TREASURER AND AUDITORGENERAL.

Dominion, Volume 2, Issue 328, 15 October 1908, Page 4

TREASURER AND AUDITORGENERAL.

, (FROM OCR SPECIAL CORRESPONDENT.) Sydney, October 3. An extraordinary position has arisen as tho result of certain comments mado by the Auditor-General of Now South AVales, Mr. A r ornon, upon tho non-collection by tho Government of royalties due from tho owners of coal mines. Theso comments havo been made in that officer's annual report, laid be-fore-Parliament; and when tho matter was referred to by the Leader of the Opposition, Mr. M'Gowan, on'AVcdnesday niglit, it was mado clear that the relations 'between the Auditor-General and the Treasurer, Sir. AVaddell, are, to say the least, strained. Apparently, tho foundation for the trouble is that Mr. A'crnon lias reported the refundmg by tho Mines Department of certain royalties paid by the Mount Kombla Coal Company, in opposition to tho advice of tho Crown Solicitor. AVhen Mr. M'Gowan drew attention to the matter on Wednesday night, Mr. AVaddell doclarod vohemontly that ho would bo able to show that tho report of tho Auditor-General on this point t contained "a deliberate falsehood." He repeated this immediately afterwards, when ho said, "Before I havo dono I'll show that m this matter ho has told a deliberate lie." The Treasurer also laid upon the table of the House a memorandum by tho Comptroller of Accounts, in reply to tho last report ot tho Auditor-General, asserting that certain remarks which Mr. A 7 ernon had mado wore uncalled for, wero an implication of tho honesty of tho- financial administration of the State, and exhibited a lamentable ignorance of the State finances, and that the Auditor-General was exceeaing his duty in taking un tho rolo of a mentor to tho Government. Hero, it is evident, aro the materials of a grave public scandaH The Auditor-General holds his appointment under an Act of Parliament, and can be removed only by resolution of both Houses of Parliament, so that he is not amenable to the disciplinary control of any Minister or Ministers. Therefore, when lie was accused by ono of the Ministers in this fashion, a feeling of positive amazement was provoked. Tho subject was brought up immediately the House met on Thursday, when Mr. Waddell, in a long speech, while expressing his regret that he had used heated language conccrninc the Auditor-Genoral, maintained that that officer had made a statement which ho must have known at the timo was not true. This cf course, amounts to the same accusation all oyer again. The Auditor-General, ho said, had written ' [Refund to Mount Kombla Company in opposition to the legal opinion of tho Crown Solicitor," whereas the Crown Solicitor had given no legal opinion, and there was no legal point involved. This does not look at first sight anv more than a quibble; but any way, Mr. 'Waddoll stood to his ground, and amplified his former charge by suggesting a motive for it, saying that the Auditor-Goneral had misled Parliament for the purpose of avenging himself upon a Minister against whom he had a grudge. Tho matter is plainly very sorious; and tile dobate, which now stands adjourned until Tuesday, should prove interesting.