WATERSIDERS' FUNDS.

New Zealand Herald, Volume LIX, Issue 18172, 18 August 1922, Page 8

WATERSIDERS' FUNDS.

RUMOURED DEFALCATIONS.

THE WELLINGTON UNION.

UNIVERSAL AUDITS PROPOSED.

[BY MLE<3ttJU?H.—SPECIAL KKPOBTEB.]

WELLINGTON, Thursday.

A suggestion that union funds? should be safeguarded against dishonest union officials raised tho iro of Labour members in the House yesterday. In answer to a question, the Hon, G. J. Andaraon, Minister for Labour, had stated that the Labour Department had no power to institute an investigation into tho reported disappearance of funds belonging to the Wellington Waterside "Workers' Union, but that if theft had occurred the matter could be dealt with by the Police Department to which it had been'referred tor inquiry The Government was considering the framing of fuller provision against tho misuse of union funds. Mr. V. H. Potter (Roskill) suggested a compulsory audit of union funds, and said that union secretaries were often jppointed on account of their popularity rather than on their secretarial ability. When a question of embezzlement arose subscriptions were sometimes taken up so that tho matter should not become public and the names of unions or the Alliance of Labour dragged in. An audit of union funds should bo mad© before there was any time to make up past defalcations. He believed that the resuit would stagger New Zealand. Ihe Alliance of Labour would bo one of the first bodies to object to compulsory audit. ~- , , , The Minister for Labour said ho had reason for ordering an investigation of certain union funds, and he was going to" propose that Parliament should provide for the audit of the account* of all unions registered under tho Conciliation and Arbitration Act. s Mr. W. E. Parry (Auckland Central) : Are you going to do the same for all institutions? ... The Minister: All institution* registered under the Act. I am going to ask the House to pass legislation that will protect union funds from unscrupulous persons. _ . _, _ __ The Minister for Justice, Hon. E. P. Lee said that general information in regard to the alleged defalcations had been given to the police by members of the Wellington Waterside Union, but when tho president of the union, Mr. Glover, was pressed for specific information he replied: "It is true the rumour is in circulation, but at present I am not in a position to give you any information. That is all I have to say." The Minister added that it rested with Mr. Glover and his union to satisfy themselves whether there had been defalcatioua or not. If the money was missing and they reported the fact to the police the necessary prosecution would bo undertaken. Mr. H. E. Holland, Leader of the Labour Party, speaking in an angry tone, said that no direct charge had been made. There had been references to rumours in the first place by a member who was not connected with a union, but who had a reputation as a strikebreaker on the side of the employers. This question was first raised by that little combination which Called itself the Welfare League, but which had no existence outside of ono or two lawyers apd three or four paid agitators. The Minister for Labour: Were there any defalcations? Members : That is the point. Mr. Holland: I don't know. I do know that when defalcations of funds ate found out by trade unions action is taken immediately. The member referred to the prosecution of the late secretary of the Miners' Federation, and said that the unions were prompt to take action against persons - guilty of defalcations. Could the Government say as much? Had it taken any action in one particular case? Mr. Massey: What was that? Mr. Holland said he would not mention names. He declared that cases of dishonesty in State departments had been hushed up, yet Ministers had come to the House and repeated rumours about union officials.

The Minister for Justice : The president of the union will not deny it. Mr. Holland asserted that if there were defalcation* the waterside workers would prosecute.