DREDGE GOLD

New Zealand Herald, Volume 80, Issue 24540, 24 March 1943, Page 4

DREDGE GOLD

ALLEGATION OF THEFT £31,496 INVOLVED METALLURGIST CHARGED (P.A.) CHMSTCmjRCH, Tuesday Charged with the theft of 3650 ounces of alluvial gold of a total value of £31,496, the property of the Arahura Gold Dredging Company, Limited, Leo iOdward Morland appeared in the Magistrate's Court to-day. Morland was described as a metallurgist, of Australia. Mr. A. T. Donnelly, with him Mr. A. W. Brown, appeared for the Crown, and Mr. J. A. Scott, of Wellington, for accused. It is alleged that accused stole the gold at Arahura on or about October 29, 1940, when he was employed by the company. It is expected that the hearing of the case will occupy four days. Twenty-two witnesses are to be called, including a corporal of the Royal Canadian Mounted Police, and a United States customs agent. Fifteen witnesses were heard to-day. Engagement ol Accused In evidence, William John Ellis, of Greymouth, manager of the company, said that accused was engaged in Sydney as a dredge metallurgist, and worked for the company from January until the end of October, 1940. In September accused told witness he wanted to leave New Zealand for Canada at the end of October to open a metallurgical and assay office, as there was a mining boom in Canada. During the time accused was employed by the company there had been no reason to suspect that he had been stealing gold or amalgam. Witness said his suspicions were first aroused when he saw a report in a newspaper in February, 1941. that a person named Morland had been arrested at Blaine on the border of the United States and Canada on a charge of smuggling amalgam. Did Final Processes Alone Witness said that accused did the final processes with gold and amalgam when lie was alone in the gold room on the dredge. He also scraped the amalgam off the amalgamating plates when he was alone. He could have removed the quantity of gold seized in America, over 3000 ounces, during the nine months he was with the company. Richard Bryce said he was the company's chief metallurgist. In March, 1941, he was asked by the manager to investigate the possibility of loss of gold during the term of accused's employment. On March 29 he went to a hut in Wharf Street, Hokitika, in company witli Detective-Sergeant C. H. Davis and took sweepings from round the base of a stove and a crack in the doorstep. He washed and panned these sweepings and found small globules of mercury, free gold and small beads of gold. This would bo consistent with retorting and smelting having been carried on in the hut. Recovery and Bore Values Witness said that the ratio of recovery value of gold to bore value of the claim was 56.4 per cent before accused came and 44 per cent during the time he was employed. Witness said that the hut accused had leased in Hokitika would not be required for the company's business. Goods shown on the invoice produced as having been bought by accused would not be required for the dredge. Asbestos sheets mentioned on an invoice could be made into gloves for protection against excessive heat. William Silcock, soldier, who was clean-up foreman on the dredge from the middle of 1939 to November, 1941, said that accused did the weighing of amalgam himself and was the only person who had access to the record book. Witness assisted accused to take amalgam from the dredge to the gold room and left it in his charge. Before accused joined the company witness had assisted in retorting and smelting, but did not do so while he was there. Customs Collector's Evidence Harold Cyril Rowe, collector of customs at Hokitika, said that on June 17, 1940, he inspected five cases that had been shipped from Sydney for accused. He inspected them in accused's hut in Wharf Street, which contained a quantity of dressed timber, carpenter's tools and a stove. The cases contained books and instruments. Later witness inspected two more cases of books and a carved chest containing personal clothing. He gave accused a clearance for the cases which lie inspected from top to bottom. Gold bars could have been concealed in tl*. l cases. Archibald Neil, a soldier, formerly licensee of the Hotel West-land, Hokitika, said that accused stayed at the hotel until October, 1940. On several occasions he obtained bags of coke from witness, saying he was feeling cold and wanted it for his office fire. When accused left witness helped to carry bis cases and noticed they were very heavy. A Ship's Departure Constable Andrew James Cummings, attached to the detective branch at Auckland, said that accused sailed on the Awatea on November 5, 1940, and witness had special reason to remember him. The ship was due to sail at 9 p.m., but thero was a delay and it did not leave until 10 p.m. The passenger list was completed, except f9r accused, at 8.20 p.m., but accused did not arrive until 9.45 p.m. Two mining registrars, Williams Murray Fraser, of Hokitika, and Frank Bird, of Greymouth, said that accused had no gold dealer's licence and no mining privileges to win gold in their districts. | The Court adjourned until to-morrow morning. I DAMAGES AWARDED Judgment for £l5O. with costs and accounts reserved, has been given by Mr. Justice Callan in favour of Waitnate Anaru, of Henderson, farm labourer (Mr. Hubble). The defendant was Mrs. Mary Josephine Delicli (Mr. Schramm), the owner of 11 acres at Waikomiti, near Henderson. Anaru entered into an agreement with Mrs. Delich in November 1941. to lease this land and work it for market gardening I purposes, and he claimed that, the defendant's husband bad wrongfully evicted him last October. He asked for £350 damages for loss of profit" and for injurv to credit