RESIDENT MAGISTRATE'S COURT

Inangahua Times, Volume V, Issue 49, 28 June 1878, Page 2

RESIDENT MAGISTRATE'S COURT

Tve!ii?ax, 25th Jpnji, 1,878. (Boforc E. Shaw, Esq., R.M.). ■ RAiTiTBt v Ctiin'onn,. Tbo. dofondant was cbnr«bd upon tbo information of R, W, Raitbby, with writing, and publishing a falso nnd do* fnmatory libel. The libel complained of whr contninod in a lottor, published in the Inan3;AIIVA 'Ames, Mi' Reid oponod tho caso briefly and called tbo following ovidonco— Mark Dornon — J am a bootmaker ro« siding iv Koefton* 5 was a shareholder , rin tbo DoOinnoo Con?,aiiy. I. bold HO i share* } X rocolloo,t tho, l,imo.of tho lit.inai ii;on botweon tfakor, Lywoh an.d othors ; ][ cannot rocol loot tho nwAth, l>ufc rocol- ! loot the case coming on,!. Find a convert salion with Mirfiti about <,bo 2nd day of tbo trial. Ho, wns a director of tbo company. Ho ca,inp m,Q, ».t Budge's bi ft shop.

Mr Mohh objected to tbo oviJonoo boiup; given. Aii- Roid ropHecl, concluding by rottinrkinit iltul tfiouwh ltniilihy was tha informant in tbo case, Davios was in* structing counsel, His Worship said that Raitbby was acousod of entering into a conspiracy with Mii-fin, Davios, and Quinnosa. It was thoreforo quito competent far tho dofonoo, undor tho ploa put in, to oaU ovidonoo in proof of that accusation, Tho writer of tbo letter allogod ft conspiracy botwoon tho whole of tho parties named, and it was competent thoroforo for tho dofonco to Bhowjtbat they wore aotuatod for n oomnjQn purpose* Mr Moss still objooted to tbo admission of conversations botweon Wivlhx and any other person. Mr lUU\ said a ohnrpjo hud boon made, nnd tha Oourt had to. enquire into tbo vrholo truth or falsity of tbo ohargo. Ho could not understand tho anxioty of tbo prosooution to avoid tho onrniiry. Mr Monn did not wnut to, aco ivrcloyant mutter introduced. Mr 'Reid: finul conspiracy was allopjod,, aud tho only w,ay to, pvovo. that wan by enquiring into tl\o wholo of tbo facts., Mon consipirinpt togothon fornn illegal purpose, did, n,ot ro into, tho atrootn. aud proclaim tho conspiracy, I His Worship—Conspiracy involved a oonsoquonce,, and v serious ponalty. Nosy what is, there to support it ft , M.r Roid-— Tho salaof tbo proporty At' a notoriously inadequate price. , His Worship,-- J.u that fact capable of proof P Mr Koicl—Yof. Hia Worship-^Tbort lho.ro is tho key stone. Why not proyo tbo ovorl; act! flr.it P< .1, w.iU no,t atop lUo .examination ; at present. Mr Moan—Will your Worship, mako a note of my objection,. Jfis Woriibip—*No. % cannot record, counsel,'" objections in tbo expositions. lamination continued-r-Mirfln oa,mo ; to tbo shop to mo. I asked, him h«vv tbo' oaao of Raker and>,Co.. v^ tl\o,'|).ol?anoo ; Company w,an pjottinVon,. •'^batcjißc^^ 1 for tho rocovory of for/eitod shares.., i J,Jo ; Haul thn,t they, meaning' 'Ba,kei; an,d' ! Company, T?bo woro siting for tbo altarcs; coiv'd (tot nptb.inj( a,« they (t lw director;!)) had tnkoa Uwo by thfll i fowWc and disposed; of tbo ftofl,anoo p?o*J pcrty. X didi not a»k biro, tbo price, 1 know, the property was Hold, for £'ftOO. ; X[ do n,ot consider that W,'** a fair price,, % lyul refused Q,l o,d fo» my fthMo.