Early Life
Lee was born in Dunedin in 1891, the son of Alfred Lee and Mary Isabella Taylor. His parents were not married, and at the time of his birth, they had already separated due to his father's gambling and alcoholism. Lee's mother had little income, and the family experienced considerable financial hardship. Lee did not do well at school, and he was often truant.
In 1905, he left school to work, and became involved in petty crime. In 1908, he was convicted of theft, and served time at a boarding school for juvenile delinquents. He attempted to escape several times, and was eventually successful. After wandering the country for a time, he found work in Raetihi, but was then jailed for liquor smuggling and breaking and entering.
Three years after being released, Lee enlisted in the New Zealand Expeditionary Force, and served in World War I. He was awarded the Distinguished Conduct Medal for action at Messines in June 1917, but was repatriated after being wounded in March 1918 and losing his left arm. He arrived back in New Zealand in July 1919, and established a small business.
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