1941-09-19 — Page 8

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THE CHINA MAIL, SEPTEMBER 19, 1941

DEAL IN SLEEPERS FOR A.R.P.

(Continued from Page 1) And put your chop on it? Perhaps that is so in the receipt, I can't say.'

The Cheque

received

Who is the man who the cheque from Marsman's made qut in the name of Pang Chik and Tam? That I don't know.

But you must know, you the manager?—I,

never received any.

myself.

are have

But who is the man who would receive them?-Maybe it was Tam Long-hing.

It maybe.Yes.

Do you work in the office? Not always, sometimes.

Who is in charge of the office? The man who is charge of the accounts.

you

the A.R.P. Department told to buy up and resell to Govern ment at a profit? That is not $0.

Sleeper Dealings

The next witness called was Kwong Ming-kwong.

The Chairman: What do you do? Now? I am not doing anything at all.

What were you in November, 1940? Dealing in sleepers.

What firm? The T'ai Lee Lumber Company.

What were you?

-

―

Manager.

Were you a partner in the

firm? Yes.

Was that on December 1940? - I. can't remember.

No Notepaper

24.

Marsman's have put the sale in the books as from Pang Chik and. Tam? Sitice our company was newly and suddenly formed, we had no note paper; we borrowed from Tam..

Who signed the receipt? Pang Chik and Tam? I cannot now remember what name was used.

I take it Par-Lee has its own chop? I can't remember when they had their own chop. The formation was 50 sudden there

was no chop at first.

Not for a time? Yes, later,

How much money did you put when I can't remember, a chop in? $5,000.

Witness also admitted that he was a partner in the Pang Chik The and Tam firm.

Would he receive a cheque made out to you by Marsman's? -

would receive it person who would be

Tam Long-hing or Kwong Ming-kwong. It would not be handed to the accountant. Have you a bank account? Yes.

-

Hong

Which bank? The Kong and Shanghat Bank.

Any cheque from Marsman's to you would pass through that ac- count? Yes, but I have never received any cheque from Mars-

In's

Chan?

I

No.

Tell me how Tal Lee came to be formed.

We formed it at short notice.

Very short notice? Yes. Has Pang Chik and Tam got Yes, the Tai any other name? - Lee Kin Chuck Kung Ching (Tai Lee Building Contractors).

Is it the same as the Tai Lee Under dif- Lumber Company? ferent names.

never have

Tal

Lee

no

|

was made.

They had a chop?

Yes.

They would put the chop on the receipt ceived?

for any Yes.

On December 24, Chik and Tam $3.35 each? -

money re-

1940, Pang

sold sleepers at Yes.

Those sleepers belonged to Tai Lee? - Yes.

Do you remember the transac tions? Yes.

"Slipshod"

in the cheque Who received

Somebody, 1 can't payment? remember and can't say who did.

the Was

transaction put It did not come to me.

Yes. through your books? -

Can

the book you produce showing this particular transac tion? - can't now because when the Company was formed everything was done in a hurry and slipshod manner.

So no such book is in exist- ence? No.

I

How do you mean? Witness then explained that the Nor from Kin Lee?

the Kwong Yip Tui Lee Building Contractors had Do you know

and Shing Arm?

contracts with Government lost all their money and when heard of 11.

Do you know the Tal Lee the opportunity came to deal in

i have never heard of railway sleepers the

Building Contractors had capital to carry on the business. So it was decided to form a pri-

to deal solely Both are supposed to be tim-sleepers, and partners

vited. ber firms and opened at the same

Do you never keep books? So, added witness, a firm for Lee, and were lime as the Tai

only make None, we the

of sleepers was purchase railway solely to buy

slips. formed by several partners of the sleepers.

Marsman's That I don't know.

Through whom in the Tai Lee Building Contractor firm.

this

deal was

particular

put Have you ever heard of

Development National Financial

Shum Chuk-yau of

formed

Same Time

Company? No.

---

were

The Kin Wah Company? No. Well.

two firms these formed some time ago. I have no idea about it.

Marsman's nurchased a lot timber from the National Finan- cial Development Company. don't know,

Sold through K. C.

I don't know.

of

I

Leung.

And you say you don't know him? No.

Kin

He is the manager of the Wah Company. I don't know.

Has Pang Chik and Tam ever] sold timber to anybody at all?

Never.

Why did you form the pany? Which company?

Building Firm

com-

Pang Chik and Tam.-This is a building contractor firm.

You never had any transactions in timber-We bought wood

our own use.

[or

But never sleepers?-Never. Have you undertaken any con- tracts for A.R.P. work?—No.

Any Government contracts?- Yes.

For what? In connection with roads and waterworks.

You don't know anybody by the name of Ah Kee?-No sir.

I want you to produce the book: of your firm showing the sales of materials during the month of December 1940, and In particu-

lar.

Witness: We never made any sales to anybody.

The Chairman continued.

in particular, I want full details of the sale of 5,000 railway sleep-

Limited. on ers to Marsman's, December 24, 1940, at $3.35 per

sleeper.

vate Arm

in were in-

notes

Ont

are So there The Chairman:

intimate very

connections be-through? tween Tai Lee

and Pang Chik Marsman's.