^wJ^ero woro %4.000 i sharou in, tbo Company/' wiiyj wns about /fti< or soyon wook,tt before the., Ijiw proceedings. I consist tlip )wvo jstHfcod vu-y i,nnde^uiito oerlojuly. I ankod, : M.irflu bow it wou.ld \)fi thi'to* monu,in,g : l ho rthnroholdora of, tho Company, a»,\d h.o ; said i,t woujd oil come, vigb.t in tbo. end/ nnd tbo less q^tigrt'onft aaltod o,boi|t it tbo. boltor. Thftt'ij, nit that pnssod. Ho tb,on i loft ;, I tbonKht U would, bo all ri«bt, and) that I woujd Rot v\y hJuvcos back, a^uin ;, I tbou«bt it was only a s/ilo or, tnml'or until tbo UtißO,tion, w.»h avor I understood i tliia. by liia tolling mo it wou,ld \w u,ll right in tho end,, and thM tbo lohr > tion/i naked, about it tbo botljor. On tbo. day that tbo. directors of tbo .Dt»fi,unoo Oompiiny mot to win,d up tbo Company, .Vtirijii ngnin onra^ to m,o with a proxy, ifo wanted i,t ftllcd u,p in hia oc Shad's favor. Shaw in a diroctoi; nn,(J sbavoboldor ,in tho Co. ;. I aaked him what time. tbo. ra,oofciuff waa to tnko placo as I migbt at» tondi mysolf. Ho aaidi it did not matter wbothor I fUtondod or not as I bad rolu.sod to sign t)>o proxy, ns tboy woro nil on, bia sido o^oopt J^nyfcild and CanApbclli. Tbo Compnny for mod y I did, not (juko up n,ny ftbax'oß iv tbo now Oompnny, but .DavioH told mo tlmt I could goc thorn by np[ilying to liaitliUy. i[o did not say havy m,iny. I did not say J, won,ld ljak;o thorn, but .II did not aftorwardu bolhor about thorn ; I took a 3d diyidond from tho. J)«fi.anoo Company, lfo tojd mo that tbo old Com-? pany bad boon wound tip', and, that tboro , was a 3d dividond coming, and if ]j tooji; | tbo now Rbaros tlioy would on,ly cost m,q , ]>d „ I did not know bow tho enso stood at tbo timo so I could not toll tbo valuo of tho aharos, but I bad refused (J* C;J for. thorn. ; Mr Boidi horo movod for loavo to add to tbo declaration tho words* "• and word Justified/* ; Mr Moss, objjaotodi ta amondtnonfc on, ' tbo ground that it couldi not bo supported Iby authority,, Tbo ploa of justification oould not bo onfcorod into, oron in a Supro<no Court. J|o citod tho, oaso of ; Wilnjot vi Hurmor,, urginc that to supn port tho ploft of |ustifioation, tho ovidoneo on that boad would bavo to bo BufH« oicnt to sustain a chargo of oonspirnoy , ngaiast tho. prosocutor,, and oonflCfj,uont!y tlmt Much ovidonoo oould not bo givop, ; oithov in a Magistrate's or Polioo Court. : Mr Iteid ropliod at som,o longth, nnd bia Worship finally dooidod to admit *ho [ Qvidonoo tondorod for tbo dofonco, i Examination continued— . ;;avo similar ovidonco to, this on a provioua onq,uiry, That was in tho. ooso of ClifFord v llaitbby. and Company. Clifford was proflont at tbo timo. I havo not voad tho libol^ irhH pu,tocl against defendant [iottor road.]; Having hon,rd tha lottcr road in nfy ppiaion, tlvoao vemarlta woro justifiable boonuso tbo salio, of property vft« n,ojb r tafciMwito opo. na it was much under value. In my opinion tlj,o snl.o war mado to Raithby merely to avoid tho claims of others, and te V r ,°^<?».<i rc(?Q,v<?r,in^ l<hpv

