Disposal Of U.S. Motor Vehicles

Northern Advocate, 26 August 1946, Page 5

Disposal Of U.S. Motor Vehicles

(F.A.) WELLINGTON. This Day. Before calling evidence at the Royal Commission on the sale of United States motor vehicles from William Percy Warner, part-time valuer of motor vehicles for the War Assets Board. Mr R. E. Harding expressed the aninion that some who had spoken at Ihe commission had gone outside the scope of the inquiry for the sole purpose of casting aspersions at his client, who had never been an officer of the board. In evidence. Warner said that in his experience with motor vehicles over many years, he and others had evolved a standard formula for valuation. The method was to take the chassis ana cab selling price in the year of sale, the standard size or otherwise cf the tyres, and add the value of the body. This established the gross price. Army mechanics and drivers were then required to put the vehicles through their paces, the valuers then giving the trucks a total life of 100.000 miles deducted 1 per cent for every 1000 miles they had travelled, and a further £SO in a case where the vehicles had been to the Pacific Islands.

PROVED SATISFACTORY That method had proved so satisfactory that buyers subsequently purchased ex-Army vehicles at “sight unseen." For some junk at Camp Bunn, AuekI land, Mr C. R. Vincent had offered £2OO. The United States Joint Purchasing Board would have dumped the stuff if it had not been sold. Witness informed the general manager of the board, and the offer was accepted. Mr Vincent had sold tractor and other parts out of the pile for £305. and paid witness £55 commission for introducing the buyer, and his help in arranging the disposal. Mr Vincent then hqd to clear the heavy residual junk within 48 hours. JUNK PARTS Witness first saw the vehicles at Seaview Park last December. In the following month, Mr Levick, motor vehicles officer of the beard, asked him to make up a rough schedule of junk parts there, and the frames. Mr Levick told witness that tenders weie to be called for the vehicles and scrap. In the previous October Archibald had told witness that lie and Raymond Eder were trying to purchase from the Americans direct. Archibald told him that he would be prepared to put £20,000 into each syndicate. Witness had told Archibald that if a syndicate got the lot for £IOO,OOO it would be good, but that was a rough ’estimate only.

DID NOT OBJECT When Archibald successfully tendered for the Dodges and jeeps, witness told Mi’ Levick that lie would be engaged in selling for Archibald for about three weeks and Mr Levick did not object. He left his address to enable his recall if the board needed him for urgent work. He was under no obligation to the beard preventing his undertaking such work for Archibald. His engagement with the board was by the day, at three guineas. Witness was then provided by Archibald with a petrol license to get about the country among the dealers. In five days he contracted to see 231 Dodges and jeeps. The prices for jeeps were £BO for the best and £4O for the pocr ones. The Dodges were contracted for at an average of £lB5.

“OVERBID” After a few days Archibald said by phone that he had reason to believe that he had overbid. Witness told Archibald how well sales were going, but the latter had dropped the contract. Warner had made a fool of him. Throughout the North Island at 2 per cent, commission lie had earned £ 1000 and there was £3OOO to £4OOO in sight. Mr Harding: So I take it you were pretty sore with Archibald? Witness: I was sore both ways. If you have driven 200 miles in a' jeep you will know what I mean. SECOND TENDER He had thereupon informed the board that he was again available for valuing duties. His only activities on Archibald’s behalf had been over a few days after March 20. Witness aid not know that after Archibald had repudiated his first tender he had tendered a second time on April 23. Warner was recalled to assist with the valuation of the Dodges and jeeps. He had expected to receive instructions to go ahead and value, but none were received. Interviewed in May by the police, witness had denied that he had inside information about the disposal of vehicles or had given Archibald any such information. He had told the police that in getting around among dealers he had discussed the tenders. He had known of no instance of bribery or graft in board dealings. END OF ENGAGEMENT On July 3, continued Warner, he had been notified that his engagement with the board as part-time valuer would cease forthwith. No reason had ever been given for the cancellation. He learned in the last few days, however, that the acting Minister had required this move owing to the allegation of witness having received secret commission. Replying to Mr Harding, witness said he had never received secret commission in dealings for the board or elsewhere, or had been charged with having received one. It had never been indicated to him that such a charge might be made.