SUPREME COURT.

Grey River Argus, Volume XIV, Issue 1757, 23 March 1874, Page 2

SUPREME COURT.

Satukd-ay, March 21. (Before his Honor Mr Justice Richmond.) [from our special reporter.] conspiracy. The trial of James and John Hayes, for conspiracy to defraud, on May 29, the creditors of James Hayes was commenced at Hokitika this morning, and in pursuance of the conspiracy with causing certain goods to be cairied away. A. second indictment charged the prisoners with conspiracy to defraud the said creditors of a book debt, causing a false statement of settlement of account to be made between them. Mr South, witt whom was Mr Button, appeared for the Crown, and Messrs Pitt, Guinness, and Staite for the prisoners, the first-named for James Hayes, and the two latter for John Hayes. All witnesses were ordered out of Court. A considerable time was occupied in the empannelling.of a jury, there being no less than twenty-one challenges. Ultimately the following jury was sworn — W. R>. Goodrich (foreman), Jas. Atkinson, Barth, Dowell, Charles Macduff, Thomas Gibson, Thomas Cooke, Wm. Davenham, W. Meyer, J. M'Gann, John Cavill, Philip Sim, and James Carson. The name of Patrick Ryan, one of the Crown witnesses, who had been bound over to appear, was then called, but tbe witness did not appear. On the application of the Crown Prosecutor hia recognisances were estreated. Mr South said that the Crown had very strong reason for supposing that this witness had been kept out of the way by the prisoners, as he was a very material witness for the prosecution. In his. absence he should apply to have an original letter of Ryan's put in, and. his depositions in the other Court read. He desired to go into this matter now, as unless Ryan's evidence was forthcoming, he could not comment fully on the case to the jury. There was a case which showed what had been done in a very similar case in 9 . Carrington and Payne, 228. There was a second case in the same volume, p. 461, when the Jtfllgti K said that if it had been proved that Qxr witness had been kept out ot the way- on behalf of- the prisoner, he would have- , allowed her deposition in the other Court to have been given against them. This was, however, not done, but he (Mr South,) now proposed to show. that this wituess had been kept out of the way, and with that object he asked to be allowed to put in Ryan's letter, and have, his depositions read. The letter was, addressed to John Hayes,, and Ryan was. the servant and shopman of J,ames, Hayeg. , The Judge said that th,e Crown shomld first put in som.e evidence that Ryan was. Hayea's servant, The following preliminary evidence was then given on behalf of the Crown. C. E. Warner : I am a solictor of the Supreme Court in practice at Greymouth. I am at the present time a partner of Mr Arthur Guinness. I know a man who passed by the name of Patrick Ryan. I do not know that he was in the employ of James Hayes. I was not to my recollection present in the District Court, Greymouth, when he swore that he was in Hayes's employ. I believe he was a clerk or something of that kind. I saw him in Greymouth, but never before. He is a tall man, with reddish whiskers. I sKould guess it was about eights weeks qgo, th>t' \ sa,w tym, '$t was at the "time Hayeshi matter was before the District Court. It might have been October. I cannot recollect whether it was in the evening or the daytime. I recollect his coming out of ray office in Greymouth about 9 o'clock at night, but I cannot say that this was in October. Mr Guinness was then acting for James Hayes. J w^s then managing clerk for Mj Guinness.. Ryan merely wished.to see Mr Guinness. He came in, took a seat, and said that he would wait for Mr Guinness. He merely asked me when Mr Guinness would be in. About that period I saw Ryan several times. As to his being bound over to give evidence on this trial, no communication passed between us whatever, as 1 was not attending, to this case. I was to arid fro from the Court when other charges were being heard against Hayeg in- thp Xjisincr Qourt. r say distinctly jdo not recollect any communication passing between^^fcx and myself as to his giving evidetT^k this case. lam not sure whether or^not that night to which I referred was the last time I saw him. lam sure I have not seen him during the last three or four months. By Mr Staite : The cases alluded to against Hayes were charges of fraudulent bankruptcy, on one of which prisoner was acquitted, and the other was withdrawn. Mr South said he was acting under certain instructions, and it appeared he had failed, and he had nothing more to[ adduce on this point.' Mr Patrick Ryan had been called upp.n to appear, and dM not. Nothing had jseen seen of him since the- night alluded' tb c by Mr Warner 'ifi his evidence, which was perfectly reliable. 