CONSPIRACY ALLEGED.

New Zealand Herald, Volume LXV, Issue 20115, 28 November 1928, Page 14

CONSPIRACY ALLEGED.

TROUBLE OVER GUARANTEE.

MOTOR FIRM CLAIMS £2OOO

BANKRUPT DEALER'S AFFAIRS.

[JIV TELEGRAPH. —OWN CORRESPONDENT.] CUJUSTCnURCH, Tuesday;

A case in which conspiracy was alleged, and which arose out of tho affairs of Gcorgo Wilcox, of Ashburton, motor dealer, who lias been sentenced {o irnprisonment for obtaining credit while lie was an undischarged bankrupt, was beard to-day by 11 r. Justice Adams. The plaintiff was the Dominion Motors, Ltd., Wellington, for whom Sir John Findlay and Air. A. S. Nicholls appeared, and tho defendants were John Fleming, sheepfarmer, of Cheviot, and Sarah Jane Fleming, who wcro represented' by Mr. J. H. IJpliam and Mr. R. J. Loughnan respectively.

Sir John Findlay stated that in September, 1927, George "Wilcox, motor dealer, of Ashburton, became indebted to the plaintiff company to an extent of £4OOO. That amount now stood at £4296 16s sd. In October, 1927, the plaintiff company required Wilcox to supply security, and ho promised to obtain guarantees from his father-in-law, John Fleming. Tho company furnished Wilcox with two guarantee forms, continued counsel, and theso were subsequently returned with the signature S. J. Fleming, which was that of Sarah Jane Fleming, and which was represented to be the signaturp of his father-in-law. New Form Prepared. Owing to some doubts arising as to tho interpretation of the two guarantees, said Sir John, the plaintiff company's solicitors prepared a fresh guarantee form and sent it enclosed in a letter add ressed 4< S. J. Fleming, Esq." It was duly returned and was signed S. J. Fleming. It would bo alleged that the two defendants conspired to defraud the plaintiff company by representing that the signature was that of John Fleming. It would be further submitted that ,Sarah Fleming was not substantial and could not ! ? ve paid the amount of the guarantee, and that Wilcox was adjudicated bankrupt in July, 1928. In consequence of the guarantee the company supplied goods to Wilcox. The company claimed £2OOO damages from the two defendants, or, in the alternative, it claimed £2COO from John Fleming, or. as a further alternative, £2OOO from Sarah Jane Fleming.

The deiHiico to be raised by Sarah Fleming, continued Sir John, was that she signed the guarantee but denied that Wilcox represented any document to be the guarantee of John Fleming. She also Jenied any conspiracy. John Fleming would deny conspiracy and would say that ne had refused to consider any proposal anent the guarantee One Defendant, Cleared.

Sir John Fiudlay said the evidence would disclose some rather unusual features. In ihe first place Wilcox was married to Miss Fleming shortly before the first guarantee was given. Wilcox told Mr. Gale, manager for the Dominion Motors, "I have the guarantee signed, but I am sorry my father-in-law would not cxscute it until the £2OOO was rednced to £1000." Wilcox was nsketl to rp(|lies'. Fleming Ui initial an alteration from £2OOO lo AIICOO. Dominion Motors and the manager were assured and satisfied that the guarantees were being executed liy Fleming.

.Mr. Xii'hull.s sent a letter addressed "S. J. Fleming, Esq., Cheviot." It began, "Dear sir," dealt with the guarantees, and stated "Please si;j;ii same where your name is pencilled, before witnesses." The letter was apparently opened by Mrs. .Fleming, contended counsel, and road by her, When .Mr, Gale saw Fleming tlw latter denied that lie had signed the guaraiitcos. Wilt'ox took the guarantee forms; one of them was witnessed by his wife.

Counsel said Fleming was discharged from the allegations of conspiracy. They now were confined to alleged conspiracy between Wilcox and Mrs. Fleming. Evidence occupied the attention of I lie Court throughout the day, and the healing was adjourned until to-morrow.