CLAIMS FOR INSURANCE

Waipukurau Press, Volume XXVIII, Issue 121, 17 May 1932, Page 6

CLAIMS FOR INSURANCE

SEQUEL TO GARAGE FIRE.

ALLEGED FALSE PRETENCES

Charges Of attempting to obtain money by false pretences from the United Insurance Company, Ltd, were brought in the Napier Police Court yesterday against William Ebenezer Hyslop, of Hastings, managing director of the Tourist Motor Company, Ltd., John Young Hannay, of Napier, salesman, and Leonard Ralston Wyllie, late of Napier, service driver.

The Crown’s Case.

A brief outline of the alleged offence was given by the Crown Prosecutor, who said that the Tourist Motor Co., Ltd., were the owners of a nine-seater Studebakei’ motor car. Evidence would be brought to show that the car was purchased for £B6O but the company placed a much higher selling price on it. Later the company engaged to sell the car to Wyllie on a hire-purchase agreement. On March 2 Hannay reported to the company at Hastings the sale of the car and on March 8 he further reported having raised the price to £l5OO and having “ballooned” the deposit. The vehicle was destroyed by fire on October 23, when a claim for insurance was made against the United Insurance Company, Ltd., In the declaration made to tlfe latter company the purchase price of the car was set out at £l5OO plus interest on unpaid purchase money. The deposit paid on the car was set at £5OO, while the value of the car was put at £l5OO. This the Crown submitted, was a false declaration.

Documents With held.

“My instructions are to give the case as much publicity as possible,” said counsel for the accused Hyslop. He said that an undertaking had been given by the police to have opportunity to inspect all the books and papers seized by the police, but after going round to the police he was refused some of the papers on the grounds that they were exhibits. The police have deliberately withheld documents from the defence and I wish to draw the Court’s attention to the matter,” said counsel. Evidence was then given by William Stanley Gillies, service-propriet-or, of Taupo, that he had been shown the nine-seater Studebaker car by Hyslop and his brother. They had offered to sell the car to witness, say the value of the car was round about £1,150. The Documents of Sale.

Evidence that he had received documents made in connection with the sale of a car to Wyllie, was given by Vivian Walter Cox, of Cox and Co., also the Hawke’s Bay manager of the N.Z. Guarantee Corporation. He said he also had an agency of the United Insurance Company, Ltd. Witness issued a certificate of insurance on the car for £l.lOO on the strength of the documents he had received. The N.Z. Guarantee Corporation advanced, in all the sum of £1,057 13s. Had the £5OO deposit not have been shown to witness to have been paid, he would not have been allowed to have advance so large a sum. Had witness been aware that only £5O had been paid in actual cash, he would not have granted insurance of £l.lOO on the car, but probably ’would have granted £l,OOO cover.

The next witness for the prosecution was Constable Craigie, of Hastings who stated that Hyslop made a statement on February 16, 1932, to the effect that deposit on the car had been £5OO. On the destruction of the vehicle he had claimed the insurance of £l,lOO. Ordered oil Premises. Herbert Roger Bisley, insurance adjustor, of Napier, testified that he adjusted the loss on the Studebaker car, acting on instructions from the United Insurance Company. Witness had seen the car before it was burnt and on that occasion he had been told that the price of the car was £ll5O. When he went to the Tourist Motor Company to inspect the destroyed car he had been ordered off the premises by Jack Hyslop. Witness then saw Wyllie, who said that he had purchased the car for £l5OO, with a deposit of £5OO paid in cash. Witness then said that he knew that the money had not all been paid in cash, when Wyllie admitted that that was the case. He told witness that he. had paid £l5OO for the car because he did not have much actual cash to offer. He admitted knowing that the car had been offered for sale in Napier for £1250. Witness asked to be given that statement in writ-

ing, but he refused to do so. Asked if he would deny that in Court, Wyllie told witness that he would go into the witness-box and commit perjury. He added that he “did not want to get old Bill into trouble. Under cross-examination to counsel for Hyslop, witness said the value of the car immediately after the fire was placed by witness at £3OO. To counsel for Wyllie and Hannay: After witness had thorougly investigated the claim, he .recommended the company not to pay over any insurance moneys. Counsel: Were you employed by the United Insurance Company or by the police? Witness: By the insurance company. lam not employed by the police. On arriving at the scene of the fire did you see Mr. Jack Hyslop there? —Not when I first arrived. And as soon as you did see him he kicked- you off the premises?—No; he did not kick me off. He asked you to go off, then? — Yes. He said he had reason to do so on account of Robinson's claim. At all times Leonard Wyllie never told you anything but that £l5OO was the price of the car?——Yes. I put it to you. that it is a deliberate invention of yours when you said that Wyllie remarked: “I don’t want to get old Bill into trouble”? —It’s a lie. Mr. Bisley, you must not say that to me. —Well, is it not a deliberate invention. It is what Wyllie said to me. Evidence was given by Walter John Stevens, late manager of the Aard Motor Service at Napier, to the effect that prior to the Tourist Motor Company fire the accused Hyslop’s brother offered to sell witness the car fox’ £B5O. Donald Ferguson McArthur, manager of,the Hawke’s Bay Motor Company at Napier, also related how the car had been offered to him for £B5O. The next witness fox’ the prosecution was Charles Douglas Wilson, accountant, of Napier, who testified to having examined the books of tb Tourist Motor Coxnpany. Witness gave evidence regarding memoranda written by the accused Hannay intimating that he had sold the car for £1250 on terms, with a deposit amounting to £250. There was also a lettex’ received froxn Hannay, witness continued, in which he stated that the price of that car, “ballooned,” would be £l5OO. The hearing was adjourned until 10 o'clock this morning.