INQUIRY INTO CONTRACT.

Auckland Star, Volume LXI, Issue 222, 19 September 1930, Page 5

INQUIRY INTO CONTRACT.

i RAILWAYS MINISTER AGREES

MR. FLETCHER'S PERSISTENCE.

(Bj Telegraph—Press Association.)

WELLINGTON, this day. When the House resumed consideration of the Railway Estimates this morning the Hon. W. A. Veitch said he desired to give the facts with reference to Mr. Fletcher's allegation that the Department- had not accepted the lowest tender for coal in the Waikato. Mr. Veitch said one company had offered to supply coal at a certain figure all the year round. He emphasised that the tender at a lower price was for all the year round, and thai was not acceptable to the Department, ilr. Fletcher read a telegram to the company, which, he said, he had been assured was the first communication the company had received on the subject. That telegram asked for a tender for the supply of coal requirements for a period of, say, three years. Mr. Fletcher declared there was absolutely no reference to seasonal requirements in the telegram. He challenged the 3 fin is - ter to show thai there had been any earlier communication to the company. Mr. Veitch read earlier correspondence on the subject, addressed to various companies, , including the company to which Mr. Fletcher had referred. He j said it was quite apparent that the Government's contract had been in the best interests of the country. Mr. Fletcher said that in spite of the Ministers assurance, the facts were that < the Pukemiro Coal Company and Renown Collieries had offered the Government supplies at 19/ per ton, whereas the Government had accepted the tender of the Taupiri Company at 19/3. He moved that the estimate be reduced by £9, as an indication that the whole question of the coal contract should be referred to the Railways Committee for investigation. The Minister insisted that Mr. Fletcher had misrepresented the position. He ! agreed to refer the contract to the i | committee, and the amendment was j j thereupon lost on the -voices. ;• ===