DIRECTOR ACCUSED

Greymouth Evening Star, 23 November 1943, Page 4

DIRECTOR ACCUSED

FALSE BALANCE SHEETS?

DUNEDIN, November 22. , The hearing of several charges of false pretences and publishing taise balance-sheets against Stanley Reginald Burns, a company director, formerly of Dunedin, was commenced in the Supreme Court to-day before Mr Justice Kennedy and a special jury oT 12 The Crown Prosecutor, Mr F. B. Adams, appeared ior the Crown, and accused was represented bv Mr C. S. ol Christchurch, and Mr G. V. Murdoch. Mr Adams said the case would be long and complicated, and asked that the jury be provided with typewritten copies of the indictment, and also with copies of the balancesheets involved in the charges. His Honour agreed to counsel’s request. The reading of the full indictment by the registrar occupied about 12 minutes. Opening the case for the Crown, Mr Adams said that of 12 charges, six related to false pretences, and the other six to the making and circulating of false balance-sheets of S. R, Burns and Company. The company was incorporated in 1934. Tbe business of the concern was the promoting and financing of companies, accused being chairman of directors and managing director. The company’s balance-sheet maintained an “air of prosperity,” with one partial exception. The 1939 balance-sheet disclosed that the paid-up capital ol the company stood at £37,461. The total amount at stake on the part of sareholders was £38,827. Real assets were shown to be £42,024. “We have two letters written by accused to one Facer, of Christchurch, the first dated September 26, 1939, and the other October 20, 1939,” Mr Adams said. The letters had been written two and three months after the company’s balance-sheet had been approved by the directors, and yet the letters disclosed that it was false to the extent of almost £33,000. Mr Adams had not completed his address when uie Court adjourned until to-morrow. DUNEDIN, November 23. The trial of Stanley Reginald Burns on charges of publishing, false balance sheets and false pretences was continued to-day. The Crown Prosecutor, Mr. F. B. Adams, after speaking for nearly seven hours, had not completed his opening address at the lunch adjournment. He reviewed Burns’ transactions in detail and said they constituted deliberate, callous and brutal fraud. These transactions involved what counsel ’ described as masked and disguised ramifications.