BIG FRAUDS

Hawera Star, Volume XLV, 22 January 1926, Page 5

BIG FRAUDS

FIFTY-ONE CHARGES. HALF A MILLION INVOLVED THREE BROTHERS CONVICTED. BY CABLE —PRESS ASSOCIATION —COPY RIGHT. (Received Jan. 22, 10.30 a.m.) LONDON, Jan. 21. Three brothers, Alexis, Walter and Henry Manderville, have each been awarded six years’ penal servitude on 51 charges of conspiracy to obtain large sums of money by false pretences. They pleaded guilty to 12 charges. The prosecution said that the brothers, through advertisements, circulars, and the newspaper Financial Mail (which Alexis edited and in connection with which he had formed a company) induced the public to buy stocks and shares. The company in 1919 showed a loss of £50,000, but nevertheless declared a dividend of 30 per cent from money paid by subsequent subscription. During the year 1918-21 the Mandervilles received from the public £511,800, of which £31,200 was paid to the Mail Company, and the balance was misappropriated to their own use. All the brothers maintained expensive establishments. It was also recalled that the Mandcrvilles’ “bucket shops” failed in 1909. with liabilities totalling £424.000 and assets amounting to £6O. It was imnossihle to say the extent to which the public was defrauded in the present case, hut £500,000 would he a modest estimate.—Sydney Sun Cable.