKenzie, was fined £lO or in default thirty days’; and Mrs. M. H. MacDonald was admonished, when they were charged at the Glasgow Sheriff’s Court with contravening the Lotteries Act under the auspices of the School of Arts Union.

Mr. J. Baxter, a member of the National Liberal Club, pleaded not guilty. He will be tried on January 10. Sheriff Robertson declared the scheme to be a swindle. There was evidence that the Union had violated its constitution, and had forfeited the Board of Trade sanction, of which the accused had been warned. He

said that some mysterious person had started this scheme at London, and had interested two artists in it. Three fictitious companies were formed. Moss became chairman of the School of Art, and imported Templeton, who brought in MacKenzie. Mrs. MacDonald was office assistant. Two thousand five hundred pounds, allegedly, deposited in the name of the fictitious companies, was withdrawn. Seven hundred and thirty-five thousand appeals for subscriptions were .sent out. Forty-four thousand letters were returned. Some people had sent 12/6, others from 5/- to 10/-, the total amount sent being about £lO,OOO. One thousand two hundred and forty-six pound was lodged, while £1,226 was

drawn out of the Union’s bank account. The balance-sheet, which, allegedly, was untrustworthy, showed that £5OOO had been received, and had almost entirely been disbursed in expenses, showing a net loss of £2276, bjit £3,700 had, admittedly, never been paid into the bank account. The accused bought a number of pictures at 22/6 and 27/6 apiece, some of the prize winners of which felt that they were unfortunate. Moss was the head and brains of the venture. He had acted with a full knowledge of the situation.