1 He was desirous of getting Ryan's letter in. '..''.. His Honor said that the fetter could not' be evidence, as it might be pure fiction. - ' ' .:• Mr South wished to pus another ques*^ tion to Mr Warner— "Whether ho $fi&ir where Ryan was now .?" o~ Mr Warner said he did not. Mr South said as to Mr Pitt's expressed desire to have Ryan here, Mr Pitt could obtain his evidence by allowing Ryan's depositions to be put in and read. Mr Pitt would certainly not ponsejit. Mr South had anticipated di-ffe'rent evidence from Mr Warner, and as this case had now assumed a somewhat unprecedented position, he would desire an opportunity of consulting with his learned friend for ten minutes. No objection being raised, a short adjournment was allowed. On the Court resuming, Mr Button opened tbe case for the' Crown at coniider-i able length, commenting upon the nature of the crimes charged, and upon the evidence in support of the charges which would be offered in the absence of Piatritik Ryan. ' "; "' •" vJ. S. M. Thompson: lam partner in the firm of Thompson, Smith, and Barkley, of Greymouth. I know the prisbhers. James Hayes has dealt with us since December, 1868. In January, 1873, he was carrying on business at Ahaura, Reefton, and Half-Ounce. His stock amounted to L3BOO, as by statement made to myself. His book debts were about LBQO, The stores were not tafcen into account. I took possession of the Ahaura store on 26th July, 1873> and 1 of

the Reefton atore on 28th July. I took possession under an assignment by James Hayes for the benefit of hia creditors. The occasion on which I inquired his position in January he owed us over L3OOO, and he was stated to have been robbed of a quantity of gold. When I took possession of the two stores I found stock to the amount of LI7OO or a little over. Ho told me he l\ad disposed of the Half-Ounce atore to hia brother, ao I did not at that time take possession of it, but did so about a month afterwards. When I took possession of the Ahaura store James Hayes handed me the day-book aud ledger (marked A and B). In B there is an entry on folio 304 of goods sold to John Hayes in 1873, from 29th May to 18th July, to the amount of L 674 123 2d. This is the last entry in the books. The whole of the entries on this page appear to have been made at the same time. I think they are traceable in the day-book, there is an amount credited as contra account of L 646. In January, 1873, James Hayes began to get behind in his payments to my firm. I began to press him for payment from that date, and in the first week of Jnly I pressed him more strongly, and took out a writ for him. On the 2nd July he owed us L 2400. He owed our Melbourne firm about L 900; that firoi was Ross and Glendinning. This he told me himself when I took possessiou at Reefton. I spoke to him when I took possession at Ahaura about the settlement with John Hayes. I asked him particulars, becawse I never knew before there was any debt betrceen them, he having told me in January that he did not owe his brother John anything. Mr Staite objected that until the Crown had produced some evidence of the conspiracy he was not entitled to produce any evidence against John Hayes. His Honor held that the evidence was admissible, but instructed the jury that i they must not take any statement of James Hayes as criminating his brother John, as such statements might have been false. The witneas resumed : John Hayes stated to me that that account was correct _^ as credited on the Ahaura ledger. He did !""*" not'say when it was credited. I believe ! he showed me a copy of the account in the day-book, which contains a statement of the contra account. It was at Reefton on July 26 that James Hayes stated that he owed his brother this sum. He repeated this statement to me at Reefton. He said there was L2OO cash lent, and the balance for wages. \ asked him for the time during which the debt for wages was inpurred. He made it about two years and six months— 26 weeks at L 3, and a year at L 4 10s, as storeman. % afterwards heard John Hayes's statement in the Court Sk% Greymouth, He made the time shorter, The Half-Ounce books make the time six months shorter. These 1 got from James Hayes after I had taken posseßsion. The only entry against John Hayes while he was with his brother is 20s, on the Ist Jnly, 1873, in the Ahaura , books. This was at the time John was keeping the Half-Ounce store .for himself. The amount does not appear in the settle- '•■ ment two days afterwards. I told James positively on the Ist or 2nd I should proceed against him, and on the 3rd the settlement is dated. There is do entry of the purchase by John of the Half-Ounce store. Jt