A.
Q
A.
A.
Q.
A.
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59
You say that when this General Agency agreement, which has just
come into your hands, came into your hands, Mr. Forrest and Mr.
Kobza came to see you. What was the trend of that conversation?
You say you had endeavoured to see Mr. Forrest but had been unable;
but you had seen one of his assistants to whom you had given
instructions that the refund of deposits by the General Agent must
cease at once, and that those instructions had in turn been
communicated to the General Agent?
I am told so, it was all done by telephone. I have no reason to
doubt it.
What was the nature of the conversation when they came to see you?
The general tread of the conversation was that it was essential
for the smooth working of the department that these arrangements
should continue and not be stopped as I had instructed. I was
informed that the whole thing was subject to a proper formal
agreement and that agreement was produced in support of the arrangement by which deposits were being refunded by Mr. Kobza.
Did you for instance mention at that interview the absence of
security?
Yes.
Bid you mention the fact that no special bank account had been
opened?
I did not know at that time. It was while reporting to the
Financial Secretary that I received these cheques. I might add
that Mr. Kobza himself came to see me the next day but he merely
told me what I had heard before and there was nothing of any
general value in his conversation.
Mr. Brown: With regard to the question of deposits. I am not
quite sure about the system. Are all deposits which are received
paid into the Treasury?
A.
Yes.
Q.
A11?
A.
All amounts have to be paid into the Treasury. I found they were
not all paid into the Treasury.