shares. I oonsidor tho proporiy ( wnß just, transferred to Kiiithhy to avoid Bukor and others, and that as soon as tho pro* porty was out of Bnkor's power that tho sho-eholdor* in tbo old Company would got thoir sharos back again,. By tho Bench— Tho matter wa» a bonoftoial affair-Jo bcm'flt tho Company-*a conspiracy to benefit the sharoholdors. Examination continued— By the trana* for Balcor, I^ynch and others woro unnblo to got thoir shares. I boliovo that Bnkor and othors woro shareholders, but thoir namop had not boon properly forfoitod. I am still of opinion, up t<x tho prosont raomont that tho sal o to llaithhy was meroly to dofent Iho claim of Bakor and others, Mr Moss declined to croflß#oxamino tho witness, ; Arthur D'Oyloy Bayfoild— l was a shareholder in tho Company ; % hold 12013 i shared in my namo, 295 of whioh bolongod to mysolf.. In August hist I hoard of njmlo of tho .Defiance Company's property, and thoronpon saw nonio of tho diroctors about it ; I sow Shaw and Tapley.' Later on I saw Davios tho manager of tl o Deftanco Company j I spoke, to hi«i in roforonco to my shares /■ I asJ»ed him nhorlV-iaros in tho Victory Company^ Il'o. ttsied whothcr I had bought any i I snid; no, but that I heard I hat old Bharoholdk%,, "> tho %ftiynoo Compnny* wero gotii^^iW^rnthi^Vl^ lory Company, in- lion'*of thoir interest in ihnDefiiinco. Ho r.i?|>liod that somo of them wero } I nski'iU whclhor' I. was to hnvo mine, and ho «n|l he did not know, nnd naked whHthor. % ha.d soon Untthby; Ho referred to llnij.lijby who is, tho infornwnfc in I hfl prosput ca-so ;• I said 1 hnd riot, Ho then Rnjd. I had tatlw «co Kailliby, ns ho (T)nViea) knew nothing about i(;. On the Irtih Scp'omhor I saw Kniihbyand nnlced him whether ho hnd nny shnros in thoVoftory Company, whioh I could tnko up. 1H «|nid lio know nothing nbouifc mo in thoi ; I asked whether ho was npfc^vinß Victory sharesto old Hjinreliolditi'B jn jtho Drfinnce; ho snid he. knew n.ptbinghboijt the Dcfianoo ; Ihon itßked'wlwther }\& hjitj shares' in tho Victory Compnny fof rJUpo!w!,n»d ho repliod tKat Koithiid n6t v nt, t present j 'had rooi) Uaithby previously,^in Auuunt, aftor I b,w?4 P tWMtlb i I thotl trtld him Hind heard of , t|ie a»lo jot; tho Defiance, and an id t itUomrhk- h«< jnlglit got intotroubto about it, na/i aakodj ,|bout my intorost, My voavms for thinking that ho miuht Ijot iii,to. troublrt Wiv , [that I was a shareholder in tho Dj'f unco Company, and thnt !■■ looked 'u|^»r r tha snlo ns nn improper transaction^ fiub<ieq,iiontly t in tbo sumo converse t)o», led mo to boliovo thnt, li eu,old golmy interest in tho l)efi,iincp, HiiH. words woro, w iny ns % can romombor, w.orc, •• it will be '(ill »'i,«lil,' Mibse^nowtly had conyer'tjntibnfl >'^itli Shaw nud Taploy on rtio mnttiK, 'r*iplo.y wua a dirootcr, Tl\,o bint. Qon.vcrsatloh '-wftb Tnploy took pln,oo outside tho C^irt I louso, on the 7th of August, I havo n noto of what occurred nt tho lii Vie { I nsko«l him wb<?tlftei' tho pcfinnce wns ronlly sold. Ho demurred answering 'or a few seconds nnd then Hnid that ho wished I hnd not askod him the question. Jlis WoraHiiiQVfliiirod what Mr Tnploy had to do with tl o alleged conspiracy. I Lin namo was not iijoutioncd in tho letter. Mr UaiA «/»i<J Jio jntondod to go, hoyomi tho nllcgntioiiH contained in Iho loltor. Kjcaminaliou eontinned,--tl replied that ho (Tnploy) know I was a sharnholdor ; ho replied ' yes you hold n good many.'I said I nskod him , feeliiji 1 g RU.ro thnt ho would tell mo tho truth. Ho then s.iid ' it is not no ; : you do not think thnt Gul-j line and I would do such n, thing, tho lonso in trniis'orred to liaithhy to hold fos tho shareholders Rntiernlly, Uu.t not thoso men who nro trying, to jjet thoir Minroa Iwok.. Hy '• thoso mon 1 - ho voforrod to