PROCURING STATE ADVANCES LOANS

Manawatu Times, Volume LV, Issue 7412, 20 December 1930, Page 7

PROCURING STATE ADVANCES LOANS

Serious Charges Against Three Men

UNUSUAL CASE IN AUCKLAND

Per Press Association. AUCKLAND, Last Night. The hearing was begun to-day of charges against three men in connection with State Advances loans. . Brian Dunningham, aged 29, solicitor, was charged in six instances with, aiding and abetting persons to make declarations which would amount to perjury if made on oath. The declarations were alleged to have been made in support of the applications for loans from'thc State Advances Department.

Dunningham and William Cornelius Torqkler, a taxi-driver, were jointly charged with obtaining from the Department £S6O by falsely representing that tho money was for the erection of a house for the solo use of Doris Fordyec Chapped and Ernest Cedric Chappel. Torcldcr was also charged with counselling Raymond • George Hausmau to make a declaration equivalent to perjury.

Samuel Thomas Baker (36), a carpenter, was charged with making a declaration equivalent, to perjury. Ernest Cedric Chappel, a painter, of St. Leonard's Road, Mt. Eden, was the first witness. He said he purchased a section at Point Chevalier in April, 1926 for £245 on a £25 deposit and monthly instalments of 4Ss. In March, 1927, he applied to'the State Advances for a. loan of £1165. The tender for tho house, was £9OO. After waiting eighteen months it did not seem likely the loan would be granted and as he was then unable to keep up tho payments he tried to recoup the loss by selling the section. Dunningham called on him in December, 1928, and said he had a lady who required a section but wanted the Government loan with it. “I asked him how I would stand with a Government loan and Dunningham told me I would get back whot I had paid on it,” continued witness, “and that he would arrange for a new loan application. ’ ’ Witness next received a letter from the valuation officer and showed it to Dunningham. The letter asked why a Government sale notice was placed on the property. Accused advised witness to see the valuator and tell him the application would bo renewed. Mr. Meredith (for the Crown): “You knew the application-was not to be for you V ’

“Yes.” Mr. Meredith: “And Dunningham knew also?” “Yes.”

Air. Meredith: “Before you went to the Valuation Department did you ask Dunntagham if it was all right?” “Yes. My wife asked him if it was the right thing and Dunningham told her it was. My wife said she did not want to do twelve months in Mount Eden.”

Chappel saidJatcr Dunningliam wrote out a letter which witness copied stating he had withdrawn the section from sale and would be carrying on with, the loan. Later still he and his wife signed a declaration supporting the loan application. He did not see the body of the application before signing. Ho did not know the declaration said he and his wife would reside permanently on the property. He got £53 from Dununingham out of the loan which ho had put into the section. Witness then made a statement that Dunningliam on: August 19 last called on him at his house and stayed two hours. Detectives Doyle and. O’Sullivan had arrived previously and' were in the next room.

Chappel said Dunningham told him lie wanted witness to meet Torkner. Tho three of them should get together and talk things over. Dunningham said he was sure there was nothing wrong and a Tided: “If we don’t get together we will all be making different statements. If wo do that we will all be in the soup.

Detective-Sergeant P. J. Doyle stated that on the evening of August 19, 1930, ho culled with Detective O’Sullivan at Chappel’s home where lie learned that Dunningham was coming a little later. They went into the bedroom adjoining the breakfast room and could hear through the wall quite plainly. When Dunningliam entered witness took up a position at the connecting door and heard tho conversation which both ho and Detective O'Sullivan recorded verbatim. The report of tho conversation between Dunningliam and Chappel was read by the detective-sergeant. Witness stated that he interviewed Torc-klcr on August 7. He asked Torekler how lie hacl come to occupy the house and he replied that he had asked Dunningham to collect some money for lii.ni from Chappel but Dunningham hacl not succeeded and he had been advised to take tho money out as rent.

“On December 4 I arrested Torckler.” continued witness. “I read the warrant to him and lie replied: ‘I do not remember that. This will be a clean up of the State Advances. There

will be a few disclosures.’ ’’

After further evidence the hcarin; was adjourned till Monday.