formerly belonged to James Payes, and wa.3 claimed by J,ohn shortly after I tpofc possession in August, 1873. I heard John Hayes asked to account for his possession of the store. This was in the District Court last August. He refused to give any information about it. On that occasion he stated that he had had LIOO cash from his brother, and that that was all the money he had ever got from him. Amongst the papers at Ahaura I found the receipt produced, dated 16th May, 18?3, for a registered letter received from John Hayes, and addressed to Michael Rouse, Hokitika. John Hayes was asked to state the contents of the letter, and declined to answer. It was just after hi 3 return from Melbourne, where he had been f6ur or five weeks. The Court then adjourned for an hour, the Judge charging the jurymen to take particular care on the occasion of their dismissal in the evening not to express ppiijioh's upon the case, or confer with people outside. He did not intend to keep people from their homes, although it.was unlikely that the case would be conthat afternoon. On the Court resuming, the witness continued : When I took possession I found stock at Half-Ounce which was never entered in either the Reefton or Ahaura books, viz., coats, vests, riding pants, bnots, and some silks. These were all in excess of those entered in the books. John Hayes stated that all the goods he had at Half-Ounce were got from his brother. James Hayes said that all the goods that went there were entered. In August I had a conversation with John about his settlement with James. I think he showed me a, copy of the statement in the Ahaura day-book. The book showedf me (marked G) is the Bjeefton day-book, whice I received from James Hayes at Reefton. There is an entry on July Dto the amount of L2B 13s 5d against John Hayes. The class of goods is stated. They could have been packed in a case measuring 19 or 15ft. There ia no. entry besides tnese 'between 20th Jfune and 18th July. On the 18th "July there ia an entry of a piece of calico (fifty yards) would be* in a flat parcel. In Hayea stated to me that he not make an assignment to the PPffitriment of hia other creditors, although I offered to endorse hia other outstanding hffls to L4OO or LjjOO. Tn J/uly, J. ames Hayes come to town to see me about his. account, and I spoke to him about the position of his creditors, and pressed him to see Sargood and Co. 'a representative, they being his next largest creditors. He made no promise to me at that time. He left me with the understanding that he would see Mr Chapman, Sargood's trayeller. about the position pf his estate. He then returned to the Ahaura. He never corresp'ondecl with me afterwards. He was served with the' writ about Jfuly 18. He then went to his solicitor.' Mr JJewton, to whqse office I went to see Hayes. I then offered to take an assignment for the benefit of his creditors generally if he gave it immediately. He declined to do this, and went to the Ahaura the same night. He came down about the 24th. During this time I saw Mr Newton almost daily, who offered on behalf oj Mr Hayes to give 7s 6d in the pound. ] think it was 5s first, and afterwards 7s 6d, As Hayes had to}d me Ms estate ws wortl tiiore than 20s I refused the offer. I H< was 1 down one day before the asaignmen was executed— on the 26th. Thete is ai entry of apiece of carpet (}4 yards) bol<

by James to John Hayes on June 29th. Immediately 1 showed John Hayes my authority for taking possession of the Half-Ounce store, he said he would refuse to give it. 1 told him I would not ask, for I would take possession. Immediately afterward [he removed a roll of papers from a hat-box, and went into the cottage. I saw nothing more of the papers Examined by Mr Pitt : I took possession of John Hayes's store at Half-Ounce some time in August. I walked in. After I took possession the first time John Hayes resumed possession. I had a telegram from Steel, who was in possession, and one from Mr Wakefield. I was informed he had resumed possession. I then had him arrested on the charge of conspiracy, and while he was under arrest I took possession again. The actuating reason for which I did not take 7s 6d a3 offered was that he represented his estate to be worth 20s. I did not take the writ out until July. It was not served till then, but taken out in June. I carried the writ some days in my pocket, but did not show it to anyone. On my way to Reefton I met James Hayes somewhere about Square Town, I merely spoke to him, and had no conversation and business. I did not want to serve the writ until 1 saw whether I could get a further payment from him which he had promised faithfully to make. From January to July we had been materially reducing his account. He had paid