hyndh, Oiillnghnn nnd othorn, who wero standing by, nt the. time ; I thon, said that Iwnn glnd to hour , that much, for from tho first blush, tho thing looked n swindle. Ho thon sni'd ' Oh no wo would novor do that.' 1 I thon askod him whethor ho thought it was a pnfo thing trnnsforring property in that wn'y, nnd ho said that it would bo'nll right. [;£jotfcor roncl.J; iinv. ing heard tho letter road, nud from tho faota within my own knowledge I con-? sidor thnt tho utalemcuit in tho alleged libol, that thoro wn.i a conspiracy botweou Iho directors, of tlib oompnny, nnd tha manager is tiuo j I| cannot say anything a')out Ouinnoßß,but | consider that Mil fin, Davicfl^ and Baithby,! woro engaged in nn impropor transaction^ I conwidor tho at« legation contained in tho lottor ju,<it rond ns truo ' t I did not obnsidor it a fair prioo b,y far ; it was worth eight times ns much, I bnso my estimate] of tho valuo of tho olaim upon tho vnlu^ of shnros thon and now. On August l^th I sold a small lot of Dofianco shares at 4s ; on tho 2nd of August, I sold 350 sharos in l^nt oomN pany for M. In my opinion as a ohnroholdor I do not oonsidcr thnt tho litigation of. Baker nsd otliovs, could rcduoo tho value of tho property to MOO,, At tho timo of tl^2,Ji,l(igg,o[oji,;X.)told Shaw,, ono of the directors of tho oompnny, that I would 'give #1,000. for tho prpporty nt least and )iavo boon yory Rind to got it., It was worth then moro than gKKXX At tho time, tho markot • valuo of tho property was aljouiti rf?4(ooP> A 9 a shjtioholdor I votod and lodged a protest against tho snlo. of tho property, nn,d winding up; I was prosont at thjo finding up mcoting. It wns an oxtriordinary mooting. Tho r.os.o^tipiis, w.oro m.pycd by tho dirootorf.,

1 produce memoranda mudc by mo at, the 1 mooting, from which I am ablo to say . that written resolutions woro put. It is i not unusual to put written resolutions, The roaolutions wcro not written at the mooting so fnr a* I could sop, Tho reso/lutiona woro carried by a largo majority. Ihayo had very little conversation with Clifford, but from my knowledge I nm of opinion that tho statomont contained in tho lcttor is truo ) I gavo tho snmo ovidonco in tho provious ooso. I roooived no dividend out of tho Dftiuico Company ; It was posted to mo but I declined to rocoivo tho amount, stating that it was. my intention to tako stop* to socuro my rights. I sold a smatl lot of Victory shares lost week for 9s 6d, but thoy nro i now obtninnbio at 9s 9d. Valuing tho olaim at £500 would mako tho sharos nt 6d each. Thoro wcro £4,000 sharos in tho Defiance, and 80,000 sharos in tho Victory 1 Company, Had tho Dofiitnco Company existod to iho prosont time, Bharos would hovo been worth 5s Cd ; I base my oslimntoupon that fact, In August tho shares woro sold for 4*. now they nro worth 6s, nnd in tho mounwhile they woro sold fw G'K P. Q, Oaplos was next called, Mr Moss onco moro objected to. tho ovidenoo. Tho Boneh decided to admit aN cvi» | douce Hhowing Justification for tho libel, j > j^lnrirUolo pi' Iho ovidonoo so fur tendered worltfto that poinK 11,I 1 , ty. Capks— l was ft shareholder in tho Defiance Company. I bought in on tho 15th August i I hoard of tho snlo to Ruithby. It was a private- sale, and I did not hoar of tho aalo until it wus over ; I roeoivod a letter from the «wna«or ot < ho Company informing^wo that a final divifiend had boon declared in the Company f I produce tho tattor ; I did not go for tho dividend i I pnid 4i for tho Dcftnnco shares when. I bought thorn, and I con* sidorcd thoy woro worth it. £flOO> wns decidedly not tho value of the mino. On • tho 11th August I wno nt M'Lonn's auction mart, and offered, I think, fls for Dcfliiflco shares. 