Ivor Thomas, of 44 Haining Road, was charged on remand for that he being the owner or part owner of the: Shanghai Watch Club on November 30, 1907 and December 7, 1907 did obtain from one C. 8. Tung the sum of $18 by false pretences, such false pretences being that he did hold out to the said C. 8. Tung that if as a" member of the Shanghai Watch Club the C.8. Tung should draw a wining number and that upon rusking demand for a watch he would be entitled to a watch valued at 40, that the said C. 8. Tang did on December 7, 1907 draw a winning number and that upon making demand for a watch on January 21, 1908 he was unable to obtain same.
The Crown Advocate also charged defendant "for that he Ivor Thomas, and one H, J. Black, being evilly-disposed persons and wickedly devi and intending to defraud and prejudice certain persons hereinafter mentioned on the 12th day of November, 1907 and on divers other days thereafter, between the said last mentioned day and the 18th day of January, 1908 at Shanghai, unlawfully, fraudulently and deceitfully did amongst themselves conspire, combine, confederate and agree together, and with divers other persons whose names are to the Crown Advocate unknown, by divers false pretences and unlawful subtle ways, means, stratagems and devices to obtain and acquire to themselves of and from such Chinese and foreigners residents in Shanghai aforesaid Ningpo and elsewhere in China (within the jurisdiction of the Court) as should thereafter be induced and to buy shares or chances in 'a certain company or association known as the Watch Club, of divers large sams of money of the monies of the said Chinese and foreign residents as sforesaid and to cheat and defraud them there!
Mr. 8. H. McKean appeared for the Crown Advocate (Mr. H. P. Wilkinson), who prosecuted.
Inspector Matheson represented. the Police, and Mr. R. A. Frost appeared for accused.
Mr. N.C. Home watched the case on behalf of Mr. H. J. Black.
P. G. Sagnol, of the New Traveller's Hotel, that he was an engineer. He was never a member of the Watch Club, but he once called on them for a friend named Spartz. Witness called on January 20 and saw Mr. Black. He presented the thirty-three tickets produced to Mr. Black and asked him what was to be done with them. There were several persons present at the time, including a Japanese who had thirty-nine tickets, Witness heard conversation between Mr. Black and the Japanese who presented thirty-nine tickets. Mr. Black told him to call in the afternoon and bring $1 and then he would receive watch, When witness presented the thirty-three tickets Mr. Black told him to call in the afternoon and bring $7 and then he would receive a watch.
Mr. Black told witness that Mr.
Thomas was at the Hongkong Shanghai Bank looking over the books. While in the office Mr. Black ordered the door to be locked and that no one was to be admitted. Witness returned did. in the afternoon with Mr. Spartz. Witness was an agent for the Watch Club for one day. He was to receive $4 for each member introduced. Witness introduced eight members and he was paid part of the commission. Witness gave the agency up because it did not suit him:—"I formed an opinion after the first day."
Cross-examined—When witness saw Mr. Black he did not state in what capacity he was in the office, Witness's impression was that Mr. Black was in charge. Witness could not explain in detail how he came to the conclusion that the agency business would not do for him. The last time witness went to the office to get commission was about January 13, and he was then paid $3. The commission was payable until all the members he had got had paid up. Witness did not make a demand for more money when he was paid the $3.
Mr. Frost explained tothe Court that $4 was the commission paid for each member introduced. This commission was paid provided the member made sixteen payments towards the forty.
Say Sung-bing, recalled, stated that the other day he brought into Court twenty-two packets of tickets of the Chinese Silver Merchants'
Club. Witness was one of the organizers of this Chinese Watch Club. In November they sold this Club to Mr. Black. When they transferred the Club Mr. Black promised to give them one-tenth of the profits of the Shanghai Watch Club, Witness was not a ce-partner with Mr, Black in the Shanghai Watch Club, The only money witness received was $350, which was paid for watches sold to the Shanghai Watch Club and which bad been bought from Ullmann & Ca. Later witness said he did not want the one-tenth of the profits as he did not wish to have any connexion with the Shanghai Watch Clab. Witness bed never received any profits from the Shanghai Watch Club. The agreement to receive a share in the profits was cancelled by witness on November 23.
By the Court—Mr. Black told witness that he had sold the Clab and witness that his agreement would then be finished. He asked Mr. Black to cancel the agreement, but he said he had lost his copy of the agreement and, therefore, he gave witness " letter produced).
Leopold Straedmans, accountant in the Belgian Bank, said that Mrs. Thomas went to the bank with Mr. Thomas on January 17 and opened an account in the name of Mrs. L. M. Thomas and deposited Tls. 3,300 in bank-notes. On January 20, Mrs. Thomas drew a cheque in favour of herself for Tls. 3, and this sum was paid to her in banknotes. Another cheque for $25 was drawn on December 22 and the balance was now Tls. 275. This lady had never had an account with the bank before, neither had the defendant.
By the Conrt—Witness did not remember who actually handed in the money, but he thought Mr. Thomas Godfrey H. Thomson, chartered accountant, said that he was instructed by the' Crown Advocate to audit the books of the Shanghai Watch Club for the purpose of giving evidence in thie case. On Saturday last he went to the offices of the Club at 44 Szechuen Road snd obtained the books and papers of the Club. The books produced to him were:—Cash book opened August 1906, ended July 25,1907; an empty journal; a
Text read from the printed page and cleaned; old type leaves the occasional error.