SECRET FUNDS

Grey River Argus, 25 September 1941, Page 4

SECRET FUNDS

FOR MINERS’ LEADERS Australian Sensation ALL NIGHT DEBATE AT CANBERRA. fAus ft T'.Z. Cable Assn I (Rec. 11.50). CANBERRA!, Sept. 24. Sensational happenings took place in the Commonwealth House of Representatives to-day. The Prime Minister, Mr. A. W." Fadden, made h ! s promised statement in regard to the alleged misuse of a secret Government Fund, as cabled on September 18. In the course of his statement, he said that payments, amounting to three hundred pounds, were made early in March to the President of the Australian Coal Miners’ Federation, Mr. C H. Nelson. Mr. Fadden revealed that Mr. Nelson and another Miners’ official, whose identity is uncertain, had called on the Federal Attorney-General. Hon. W. M. Hughes, in Sydney, following upon a certain coal strike and then gave him an assurance that the coal miners wculd give continuous nroduction during the war They pointed out to him that it was essential that every miners’ lodge should be visited, so that industrial peace during the war could be widely and effectively advocated. However, they stated, the attitude of the extremists would make it difficult, 9. not impossible, to obtain funds from their Union. They suggested that, the Attorney-General, in view of the special circumstances, should make necessary funds available. Tne Attorney General, Mr. Hughes, who was immediately sympathetic to it, referred the request to Mr. Faaden. Mr. Fadden continued that he, in turn, approved of it and agreed that payment might be made to Mr. Nelson. Thereafter, three separate cash payments of one hundred pounds each were authorised, ano. were duly made by the DeputyCrown Solicitor. The Assistant Com mcnwealth Publicity Officer, Mr. J W.inkler, gave a receipt. Mr. Fadden continued that Mr. Winkler’s receipts were in the following form: “Received from the Australian Democratic ■ Front, the sum of one hundred pounds, for special expenditure, in connection with the coal industry.” Mr. Fadden further revealed that, on Monday last, certam miners’ otiicials, not including Mr. Nelson, had visited Canberra, and had informed him that visits had been made to miners' lodges bv Union officials, but that all of the travelling and other expenses had been paid out of tne Union funds, and not out of any special Commonwealth fund. Mr. Fadden proceeded to tell T ne House about a special fund “for security purposes,” which, he said aated from the year 1916, when the Commonwealth was engaged in the last war. The staff, he said, consisted of a couple of detectives, who were lent by one State; and its accounts were subjected to a Government audit. That fund ever since had been retained in order to provide the means for continually inquiring as to the growth of anti-con-stitutional bodies, and in order to employ persons of special qualificai tions to secure the requisite information in regard to subversive activities, as well as to embark in countei' propaganda, the mediums or publicity. Mr. Fadden stated that last year, Hon. W. M Hughes received Cabinet approval for the reorganisation of this Secret Fund, and for the expenditure of three thousand pounds yearly through “The Australian Democratic Front.” This was the body that made the payments to Mr. Nelson. Continuing, Mr. Fadden said that right up to the present time, the Commonwealth had made payments from this confidential fund towards the expenses of the Australian Democratic Front. The advances made up to September 13th. had been £4,818. Of this sum, salaries amounted to £1,663. No payments whatever, he said, had been made to any other Association, Trade Union, or any religious .or civil organisation. There was not a scrap of justification, added Mr. Fadden, for any insinuation that there was an improper use of public funds. LABOUR LEADER’S CONDEMNATION.

Mr. Fadden had finished his speecn when the Leader of the Opposition, Mr. J' Curtin, moved an amendment. It was as follows: “Tnat this House disapproves of the wrong use of a fund that was established in 1940 for a special purpose.’ The Opposition Leader rose immediately, and Mr. Fadden moved that his (Fadden’s) statement should be printed, and Mr. Curtin moved an amendment above mentioned. Mr. Curtin condemned the Government for a misuse of the public funds, and he declared that, while the Labour Party did not object to the use of funds for the maintenance of an Intelligence Department, the Labour Party did object to the use cf Government money, to the tune of forty-eight hundred pounds, in one year on “The Australian Democratic Front,” and to the purposes to which it was put by that body. This very organisation—“The Democratic Front” —declared Mr. Curtin, had, in one of its pamphlets, gravely libelled another Government Department, namely the Post Office, by saying that the Communists there were waiting for a revolution, when they would sever communications. One man on the Australian Democratic Front, indeed, was a Labour “Rat.” The remainder were political “stooges.” He said that out of nine pamphlets issued by the “Democratic Front,” five were speeches by Mr. W. M. Hughes. Mr. Curtin said that the officers of the Miners’ Federation had told him that, whatever was received, it went into the Union funds, and that they were able to procure the receipts and vouchers of their tour of th? miners’ lodges in the effort to promote industrial peace The debate is not finished. (Rec. 12. G.) CANBERRA, Sept. 24. The Attorney-General, Mr W. M Hughes, strenuously denied that there had been any misuse of the public funds. Mr Curtin had endeavoured, he said, to make a personal attack on him through the charges against the Australian Democratic Front. Mr Hughes then explained and defended the secret fund. He declared that no Government in the world could afford to relp on ordinary methods when dealing with subversive tactics. The debate is still proceeding. Mr Fadden stated to-night that it was possible that the debate would, go on all night. He added that in the event of an adverse vote, the Government would consider its oosition. However, the mere carrying of the Labour amendment. he said, would not clear up the matter, but a Royal Commission would. , Mr Fadden announced that the Budget would not be brought down to-morrow, as had been arranged. He would await developments. . Mr Nelson, Miners’ Leader, in a statement, repudiated, the imputations made against him. He said tie would welcome any form of public inquiry.