3j think they woro wi(i>« drawn. Ibid /5s for tho sharos, but somebody bid higher nnd 1 afterward « hoard that tho shares had boon withdrawn, I Haw a nutico in tho Herald' slating thai • *al« by Mt Bo«*w would take place o« tho Mtne day, tmt no hour waa mentiontd,. and Heetei usually fiica the time of hw jTajcs, I made inquiries, and Dawiion told mo" that tho sale took plnco in his hull nnd tliftt v tboro were a very fow perilous prcsont, and that ho (Dnwson) bought somo ; lam siiro that noither plnro not* date was fixed in tho advortisetnont for tho hulo, tho sale miuht havo tako plaoo at tho Ahaura for all tho reader would know. 1 Invo rend tho libellous letter, and 1 consider that tho salo of tho mine was not very cioditnblo to say the lonst of I it. from tin) uircumslancos within my ottii knowledge, as n aharcholdor in iho Defiance Company, 1 am of -opinion that tho defendant \yas justified in writing what ho did in Iho letter coraplainod of. Cross-examined-^-! wuh never in tho mine suioo it full into tho hands o( tho Dofianco Company j I vyns in the mine whan tho B.und of Hopo Company had it. .Rc-cjcnm.ined— rJJ bnsod tho vnlu>i of tho mino at tho price slimes would Moll at any tiuvi through a Urokor. , By tho Court — I c»B»idor tho winp wna sold too cheaply, nnd thnt lawful publicity wus not given to tho anlo to enal^o ollu-i persons to compote fur tho purchaso of tho mine, nttd I consider this was o, fraud on ccrtnin of tho Hhari'hoJders. John J>nwflon— l nm n« hcvtelkeepej residing in Itoefton j. I recollect the sulo of PoHnnco shares taking placo iv my hall by Mr Hooves, homo time, in tho heginw ning of August hist,, Mr Hooves cum© into tho bar and ho snid tho salo was going to commence. |Io did not nsk mo to go in, not to ray knowledgo thnt I remember Crocker wont i»to the hall with me, lie was working as a carpenter there. Crocker and I wont in together, Thoro was aomo odo else iv tho i;oom ; ; I tluak he wo* a carpenter* ho wan working, in tb» hall i ho was iftlhe hall when, wo wop,t in j ho was up in the gallery,, Could not say *vhotlwr the earponter was at w,oik. Tho sluiros woro put u,p.. I)j tho Ooart-mWysolif and tho two oarjioiv tor» and Rcovcs woro tho only porewia in tho room.. Examination continuod— l bid 2t] or 3d for tho nhiirofl, and thoy woro knonkod down to mo for thnft. Nobody olho bwfc I boyght 2000 nt 9;d 1 think $. did noli know what DoAanoo aharos wcro fetching i*\ thfs mnrkot at tho tvino t I van oontont to tako ti&ora, at that, Hoard of nnofhor anlo on tho tafOft dnto j X could not svyonr who the nhnifos bolongod to j I got tho transfer* but oaijnot o^car who wns tho trunnforor ± I pnid Air Boovos fo* tho. 1 slinros, By tho Court— l do »ot rooolloot who. tran*« forrod tho flimrco. Exarainntipn oontinuod — I oannot oay v^liotliCK tho slinroa bolongod to Dnvics i I pnid a deposit on tho fihiii'OA y I did not think tho sluu'os would bo knonkort (low:: to mo at that prwo j whon \ flaw thnt thoro was a lot o/ law about tho uhnros !