Two copies of a code used in the disposal of stolen securities were said to have been found by police searching the New York flat of one of 11 men, including the three Kray brothers, who appeared at Bow Street, London, yesterday.

The allegation was made by the prosecution outlining the charges against the men which it described as “very large-scale conspiracy – to make money out of stolen securities.”

These had been stolen in Canada or America, either by armed robbery or housebreaking brought to London, and usually disposed of on the Continent, said Mr Kenneth Jones, prosecuting.

The accused are: Ronald, Charles, and Reginald Kray, Thomas Cowley, Robert Gould, Marshall Goldblatt, Gordon Anderson, Michael Kenrick, Mark Kaufmann, Mark Kennedy, and Arnold Davis.

Found in flat

The copies of the code were found in Kaufmann’s flat, said Mr Jones. “It is obviously a code to be used in connection with dishonest dealings, principally in securities.”

The Kray twins, Ronald and Reginald, were referred to by the word “broads, and “red” meant Charles Kray. The word “colony” meant “bank.” Other code names were for days of the week, hotels, and for various aircraft flights, Mr Jones alleged.

Earlier, outlining the case, he said there were men who were able to get hold of securities that had been stolen either from banks in Canada or from private houses in the United States.

“The three Kray brothers saw this as a means of making money dishonestly,” he said. Securities on a large scale were disposed of in Germany and Belgium and the proceeds brought back to London and shared out. The operation started in the summer of 1965 and was continued right up until the time these men were arrested in March.

Many disappeared

A great many people were involved, but always at the centre were the three Krays. Many of the others had disappeared and “passed beyond any power to bring them to book.”

In one transaction in which securities were forged and disposed of in Germany, the people involved received at least £6,500, said Mr Jones. In another, in which the Kray brothers were again among the principal conspirators, stolen Canadian Government bonds disposed of in Germany netted £15,000 to £16,000.

The hearing was adjourned until today. Goldblatt, Kennedy, and Davis were remanded on bail, the rest in custody.