AROWHANA STATION

Manawatu Standard, Volume LV, Issue 244, 12 September 1935, Page 8

AROWHANA STATION

CASE FOR DEFENCE OPENED. Per Press Association. GISBORNE, Sept. 12. The case for the defence in the action wherein William Douglas Lysnar claims £137,000 from the National Bank of New Zealand following the alleged repudiation of a contract concerning the financing of plaintiff’s Arowhana Station opened yesterday, before His Honour Mr Justice Blair, at a special sitting of the Supreme Court, which commenced on Tuesday of last week. Mr A. H. Johnstone, K.C.. for the bank, said that if -plaintiff succeeded he would have raised himself from a position of hopeless insolvency to substantial wealth during a period when other farmers found difficulty in carrying on. Prior to 1931 Mr Lysnar owed £40,000 to the Public Trustee, to the bank: and £9OOO to the East Coast Commissioner, in addition to other large amounts. Plaintiff now sought the return of the propertv plus £137,000 and, if he succeeded, he could then pay off the Public Trust mortgage and have £12,000 in pocket. The hulk of the money spent by Mr Lysnar on the station had been found for him by the bank, which had agreed to cancel £42,000 of the £72,000 owing on overdraft. Counsel said the claim was a startling one which, in all its encumstances, savored of rapacity and greed and it was hoped to show that it contained no more substance than ment. The hearing of evidence is proceeding.