DEALINGS IN OIL.

New Zealand Herald, Volume LXVII, Issue 20623, 23 July 1930, Page 14

DEALINGS IN OIL.

AGENTS' CLAIMS AWARDED.

PROMOTER OF MECCA COMPANY FURTHER ACTION PENDING. [By TELEGRAM. —OWN CORRESPONDENT.] WELLINGTON. Tuesday. A further stago in tho Mecca Oil Company case was reached in the Magistrate's Court to-day, when Mr. E. Page, S.M., gave his reserved decision regarding tlio claims by Ernest William Wakefield, Phillip Percy Wimsett and Robert Leitli Begg against Norton Parker Piinentol, tho promoter of tho company, for tho return of moneys paid by plaintiffs upon appointment as district agents of tho company. Judgment for tho plaintiff was given in each of tho claims.

Mr. Pago said each plaintiff answered advertisements by defendant and it was on the representations made by defendant at tho early interviews that tho present actions were based. Plaintiffs had each given full details of tho representations made, and their evidence stood substantially uncontradicted, for defendant had not been put into tho witness box. Defendant's Representations.

To each of tho plaintiffs defendant had represented that ho was the accredited agent of the Mecca Oil Company, of California, an old established oil company operating in America; that the company was about to commence operations in New Zealand; and that ho had been sent out to establish agencies here. To two of tho plaintiffs defendant bad represented that the Mecca Oil Company owned its own oil wells and refineries, and to tho third ho bad represented that it had something to do with refineries. He had also represented that tho company, had stocks of Mecca oil already in store in Wellington and others on tho water. As a result of these representations each of the plaintiffs had entered into ti contract with defendant and paid to him a sum of money and incurred tho liabilities set out in their respective statements of claim. " In view of tlio fact that criminal proceedings are pending against defendant in respect of the matters outlined," said Mr. Page, " I do not think it is desirable that I should discuss the facts further than is necessary for tho purpose of the present claim. Company Non-existent. "It is admitted that tho so-called Mecca Oil Company is non-existent. In my ojiinion the evidence shows that tho representations outlined were material and were false and fraudulent, and that they were made for tho purpose of inducing, and did induce, tho plaintiffs to enter into the contracts. The contracts so induced are not binding 011 plaintiffs, and they aro entitled to recover damages for the losses they have sustained." Judgment was entered in favour of the plaintiffs for the following amounts:— Wakefield, £245; Begg, £179; Wimsett, £94. Plaintiffs were also each awarded costs.

Mr. C. A. L. Treaihvell. who, with Mr. A. Cressweli, appeared for plaintiffs, said lie had filed a notice that ho required defendant to be examined forthwith as to any debts accruing or duo to him, with the idea of taking attachment proceedings on any such debts. Counsel said he did this because he wanted to be assured that the £3OOO odd which, it was alleged, defendant had made in the short time he had been in New Zealand, would not go out of the country. Mr. Harding, who appeared for Pimentei, offered no objection and the magistrate agreed to tho examination taking place to-morrow.