FALSE INCOME RETURNS

Otago Daily Times, Issue 26233, 17 August 1946, Page 5

FALSE INCOME RETURNS

WELLINGTON FIRM FINED LARGE SUMS INVOLVED (P.A.) WELLINGTON, Aug. 16. Described by the prosecutor, Mr W. H. Cunningham, as one of the worst cases ever to come before the court, its only redeeming feature being the assistance given by the manager in clearing up the matter. Lockwood and Sons, Ltd., were charged in the Magistrate’s Court to-day on three counts of making false returns of ■incomei for the years ended June 30, 1943, 1944, and 1945. They pleaded guilty, and a fine of £IOO was imposed on each charge by the magistrate, Mr H. J. T *Mr iP Ciinningham produced figures showing that in 1943 the made a return of income of £7433 12s 10d, whereas the income as now assessed was £12,553 18s 10d- In 1944 the comparable figures were £7346i 6s 11 and £14.486 4s; sd. m were £5767 7s lid and £27,098 19s 7d Mr Cunningham said that the defendant company, a Private one, with a capital of £3OOO, had carried on a successful business as wholesale chemists until December last. The stock was then sold, and when the new purchaser took over inquiries were made. The vouchers for sales and 'purchases had been burnt,_ but the manager of the firm had assisted the department to obtain the correct figures. It was also stated that the total tax evasion would be paid.