WAR WASTEFULNESS.

New Zealand Herald, Volume LVI, Issue 17236, 12 August 1919, Page 7

WAR WASTEFULNESS.

! *" DISCLOSURES IN BRITAIN.

AERODROME FRAUD.

REFUSAL TO PROSECUTE. A. and N%Z. LONDON. Auk. 10. Mr. Austen Chamberlain's disclosures of the serious financial situation has resulted in widespread protest against Government expenditure. The House of Commons Select Committee on Public Expenditure has completed its third report, which deals with the closing stages of the war. It is understood that it reveals grave wastefulness, and suggests that flagrant cases of profiteering deserve prosecution. The Cabinet is investigating the entire position. It is anticipated that revised Estimates for the fighting services will be submitted, showing considerable reductions.

Sir John Hunter, Administrator of Works, testified that he discovered a conspiracy between Government men and contractors in connection with an aerodromes contract, and had four arrested. They were liberated after four months on bail by the Lord Advocate, who declined to prosecute, declaring that there was no evidence that they were applying moneys to their own use, and that- the prosecution would reveal apparent inefficiency and absence of control on the part of the Air Ministry's local representatives. Sir John Hunter protested against this view, and vainly urged the Lord Advocate to reconsider his decision. Sir John emphasised the point that the time-sheets were falsified and wages paid for persons who did not exist-.

The committee expressed regret at the attitude of the Lord Advocate, and added that when cases of negligence or fraud were discovered action should be taken against the offenders regardless of whether they were officials of the department or not.