London, Mar. 26.
Paris advices states that the examining magistrate is inquiring into another charge of fraud and abuse of confidence against M. j!Pennotte, former Director of the Banque Industrielle de Chine.
According to the facts now published, the Banque issued 24,000 bonds at 500 francs in the name of the Societe Commercial Maritime clu Pacifique in December, 1919. The proceeds from these had to be guaranteed to bondholders by the purchase of vessels and mortgages on commercial buildings. It is alleged that this sum was actually included in the circulation funds the Banque, which paid five per. cent. interest to the Societe. It appears that 7,000,000 francs were actually expended on boats but the allegation is that the investors' money was not guaranteed as it should have been. It is further alleged that the Banque employed these funds for various purposes.
M. Pernotte replies to these j charges that the whole 12,000,000 francs passed into the hands of the liquidators of the Banque—Reuter's Special Service.
Text read from the printed page and cleaned; old type leaves the occasional error.