FALSE PROSPECTUS
CHARGE AGAINST M'ARTHUR CASE FURTHER ADJOURNED SYDNEY, October 25. (Received Oct. 25, at 10 p.m.) The allegation that he induced people to advance money to the Investment Executive Trust Company in New Zealand by means of a false prospectus, which had been issued in New Zealand in 1933 was made against J. W. S. M'Arthur in the Police Court to-day. It is alleged that the prospectus had stated that the Investment Executive Trust adopted the policy of diversification or spreading capital over a large number of sound investments.. This statement had concealed the true nature of the company’s investments and M'Arthur, knowing the prospectus to be false, had indicated intent thereby to induce persons to advance money to the Investment Executive Trust. Mr R. Windeyer, K.C., for M'Arthur, said it would probably be necessary to ask for an adjournment for the purpose of obtaining certain documents from New Zealand. “We have written to the Attorney-general and the Public Trustee in New "Zealand and asked for access to these documents, but do not know yet what the answer is,” said Mr Windeyer. Detective Robinson, of New Zealand, said he had been recently instructed to arrest M'Arthur and a warrant was immediately taken out. He had executed this warrant to-day. A long argument followed as to the magistrate’s power to sign the warrant. Mr Windeyer contended that the prosecution was vindictive. The magistrate finally admitted the warrant and Detective ( Robinson asked that M'Arthur be handed to his custody for trial in New Zealand. Mr Windeyer again objected, contending that the papers should be examined .in-order to teat the bona fides or otherwise of the prosecution. The magistrate said that as no reply had been received from New Zealand to the letter asking for documents he would adjourn the case until Tuesday. He added it was for the defence and not the Crown to establish the bona fides of the prosecution. Bail was allowed in the sum of £250.
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Bibliographic details
Otago Daily Times, Issue 22712, 26 October 1935, Page 14
Word Count
328FALSE PROSPECTUS Otago Daily Times, Issue 22712, 26 October 1935, Page 14
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