BLACK MARKET

Grey River Argus, 21 March 1945, Page 3

BLACK MARKET

In N.Z. Land Dealing MINISTER’S WARNING. [Special to “Argus’’]. WESTPORT. March 20. In reply to a question regarding the commission of offences under tae Servicemen’s Settlement and LM™ Sales Act. the Minister of Rehabih.ation. Hon. C. F. Skinner, in a statement to-day, said that it would be advisable that the public should be made to know that, under Section 6S of the Servicemen’s Settlement and Land Sales Act. as originally passed, it was an offence for a person to make a wilful, false, or misleading statement or omission in regard to his ap 1 - plication to a Land Sales Committee, and a penalty of three months’ imprisonment, or a heavy fine, or both, were provided. It was necessary, however, that definite evidence should be available of an intention to deceive. In some cases it had been alleged that “black market’’ payments had been made after a committee’s decision had been given, but no action could be taken in these nases, because of an impossibility of proving that the persons concerned had a- prior intention of making illegal payments. By Section 14 of the Land Laws Amendment Act, 1944, the Minister said, it was an offence to offer to make any illegal payment or arrangement, or to try to persuade anyone else to do so, either before or after the hearing of an application, 'rhe wording was wide enough to include agents as veil as principals, vendors as well as purchasers, and lessors as well as lessees. In fact it stopped just short of making it an offence even to think of giving or getting payment other than the consideration in excess of the amount fixed bj' the Land Sales Court. The section gave power to check suggestions of payment as well as actual payment, at any stage, whether before, during, or after an application to a committee had been lodged, and it should cover all types of transactions, such as a purchaser paying an outrageous sum for a doormat or a clothes line, as had been reported to have occurred in Australia in recent property and house sales there. There was difficulty in obtaining proof in such cases, the Minister added, but with a widening of the definition, of offence, many more opportunities would occur for ascertaining and getting evidence of offence or evasion. The Government was determined to stamp out a practice which, if permitted to grow, could stullify .the whole of the Act, and remove the protection which it offered the community. Purchasers would refuse to be parties to any such unlawful transaction, and report immediately any attempt to get them involved. The practice would die forthwith. The Minister added that, apart from public duty, a purchaser should realise that if he paid more than the figure the committee put on property, and at a later date was compelled to sell, he must find someone equally foolish, or else lose the extra sum he had paid.