off between L6OO L7OO. I first saw him after the gold robbery at the Ahanra. I went up to Reefton to ascertsin his position after the robbery. Afterwards I went up to get a bill of sale from him. I did not then know the amount of the debt to Sargood and Boss and Glendinning. I believe he took advice as to the subject. He told me he could not assign to my firm, as it would be a fraud upon his other creditors. I did nothing further until June, when the writ was taken out. He was making small payments during this time, about LIOO a month, although he had previously paid L3OO. He pleaded depression of times. I first learned in 1872 that Hayes was buying from other houses. He complained of the prices we charged. I never heard that the registered letter contained money. The entry in the day book of the settlement between the brothers is in Patrick Ryan's handwriting. John Hayes either showed me a copy of this, or said that it was correct. I knew about the LIOO at the time John Hayes was searched some time in March, when he went out by the steamer. I was on the steamer, and was told that he was searched. There were nearly LIOO found on him, By the Judge : James Hayes told me that when he went into business in 1868 his brother lent him L2OO. He told me this when I took possession. John never made any statement to me concerning the items of the L 646 contra account. By Mr Pitt : I have not heard in what form the money found on John Hayes when searched was. I have never seen any passengers leaving Greymouth searched. I could only give a hearsay reason for the search. Mr Maclean was appointed ope of the trustees under the assignment. I went up to the Ahaura immediately, and he followed me a day or two afterwards to help me in taking possession. I did not move the stock about fiom different stores. After 1 took possession of the Half-Ounce 3tock I moved it the Ahaura. The order to take possession of the HalfOunce store was framed by the Trustee in Bankruptcy. lam not aware that James Hayes went to Melbourne to consult Messrs Sargood. lam certain he did not, as he had previously executed a deed of assignment to us. There was a good deal of negotiation about the deed. I would not have anything put into the deed which could prevent me from taking further proceedings. There was a minor difficulty concerning his wife's clothing. Goodall was present at a conversation I had with John Hayes in the middle of Half -Ounce, about the goods he had got from his brother. T>is was at the time John Hayes was arrested. Goodall went to HalkOunoe with me. Davis was there also, and I think another man. They were going to arrest John Hayes. Examined by Mr Guinness : I have not the particulars in writing of Hayes's statement to me in January. The stock was then L3BOO. I found only LI7OO odd when I took possession, LI3OQ at Reefton and L4OO at Ahaura. Mr Maclean employed Mr Hislop to assist us in taking stock. He had assisted Hayes to take stock a short time before. He had not the stock sheets to make up. I do not know that he ever added a single column.' I am almost certain he had not all the sheets together. He did not enter any-

thing like the third of them. I will not swear I did not show the sheets to him. I recollect speaking to Hislop about the case. lam certain I never offered to bet on the case. I have no recollection of making any statement that it would be worth my while to give a sum of money to get a conviction in this case. In January he Baid he owed his brother nothing, and in July he told me about this settlement. I did not then remind him of his statement in January. I thought there was no reason for my doing so. My reason for refusal of Hayes offer was that T wished to punish him. The estate went to the highest tenderer. The tenders were based upon the stock sheets taken by us. In December, 1868, when James Hayes opened an account with us, he paid us Ll5O cash on December 4, and we gave him credit for about L4OO. I never heard that the LI 50 was lent him by his brother to start in business. The L2OO which has been so frequently referred to I first heard of when took possession at Half-Ounce. I know the witness Ryan. I employed him for a few days taking stock. I did not keep Ryan in Greymouth. I paid a bill of some LI 2 at an hotel as he had no money. 