BODIES WARNED Court action on subsidies

Press, Volume CXI, Issue 32587, 22 April 1971, Page 1

BODIES WARNED Court action on subsidies

(New Zealand Press Association) AUCKLAND, April 21. Irregularities in claims for subsidy payments from the National Roads Board to local authorities might result in prosecutions, the Municipal Association conference has been told.

In a report to the conference, being held in Auckland this week, the association’s representatives on the board, Mr A. M. Linton, the Mayor of Rotorua, and Mr J. S. Thorn, the Mayor of Port * Chalmers, said that an increasing number of irregularities in claims was being found.

“There was a time a few years ago when it was extremely rare for a municipality to be mentioned in this connection,” the report said. “This is no longer the case, and we feel it necessary to appeal to municipalities to be much more particular in checking the claims for subsidy to see that they are in order, and that there will not be subsequent irregularities discovered.” So far, the board had allowed time payment of money that had to be refunded, and had not even charged any interest, the report said. So long as the money had been refunded, the board had considered the matter dosed.

“With the continuing growth of the number of cases, this attitude is harden, ing,” the report said. “The time is not far distant when the board will have to consider prosecution in serious cases."