ROBBING THE TREASURY

Auckland Star, Volume L, Issue 189, 11 August 1919, Page 5

ROBBING THE TREASURY

FLAGRANT CASES EXP.OSED. AN AERODROME CONSPIRACY. LORD ADVOCATE CONDEMNED. (By Cable.—'Press Association.—Copyright.) (Received 11.45 a.m.) LONDO-T, August 10. Mr. Chamberlain's disclosures of the serious financial situation has resulted in widespread protest against Government expenditure. The House of Commons Select Committee on Public Expenditure has complete! its third report, whicb deals with tho closing stages of the war. It is understood that it reveals grave wastefulness, and suggests that flagrant cases of profiteering deserve prosecution. Cabinet is investigating the entire position. It is anticipated that revised Estimates for the fighting services will be submitted, showing considerable reductions. Sir John Hunter, administrator of works, testified that he discovered a conspiracy between the Government men and contractors in connection with an aerodromes contract, and had four arrested. They were liberated after four months on bail by the Lord Advocate, who declined to prosecute, declaring that there was no ev'dence that they were applying moneys to their own use, and that the prosecution would reveal apparent inefficiency and absence of control on the part of the Air Ministry's local representatives. Sir John Hunter, protesting against this view, subsequently vainly urged the Lord Advicate to reconsider his decision. Sir John emphasised the point that the time-sheets were falsified and wages paid for persons who did not exist.

The committee expressed regret at the atti.-de of the I_ord Advocate] and added that when cases of negligence or fraud were discovered action should be taken n_ainst the offenders regardless of whether they were officials of the department or not. —(A. and N.Z. Cable.)