( snid tkat, I wished | hnd nothing, to do with tho. tnvmmofcion } ho. said that would kftT© to tn\o \honf, j I tried to noil tho shewn but coulrl not^ ThU ku shortly aftor I bought thorn %\ not avare Ikat thfi Oompftny «tsa told oq, thfi urn* d»jt tli ft t X boyght thp. ebnros, ; X ossr«rl the ahai«f baok to M> Rooyoa, bu,t lio woujd, not take thorn, Xdo not romoiubpr ol^ring, them, to anybody olso j I got £2% as dividends on tho shares whioh would bo about 3d por iharo io that tho 3.0J0Q eharcuqopt mo about $.2. Don't

roin«mbci f Onples ofloriiifj to buy fllurca in tlic Compftnji I hol'l no nlmros in tlio Victory Compnny. Iloi'vos liml boon in tlio line before ho Bpoko nhi.ut »ho »ftlo in Crook«r'« proernco, Ily tbo Court— Tlio eulo wiw a not n pnblio ono. Wo wont in by U:o «i«lo dow, Inm not posiUvo whothor tbo front door was opon, but beliovo it wna'i I nlso think tboro nn« n ling flying, but I would not bo euro. With tho exception of tlio tv?o cnrpo/iUfrs I wns iho only nudionco nt tho oiiloj I did oxpoot to 800 a lot of pcnplo nt tho dulp, Tho bull was not mine ftt tbq time, but holonßod to Qilmor Bros. Chavloa Groijko? wna tho nox* witocsa called—Mr Moss objected "■ to his ov'uionco , but tl:o objection wns ovorruloil. ClmrloH Crockor— l am a rnrpenter { I rooollcotnn nlloppd nuloof ahnrca in Iho Drlinnc* Company, nt Gilmer'a Ilall^ it wao in tho month of September, Mr .Hooves wiv? flio [ auctioneer ; I VR9 working on the promises us » oorpontor doing nonio aUorationa. I wn» working in R room ivljoining tho hull and Mr Dawson ennio to mo and n»ked mo to go in to tho tmlo, and an I was making a noise X knocked off and went, into tho Hall, Dawson end tho nuctioncor wero proflonl, tUoro may havoboon nnothor person present in tho Hull, Tho ahnroaworo put up in tho ordinary wny, and Dawson bid either 3d or 4d per flharc, Pavvson wua tho only bidder, and tlio shares woro knookod down to him. Tbo flulo necmod rather utranßC to mo being such a small nt« tendanco, and I thought at ths 'tint^th'^sfinrM woro is or 5* in tho market j after tho sulo.l told Dawson that I would take half Iho aharcn ot tho prico, but ho guvo mo no docided answer j I got none: Tho number of share* put up was over 2000, it may havobcon 3000, tho email attendance and email prico struck mo as strange j I did not know tho full market ynlno of tho uluiroa at tho time Unvo not dinoo formed any opinion an to Iho nature of tho salo. ITcavd a bellman crying out that a nnlo of Pefinncc shares would tako place at M'Lonn'B j about half an hour may have elapsed between tho two fl-doc. Did not, hoi r any bollman oryinjj out Hoovos's snlo, and don't vocoll-eot seeing a flu^ (Vying at Iho hull: J]y tho Bench— From tho number of nttontendanco I dont't think I hero wns competition. Hoard tho bellmnn going round Ihe town during thfl day, but did not hear him cry out a nalo at tho hull ; I beliovo Mr Reeves said before thomilo that (hero wns no locervo on tkl cnuro*,, ttud knd Duwsou bid only a p«nuy h««o»ki hAW ««* them | I did think thitl Patrion htA $o% a bargain, llavo had povorAl cooTorsHtuxwi wUb Clilfonl, Ilttving road Iho »}tag«d, libolloiw Ivttar I linvo no rc»«on to boHov« othorwiso than- tUnt Clillbrd believed in tVw) truth of what ho sti:ifco« in tho letter, (% bo coiUimwd in our next.).