DAIRY COMPANY FINED

Waipa Post, Volume 36, Issue 2147, 21 April 1928, Page 5

DAIRY COMPANY FINED

FIRST CASE IN AUCKLAND.

GRADED CREAM TOO HIGH.

■'■■' : : AUCKLAND, Friday. . The first cases of their kind to have been brought in Auckland were those in which the Department of Agriculture (Mr W. N. Hubble) proceeded, at the Police Court to-day, against the Taupiri Dairy Company, Ltd., on eight charges of failing to grade certain whole milk cream received from G. Traill, in accordance with the dairy regulations, in that such cream, beS'ng first grade cream, was wrongly graded as finest grade cream. Mr W. R. McKean, S.M., presided. Mr Leary, on behalf of the company, pleaded guilty on all charges. Mr Hubble in opening his case, said the charges were laid under regulations under the Dairy Industry Act, 1908, the regulations being passed in November, 1926. The object of the regulations was to improve the quality of butter throughout the Dominion, and this was carried out by providing for a system of grading at all dairy factories. Three grades of cream were defined by the regulations—finest, first grade and second grade. Further regulations provided for accurate grading in those three classes by a duly licensed grader, whose license was subject to the control of the Agricultural Department. By the same regulations differential payments were made, at the present time finest grade cream being worth |d more per lb than first grade, and first grade Id per lb more than second grade There was further provision in the regulations for the submission of statistics from each dairy factory to the Department monthly. "In this case," said Mr Hubble, "two men carried on farming in partnership near Hunuo, one partner sending cream to defendant company, the other sending to the New Zealand Co The partners were somewhat surprised to find that what they considered the lower grade cream sent to the Taupiri Dairy Co., received a high--er grading and a higher payment than the" better quality sent to the other company. As a result of this unusual position an inspector visited the Taupiri Dairy Co.'s Premises m Quay Street and checked the books covering the period over which the charges are laid. On comparmg the trader's stage book with the office book in the presence of company s manager, it became obvious that cream which had been graded apparently correctly in the stage hook had been raised a grade in the office book in a number of cases. In seven instances cream entered in the stage book as first grade had been entered in the office book as finest grade, and in one instance a similar change had been made from second grade to first grade "The company was particularly in fault because the grading in the'first case was apparently done in accordance with the regulations and the alterations were, made deliberately later," said Mr Hubble. "For .some object, probably with a view to inducing wider custom, the defendant company deliberately moved, up the grade of cream in the eight cases that had been detected. It was, of course, extremely difficult to detect faulty grader Leary said that if the case was left as stated by the Prosecution it would appear as if the.quahty of butter was being lowered.whereas the contrary was the case. It must be obv?ous to the Court that in the grading Scream there would be borderline tests. It was a matter, of universal comment that gradmg was not consistent. The ..way m which the grading was done in these cases affected the company only, the supplier getting 9s 7d too much.' Cream was graded for the purpose of determining the payment to be made to the producer. He contended that the first grade and finest grade cream were mixed together, and the product was graded by a Government expert as the finest butter. He said he was not attacking the regulations, but the grading of the factory was perfectly innocent. The real reason the producer was sometimes given a higher grade was because it was desired to encourage hard-working suppliers. These producers were given the benefit of the doubt when the grading was on the borderline. He submitted that the offences were purely venial. Theregulations were somewhat unreasonable .', ~ ! • Mr Hubble said that if the dairy companies acted as Mr Leary suggested they might act and grade irrespective of quality, and some suppliers would not worry to keep up the quality, and those who did would certainly have a grievance. Mr McKean said the offences had been admitted. He could not be sure the company would pay more for the cream than necessary unless it had some reason for doing so. The dairy companies should know the regulations well. It was the duty of _ the company to observe these regulations. The company was convicted on each charge and fined the total of £4 10s, and £9 10s in costs.