WAY TO PROSPER.

Auckland Star, Volume LX, Issue 33, 8 February 1929, Page 7

WAY TO PROSPER.

MUST BE HYPOCRITE.

Astonishing View Of State

Official.

MELBOURNE INQUIRY,

(Australian and X.Z. Press Association.)

MELBOURNE.. Februarv 7

The inquiry into the suspension of Mr. Malcolm L. Shepherd from his po.-t as secretary to the Defence Department was continued to-dav. before Mr. H. P. Brown, Director of Festal Service-. There are two allocations against Mr. Shepherd. The first arose out of a remark he is alleged to have made at a dinner given to Mr Bert Hinkler. Captain H. Larkin. managing director , of the Australian Aerial Services, stated at the dinner in oue-tion that he was reluctantly forced to the conclusion that it was necessary "to bribe Lieuten-ant-Colonel 11. C. Brinsmead, Controller of Civil Aviation, in order to secure even a fair hearing. To that Shepherd i* alleged to have replied: -Why do you not pay? You will not get on if yni do not* pay." The second allegation arose <u:t of a peace gathering in October, at the house of Mr."Herbert Campbell-Tone-, managing editor of the ••Sun" Newspapers. Limited, at which Captain Larkin and Colonel Brinsmead were present.' Shepherd is alleged to have said lc j Captain Larkin: "I know how to handle j Cabinet Ministers. I arrange document i in two piles. One they sign without reading, the other I advise them to read. , Now, it rests with you which pile I put your stuff in." In the course of his evidence, Mr ! Shepherd stated that when he heard of the friction between Colonel Brinsmead and Captain H. Larkin. he sent for them land heard their complaints. He told Captain Larkin to put his complaints lin writing, but the latter failed to do ' so.

I Witness described as a malicious lie Captain Larkin's charges concerning the manner of arranging official files. Xeither was there any truth, he declared, in the , allegation that he had suggested bribery. He disliked on unfriendly terms with anybody. Mr. W. Ham, K.C.. counsel for Captain Larkin: I understand that the fatherly advice you gave Captain Larkin was that a man of his type should be a hypocrite in order to prosper in busi:ness ? Witness: Yes. You really mean that a man should be a hypocrite?—Ye~. Do you really suggest that CaptaiD Larkin thought it advantageous to his company to quarrel with the head of the Department ?■—He said so himself. Col'iiiel Brinsmend's evidence included references to various air contracts, chiefly in Western Australia. Witness •.rave d-tails of his relations with Captain Larkin. He denied everything in the nature of bribery and declared that hr- never at any time gave preference to other aviation firms. Witness continued: "For many years Captain Larkin made my life unhappy, with the result that I had to convince successive Ministers I was not an unmitigated scoundrel. I may have said I was prejudiced against Captain Larkin's company. ''This man Larkin is the only man in the whole aviation world from whom this sort of thing comes."' The inquiry was again adjourned.