ARSON GANG.

Pahiatua Herald, Volume XLI, Issue 12427, 21 August 1933, Page 5

ARSON GANG.

GAOL FOR FOURTEEN

INSURANCE FRAUDS.

United Press Assn.—By Electric Telegraph—Gopyrigh t. LONDON, August 18. After 34 days’ trial, the longest m the history of the Old Bailey, the previous being 23 days, 14 men accused of fire have been convicted on various charges. The sentences range from fourteen years clown to nine months. The actual term to be served by all prisoners will total 40 years*

. jucige said that society was rid of a- number of dangerous criminals heading an immense and widespread conspiracy which might have brought many others into the dock. One of these confessed and died the following day, “whether accidentally or otherwise I do not know,” said His Honour.

The capture of the gang was the result of several years’ investigation by TV illiam Orocker, solicitor, a specialist in insurance law employed by Lloyds’ underwriters and leading fire insurance companies. He discovered that the system was as ioilows :

A dummy business was created in the name of one of the gang. It was stocked with inflammable material and then a grossly excessive insurance policy was negotiated. The premises would subsequently be set oil fire by another member of the gang. The inflated claim, supported, if necessary, by forged invoices, was then presented. Every member of the gang was shadowed, and for many months tliei revery movement was watched.

It is estimated that the gang was making £500,<)O0 annually for many years. Over 100,000 documents were handled m the case. A result of the trial will be the making immediately of new safeguarding regulations m connection with fire insurance policies under whicii conspiracy will be impossible.

His Honour characterised Leopold Harris as the . arch-villain. He had doubtless made enormous sums by the conspiracy, most of which he bad apparently spent on the Stock exchange and elsewhere. Harris received the maximum penalty for arson upon ten counts on which he pleaded guilty. His Honour also emphasised the appalling danger to the lire of these incendiary fires. One prisoner, a septuagenarian silk merchant, YY-illiam Herival, who received a sentence of 18 months, fainted. YY hile Mr Justice Humphreys was sentencing the prisoners m the dock their wives and female relatives could be heard sobbino- outside the court.*

Air Justice Humphreys was three clays summing up, and he spoke a hundred thousand words in doing so - p declared that one prisoner, named Capsom. was the most despicable type of criminal coming under the name of blackmailer. “1 shall not be able to pass on him the sentence he ric-hly deserves. The verv lowest depths of infamy were perhaps reached when Capsoni’s vretened wife was set to do the actual burning.”

It is estimated that the case Ins cost £IOO,OOO, which the insurance companies and Lloyd s are paying because they believe that thev 'have been systematically deprived of half ;Y -’ a,lho Y . yearly by fraudulent claims, which the prosecution aimed to stamp out.

• lb e, case was remarkable for seeing the first installation of the whispering telephone,’ allowing the court to communicate with the solicitors' office a t the Old Bailee nf’'Lnn!, b "! g th .? speedy production ntS ’u ot winch 15,000 were involved jn the 32 charges Thev were so complicated that counsel in bUM dm ", vf T d,Cts ,lsed « chart wRh pleted it Wh,te s W a r s - Wben cornpuzzle. resembled a crosswork