Did you approach him or did No connection at and Tam?

He looked he approach "you? all, regarding money.

What was the Connection?- us up:

What did he tell you? With the individuals. Put it this way.

came in answer to an advertise- connection between the four part-ment in the Chinese paper about ners and the Tai Lee Lumber Co the sale of sleepers.

-Yes.

There was a

"Brainy Man”

You say the company was form- ed at short notice to buy sleepers, Who was the brainy man?--Tum Long-ying and I started it.

How did vou come to think of the idea?-Raihway sleepers were cheap and we thought of using them as wood.

You say cheap at the time, what month was it? November, 1940. Sleepers were cheap.

-

He

Yes. Did he ask the price? Did you come to an agree- Iment? Yes.

There And Then

You fixed the price? Yes. He accepted that price?--Yes. And did he give you there and 7,000 then the order for these sleepers?-Yes, on the two difter- ent lots

5,000 of 2,000 and sleepers, by the same man, Shum, He gave the order for Mars- man's? He mentioned no name. had been after delivery taken.

What commission did you pay him?--None at all.

You formed this company to only buy railway sleepers for wood?-

Yes

Is it not local Chinese custom to people to pay a commission

of

What did you do next?—At that time Pang Chik and Tam had no available capital to join the enter prise and I on my own idea want-who introduce business to them? ed to form the company.

--The question of payment

men da What did you do next?-We commission to middle bought sleepers from K. C. Leung,pends whether he comes of his.. Did you approach him yourself? own accord, or whether he comes -No, Tam Long-ying approached in answer to an advertisement. Mr. K. C. Leung.

In our case we advertised, the Mr. K. C. Leung is connected sale of the timber. with the National Finance Cor-But is it. not the custom?--I poration? Yes,

would not pay commission to any- Also with the King Wah Com- one who came in answer to qu pany?--That I do not know. advertisement, but if I sent a What was the agreement made man out to canvas for business, with Mr. K. C. Leung? The terms I would pay him a commission. were complete delivery within three months,

How much did you pay for a piece of sleeper?-$1,90.

The Profit

I also want information of a That, you say, was in Novem- payment in December. 1940, to ber, 1940?Correct.

Pang Chik and Tam of a sum of On November 19, 1940, accord- $3,434 by the Kin Lee Companying to Mr. Carman, you sold. After witness had noted down Marsman's 2,000 sleepers at $2.90 the requiretients, the Chairman each? continued: "Do you know. Kwong: Is that correct?--Correct. Wing of the Kin Lee Arm?No. You made a profit of $1 each?

You have never seen him inYes.. your life? Never,

“One And Same"

Mr. Kwong Wing gave evidence about his dealings with Pang Chik and Tam and with the Tal Lee Lumber Company. He agreed that these two firms were one and the saine company-He had no know- ledge about the two firms...

The statement is not correct then? I say it is not correct.

According to what you have sald four of the partners in Pan: Chik and Tam are also partners in Tai Lee?—Yes,

In a few days-Yes. Your profit was $2,000? Yes. Did K. C. Leung tell you where he got the sleepers from? He fold me from Jardine's.

Jardine's represent the Chinese Government? Yes.

Did he tell you what he paid for them? No.

he

You did not know this man was from Marsman's? I knew was employed in Marsman's, but I did not know whether he was buying for them.

As a result of this business, you sold 7,000-sleepers at $3.50 each?

Yes.

Quick Profit

Those sleepers-cost you $1.907- Yes..

In other words you made a pro- at of over $7,000? Correct..-

On this one transaction, in the space of a month? Yes.

Who else did you sell sleepers to? We sold to Kin Lee and to some firewood - dealers, »

When was it you sold 5,000 to Kin Lee?I did not sell him, 5,000 sleepers in one lot,

Let's hear about it. I cannot tell off hand, but whenever they required sleepers from time to time, say 300 or 500, they cams.

Less than $1.907-I don't know. He would not sell at the price he got them? Certainly, a

He must sell them at more than for it he bought them? Certainly must make a profit.,

he

Well, Mr. Kwong Wing said he paid you $3,431 on December 7, Any more purchases? We 10407-I cannot remember! bought 80.000 in one consignment. Feel wirendi ihis, (produc- Ing document)--Perhaps it is cor

Do you still say they are not] At $1.80?—Yes.”

the same firm? They are differ- Two thousand of these vou sold rect.se

ent firms, we direct to Mareman's at $2.00?101 is not perhaps; it is correct.

Am I not correct in saying that Yes,

they were formed for the solo To whom did you sell the other purpose of cornering the market 78,000. Give me the name of and then selling to Mursman's at the person?We subsequently sold enhanced price. Am I not cora second lot to Marsman's. rect in saying that somebody in How mu

€0,000? Yes.

I cannot remember.

They paid you $3,434 for 1,010 at $3.40 each? Yes.

Did you sell Kin Lee any more

(Continued on Pago: 9)