THE MOKAU INQUIRY.

New Zealand Herald, Volume XLVIII, Issue 147690, 8 September 1911, Page 6

THE MOKAU INQUIRY.

AN AGENT'S ACTION.

LEWIS GIVES EVIDENCE.

[by Telegraph.—tress ASSOCIATION.] Wellington, Thursday. The Mokau Committee took farther evidence to-day.

Frank llattenbury,' storekeeper, of Tongaporutu, said his wife and other relatives were interested in the Molcau block. Witness was present at each meeting of the owners. At the second meeting, at which about 150 owners wore present, nearly all were opposed to the sale to Lewis.

To Sir James Carroll : Some of the owners objected to the sale on the ground Chat the lease was not valid. Witness knew four of the owners who had not yet been paid. A section of the owners still opposed the sale, even after Mr. Hardy had been unsuccessful in his mission to raise money to contest the leases. To Kuiti owners wanted to sell, but Mokau natives objected. Tho greater part of the block was worth 25s to 30s per aero if tho leases were valid, but without valid leases, he would say it was only worth 10s an acre.

To Oro aitihi, the next witness, said that lie and several others, after being advised to sell, refused to do so, and signed a document stating that they intended to hold the land, but would hand over for sale 800 acres to clear off costs of the action, paying agents and liabilities on the block. Witness throughout refused sign the agreement to sell the whole block. Witness was one of the signatories to the original lease of tho block to Jones. Regarding the sale, witness thought that if he objected to the sale ho could have his area cut out, and could keep it himself. Mr. Hardy appeared for witness at the sale negotiations, with written instructions to oppose the sale. When the representatives came back from Te Kuiti they placed the money before tho owners, and told them, the land had been sold, and that they should accept the money, as they might not get it again. They were very angry at the agent action. Ho would not have sold, 110 matter what price offered.

Herman Lewis then gave evidence. It was about the end of October or November, 1908, he said, that he first became connected with the block. He had dealings with Mr. Campbell, solicitor for the executors of Wickham Flower's estate. He took an option of purchase in tho leasehold interest on .May 18, 1908. Witness sold the right to purchase to Sir Francis Brice, Bart., Mason Chambers, and 1!. D. 1). McLean. The amount of the option was £14,000. Witness completed the transaction and mortgaged to the executors for £14,000. He sold the property for £25.000 and an eighth interest. They paid £5000 in cash, and £4300 was locked up with Messrs. Moorhouse and Hadfield. Mr. "P. S. McLean, solicitor for those who bought, thought there was a flaw in the title and the deal was not completed. After the negotiations fell through he took steps to acquire the freehold, and went to F. G. Dalziel, who approached the Government. Nothing about using an Order-in-Courtcil came up at this time. Later Mr. Skerrett, who acted for the natives, asked for it. Witness did not know much about the Ordor-in-Council, but Mr. Dalziell tola him it had been granted. The natives wanted to sell to him some timo previously for £15,000. The land, he was told, 'was offered to the Government for £22.500. Pepene Eketone and others told him they had the right to dispose of the land." A meeting of assembled owners was arranged by Messrs. Skerrett and Dalziell. There was a mortgage of £1000 to Findlav and Dalziell, also ona to MacCarthv as collateral security. Witness was willing to pay £25,000 to the natives. He did not know until afterwards that a majority of the natives were against the sale. Subject to certain mortgages, witness proceeded, ho became owner of the block in January last. Ho gave tho option to Mr. Mason Chambers. Witness owned 7000 acres, but it was vested in the Maori Land Board in the meantime. Mr. Massev : Was not the intention of the Act departed from when you became possessor of 55.000 acres? Witness : I don't know anything about that, I left it to Mr. Dalziell. Witness said ho received from Mr. Chambers £71,600 for tho land in cash and £4000 in fully paid-up shares in the company, out of which he had to pay expenses. To the Chairman : Ho received £7 9s per annum from Mr. Walter Jones for 890 acres. To Mr. Herries : Ho was in a private hospital in Willis-street in February, 1910, and an operation was being performed. As ho did not know what might happen he telephoned to Mr. Dalziell and signed a mortgago for £1000 to secure his costs. He owed Mr. T. G. Macarthy £30,000. Some of this was paid off, but Mr. Macarthy desired additional security. Mr. Massey announced that ho had called all his witnesses. At this stage the inquiry was adjourned until Tuesday at 10.30 a.m.