FORFEITED TO CROWN

Otago Daily Times, Issue 21979, 14 June 1933, Page 8

FORFEITED TO CROWN

SEIZURE OF SILVER COIN HEAVY FINES IMPOSED (Per United Press Association.! WELLINGTON, June 13. Silver coin to the value of £727, seized when the Wanganella was raided last Thursday, was forfeited to the Crown to-day, and fines totalling £l5O were imposed on four men charged with at-, tempting to export the money from New Zealand, James Freeston, a steward, was charged with attempting to export coin valued at £252 11s; the ship’s l barber, Henry Morgan, with exporting a quantity valued at £229 6s; the fourth officer, Douglas Jack Strath, with exporting coin valued at £26 8s 6d; and James Boyne, a seaman, with exporting coin valued at £2O 18a 6d. The accused pleaded guilty. The Crown Prosecutor (Mr Mtcassey) asked for the maximum £SO penalties on Freeston and Morgan, and these were imposed. Strath and Boyne were each fined £25. On behalf of the defendants it was stated that as a result of the offences all had lost their employment. A feature of 'the proceedings was the production of a large belt containing £l7O worth of silver, alleged to have been used by Freeston to carry the coin on to the ship. Boyne had £25 of silver hidden in a gumboot. Silver produced (and valued at £198) remaining unclaimed was. stated to have been found in a cabin occupied by two ladies. Freeston, it was stated, had been seen leaving this cabin when the ship was raided.

Mr Macassey said the Treasury desired him to point out that the cases were very serious, as they meant depleting the silver coinage. Persons taking out silver were making a profit of 25 per centum. If the traffic were not stopped business would be further handicapped, and great loss and inconvenience would result. The coin was being exported to make the 25 per centum profit out of exchange, and, as surplus exchange was purchased by the Government under the Banks Indemity (Exchange) Act, this profit was made at the direct expense of the New Zealand taxpayer. It,was desired to make an example in’ cases. Mr Macassey said that about £BOO worth altogether would be forfeited. “ We suggest that this is not money belonging to these men. We suggest that they were acting for someone else, but there is no reason why the full penalty should not be imposed. Mr Leicester (for Freeston, Boyne, and Morgan) said this was a t type of case in which the court should not lose its sense of proportion. The Wanganella was held up for some five hours, and he understood that, as a result of that delay, the company suffered considerable loss, the blame for that loss being attributed bo the accused. It had been explained to them that, in no circumstances could they resume their association with the company. Freeston had been at sea for 20 years, and as the result of losing his employment he would be stranded in New Zealand. This money represented all his capital, and he had intended taking it to Australia with the idea of making a profit. Morgan would also be stranded. He received Is in the pound for takihg the money to Australia, and, had he been successful would only have received £l2. In regard to Boyne, his case showed what a travesty of justice would result if' the court acceded to the Grown Prosecutor’s request. He received £2O in ' wages, changed the notes into silver, his idea being to increase the money to enable him to pay the balance of the expenses of his mother’s funeral.

Counsel said that if substantial penalties were imposed, and the silver coin were confiscated as he supposed it would be, they would have difficulty in finding money to pay the fines, the result being that they would have to serve a term of imprisonment, which was not contemplated by the Legislature. A special plea was made for leniency for Strath, fourth officer, by Mr T. B. M’Carthy. Mr E. Page, S.M., said the offences were difficult to detect, and the exporting of silver seemed to have assumed substantial' proportions. DETECTION OF OFFENDERS POWERS OF POLICE LIMITED. (United Press Association.) (By Electric Telegraph—Copyright.) SYDNEY, June 13. The Herald says: “ The police in New South Wales, who have been working with the New Zealand authorities to prevent the importation of silver coiu from that Dominion into Australia, have been handicapped by their limited powers under the existing Acts. Since the differences in the exchange occurred thousands of pounds worth of silver have been brought to Sydney by the intercolonial liners. Although the New Zealand authorities made it an offence to export silver the practice persisted. The co-operation of the New South Wales police was, obtained, but the authorities here found it not an offence to import silver coin into Australia. They questioned many offenders, and discovered hundreds of pounds worth of coin on ships arriving from New Zealand, but could take no direct action.”