A BOGUS SWEEPSTAKE.

New Zealand Herald, Volume LXII, Issue 19149, 15 October 1925, Page 11

A BOGUS SWEEPSTAKE.

TWO PERSONS DETAINED. I VICTIMS IN NEW ZEALAND, MONEY SENT TO SYDNEY. By Telegraph—Press Association— Copyright. A. and N.Z. SYDNEY, Oct. 14. The police detained a man and a woman as they were leaving a post office with a number of letters from New Zealand.. The letters contained sums of money for tickets in a bogus sweepstake which it is alleged the arrested man was conducting. The police state that the man in Question sent books of tickets to people in towns all' over New Zealand with letters explaining how the sweepstake was to bo run. It was to be oxi the New Zealand Cup, to be ran at Christ-church in November, and was called the New Zealand Sweepstakes. The prize-money was said to total £IO,OOO, the first prize being £SOOO. It is believed that thousands of tickets were sold all over- the Dominion. The promoter said the tickets were to be sold exclusively in New Zealand. He also stated that the lottery was run from Sydney owing to postal difficulties in New Zealand. Agents were-! instructed to forward all money for tickets by postal note only, cheques and money orders not being acceptable. The police say it is a remarkable fact, that the promoter was able to organise such an illegal lottery ill New Zealand and control it from Sydney. When they detained the man referred to there were a number of New Zealand newspaper clippings in his mail showing that the sweepstake had . aroused considerable interest. One paper, under the" heading: "Doubtful sweep," described the way in which the lottery was run. Another paper stated that the operations of certain sweepstake promoters in Australia were suspicious. Attention was drawn to the sweepstake referred to in the cablegram "in a special article which was published in the New Zealand Herald on September 11. This stated: " "The New Zealand Sweepstake,' printed in bold type, is the heading of a circular which, with books of tickets, appears to have been distributed fairly widely in Auckland from a Sydney address. The fact that it bears no Government authority and that recipients have no knowledge of the person whose name is on it, suggest that the need of inquiry on the matter and some caution on the part of those who have been invited to sell the tickets and forward the proceeds." Extracts from the circular were then given, one of which was as follows: —" All tickets for this sweep are being sold exclusively in New Zealand, and all prize moneys will accordingly be pail in New Zealand. This arrangement will appeal to all who participate in sweeps and will stimulate interest in the? matter." The reason why this all-New Zealand affair was being conducted in Australia was thus explained: " Owing to postal difficulties in New Zealand, a.'l business meanwhile is being operated from Sydney at the above address and all communications will receive prompt attention." Summing up the subject the article said: "Until more is known about the matter those who have received tickets to sell would be well advised not to sell the tickets less they should run ! the risk of becoming parties to operations j that are not approved. With prize money I totalling £IO,OOO, 40,000 tickets would have to be sold to return that sum, and many more to pay the unknown cost of the venture. Judging by the look of the circular the promoter does not intend to waste unnecessary money on stationery but doubtless he expects some compensation for his time in offering this boon to New Zealand, to the exclusion of Australia, even though he has not found it necessary to set up an office. If he has done so he has refrained from mentioning the fact. His place of business, as far as one can judge, is a post office box."