SURPLUS SPECULATIONS.

New Zealand Herald, Volume LXI, Issue 18703, 8 May 1924, Page 8

SURPLUS SPECULATIONS.

The plain statement by Mr. Massey that the year's surplus will be found, to be "well under £2,000,000 " does not satisfy the four Christchurch Labour members. By a process of speculation, they reached the conclusion that il was " abundantly plain " that the surplus would be in the region of, even well over, £3,000,000. What was abundantly, plain on Tuesday was somewhat obscured yesterday for now it is only " alleged " thai the higher figure' is correct. Whj • should such sinister things as allegations be imported into the dis oussion of the amount of the surplus, which is determined by the strict accounting of public moneys by officers secure in their statu powers ,The use of such terms betrays the real purpose of this labour group, not to discover facts, but to manufacture a case against the Government. That conclusion is confirmed by the candour of then latest statement. "We are anxious to see if there was some extraordinary expenditure in the laet two months, and whether 'capital expenditure, such as the repayment of loans other than treasury bills, has been made out of revenue." If is charitable to presume that the authors of this statement re so utterly ignorant of the public accounts that they have quite innocently made a grave .insinuation against the honesty of the Government and the probity of high State officials, since it would only be by their connivance that capital expenditure could be so concealed as to reduce the surplus. The alternative explanation is that they are deliberately . creating an impression that whatever figure is announced will be false, and that the amount by which it falls short of their theoretical £3,000,000 will represent capital expenditure such as the repayment of loans. A good deal of license is allowed in politics, but such a suggestion goes far beyond the limits of fair criticism. For the benefit of those who are not familiar with the public accounts, it should be explained that the surplus is not directly shown in the statutory statements. It is the excess of the year's receipts over the year's expenditure, and ' members of Parliament and the public have the guarantee of the Secretary and the accountant of the Treasury, with the certificate of the AuditorGeneral, that the expenditure has been authorised by statute or bj Parliamentary appropriation. If anj funds are transferred from the ordinary revenue account for capital expenditure, such 4 as the customary transfer to the Public Works Fund, the amounts and the legal authority for them ftre set forth in detail. The amount of the surplus can be ascertained by in spection of the account, and it is impossible for either a Minister 01 any official to use revenue foj capital expenditure in order tc

lsify the surplus.

There . are

grounds for the complaint regarding the absence of monthly statements of the national accounts, but there is no justification for implications against the honour of the Government or its officials. Critics who descend to such tactics confess themselves unworthy of trust.