1 have not refused to pay him the amount of his claim against the estate. I believe the trustee has neglected this claim. I know Ryan's character, or I believe you made him swear a great deal that was not the case. John George Heslop : I am a storekeeper, residing at Reefton, and know the prisoners. James Hayes had a store at Reefton some time ago. About the end of June last I was with him on the Buller raad. I had some conversation with him about his business. I fixed the time in the other Court that it was shortly before Wakefield came to Reefton. J could not tell when Wakefield came to Reefton. I did fix the date before. I had several conversations with Hayes about his business. He was speaking about the creditors being likely to press him, and he asked me if he had sold goods to his brother could the creditors do anything to him. I replied no, provided the transaction was a hona fide one. To which he replied it was. About the time Wakefield came up I heard packing going on at Hayes's store at Reefton. I lived next door. It was at night. I think on a Friday. This was months later than the conversation. I went into the store while this packing was going on, and saw a case being packed, which might measure up to a ton. I went in next morning to ask for the carriage of it. The case was partly full when I went in. They were packing general drapery goods into it. There were some silks there, and some other goods besides. They were laid on a tin case. The silks were resting by themselves at the time. I should suppose there were four or five or six pieces, but cannot be positive. It would be possible to put Ll6O worth of goods in the ose. If they were all of the class I saw I dare say the case would hold LBO worth. On my previous examinations at Cobden I said the case would hold LIOO to Ll5O worth of ordinary goods. It would be possible to put much more valuable goods into such a case. The packing I spoke of continued all night. I saw the case next morning, fastened ready for tr ansit, and a piece of druggeting on it. I clipped it off when I asked for the freight of the case. I was a carrier to the Ahaura. I believe Mitchell got the carriage of it. I saw a case put on his dray, which I would suppose was the same case I saw the night before. I believe this was on the Sunday morning. James Hayes had then left Reefton. He afterwards returned. I was employed by the trustees to take stock. James Hayes did not at that time say anything to me about a warrant. He afterwards asked me "if there were more feoods in John Hayes store than were in the invoice could they get a search-warrant, because there were some goods not entered to John Hayes which were accounted for in a settlement between them." [A portion of the witness's depositions before the Magistrate at Cobden was here read.] 'Witness continued : I had a further conversation with the prisoner. He said something to me about some silk dresses ' which he said were in John Hayes's store, and had not been charged for. I think he said he would have them removed. A day or two afterwards he went away somewhere. Ido not know whore. Ido 'not know that he had the goods removed while he was away. It was here pointed out to witness that on a former occasion he had sworn that he believed Hayes told him that he had had the goods removed. Witness stated that he had then said that he was in doubt upon the point. Examination continued : James told me John's stock was worth about LI OOO. By Mr Staitp : I was examined by the Trustee in Bankruptcy. I have been examined very much about this. I never acted as agent for the trustee. I was employed by them to take stock. Mr Perkins examined meat Cobden. He was very rude ; worse than Mr Button has been to-day. When the packing was going on I went in without knocking. There was someone else there then. Hayes had a good stock for a digging township. The case I spoke of would have held About L3O worth -of common good 3. It is (quite ÜBual for drapers to pack goods at night. Mr Thompson has never said anything to me about what he would do for me if he got a conviction. \ heard him say once that he would give L2OO to catch him. This was whilst Hayes was in Reefton. Thompson got Hayes's stock. A man in charge of a drapery establishment should get L 6 a week. L 3 and L 4 10s per week am very reasonable rates. In taking (stock for the trustees, as written down, the stock at Reefton came to L 1760. „ I/ tendered for the stock, and copied the * whole of the stock lists and papers, and made my calculations. When the stock was written down the extensions were not made in Reefton ; they wera taken down and afterwards returned. tie-examined by Mr Button: 1 tendered in two ways for two amounts, one was I&4Q, and the other L 620. There was Llf<fiG, exclusive of book debte, in the .stock. I mad£ a bet with Mr Thompson before we took stock that it would not go over L 1.500, .and it won the hat. Some other goods came in afterwards, a sewingmachine, and a case of goods which were not then there. It was from Mr Macleau J won the hat. . ... TheOaurt them adjourned until Monday,

IChe Pretender to, the throne of Mo- , ; 'Jfooo bear* the appropriate name of Ben Sliman.