FRAUD ALLEGED

Southland Times, Issue 21854, 3 November 1932, Page 5

FRAUD ALLEGED

SOLICITOR ON TRIAL. HEARING ADJOURNED. (Per United Press Association.) Auckland, November 2. Charles Stewart Leahy, a solicitor, was on trial to-day charged with the fraudulent appropriation of sums of £25 and £176 belonging to a client. The Crown Prosecutor said the accused was suspended from practice last May. The Crown’s allegation was that systematic use had been made of the account of a client named Wheeler who left New Zealand some years ago to transfer large sums to Leahy’s fees account. A total of over £2,700 was concerned. The essence of the present charges was that the money had not been distributed by Leahy as the client had intended and it was not now available. After evidence on the lines of the prosecutor’s statement was heard, accused went into the witness box and said he had been practising as a solicitor in Auckland for 13 years. About September, 1930, Rope Ltd., which was W. R. Rope himself, lent Young £25 because he was in difficulties. That was his first transaction with Young. He acted on Young’s behalf in the sale of a launch and when the money came in he took £25, of which £l5 was in settlement of his costs and £lO was paid under Young’s instructions as part refund to Rope Ltd. Accused said he arranged with Young in May, 1931, to invest £125 at 7 per cent, until finality was reached with his creditors. Witness dictated to his clerk a document confirming the arrangement and Young sipped this. Perhaps witness had himself altered the date but that had no significance at all. After investigations his explanation had been accepted by the Law Society. His Honour: Do you say the explanation had been accepted? Accused: So I understand your Honour. Mr Dickson: I understand the Auckland Law Society is satisfied. His Honour: The Auckland Law Society may be but the Court of Appeal is having something to do with it. The hearing was adjourned.