MARKETING OF FRUIT.

Otago Daily Times, Issue 21147, 3 October 1930, Page 12

MARKETING OF FRUIT.

ALLEGED DISHONEST SALES. AUCTIONEER’S METHODS QUESTIONED. (Pee United Press Association.) WELLINGTON, October 2. ■ enc u- l ot T the Prosecution in the case m which Laety and Co., Ltd., auctioneeers and produce merchants, are ' 101 o Un w e „ r th V Sec 5 et . Commissions Act, 1910, was continued in the Mams, gate’s Court to-day. The charges aSst the firm are-five counts of failing to disclose a pecuniary interest in acontract and two counts of delivering false sales accounts to the Department; of External Attairs_m respect to bananas. Mr W. E Page, S.M., was on the bench, Severai fruiterers gave evidence regarding purfirm 68 made by t!lem from ''the defendant John Michael Scott, inspector. Governmem,. Audit Department, said he carried ‘ P* “ investigation of the records and boots of the .defendant company. Dealing with the particular consignment of bananas _ which arrived by the Maui Pomare in July. 1929, the account sales showed that 31 cases were sold Tor lie. Witness traced the audtion sheets and found an entry on July 30 for 26, cases ot bamoan bananas booked to country departments at Us a case. There was an i entry showing that five other cases of bananas had been sold to a Hindu hawker on July 29 at 11s a case. Witness said his investigations proved that Laery and*--Co. were in the habit of taking cases of fruit and vegetables, etc., out of sale, these being subsequently shown on the following day’s auction sheets, and in some cases up to 10 days later than the actual sale. In the case under review they were shown as having been sold to country departments at lie a case. In the course Ot witness e investigations he ascertained that those particular bananas were sold to five country clients at IBs 6d and 16s a case on July 29. The' bananas were actually sold and despatched to country clients before the entry was made in the auction • sheet. On the 26 cases of bananas sold, •Laery and Co. made a profit of £6 6s Bd. showing a net profit of 37 per cent. This had not been accounted for. , To Mr Johnston witness said that pro- ‘ baTily the eeven allegations had been made against the defendant company as a result of his report. ■ Did-yon interview a than Witako Prison in regard to Laery and Witness; Yes. I have to interview a number, as I ■do the accounts at Witako Prison. • Mr Johnston: Did you interview-a nrisoner up there? v - Mr Maoassey objected that the question was irrelevant. • The magistrate said he did not think toe inquiries cotild carry them much further in the mattter. • ■ . , Johnston: Jt may be a light matter for a gentleman, in the Audit Department ' to have a firm which has been in bust- , ness for 50 or 60 years, with a high, reputation, attacked: but it is some advantage to know of the source from which the information has come, and if it is a disreputable source, how did the department come to make inquiries? Witness: We had.reason to believe that we were not getting true , and correct account sales, from this .particular firm. that^ 0 Relieved ?—Oh, I can’t divulge I put it to you, you were the person to raise this suspicion?, Will you deny it? Mr Macassey objected, and pleaded the protection of - the Act, and said that Mr Johnston was trying to, find out who, had laid the complaint. " , The magistrate (to witness): Your An* . swer. is that you 'decline to say. who ori- , ginated this inquiry? Witness: Yes,. : , ..... . . . Tha caso was- adjourned, until Wednesday to allow another witness from Pal- ■ merston North to be called..