SCRAP TIN IN AUSTRALIA

Otago Daily Times, Issue 17504, 21 December 1918, Page 8

SCRAP TIN IN AUSTRALIA

A SENATOR'S CHARGES.

[From Otje Own Correspondent.) , SYDNEY, December 5. . P scandal arises from charges mad© m the Senate last week by Senator Pratten which are now under investigation. Boiled «o>wn,. Senator Pratten's accusation amounts to this: Before the war all tin scrap in Australia—mostly the waste from the canning factories-was bought by the Germans at about £2 per ton. When , war broke out the scrap, accumulated. A factory for the treatment of the waste was started in Sydney. In 1917 a company for the treatment of scrap tm was formed in Melbourne, and registered on May 26. Five hundred of the 8000 shares issued were held by Colonel J N. Oldershaw, who was also reported to be chairman of directors. Colonel Oldershaw was a commonwealth official in a high position, and drew £600 and allowances per ajinum. There was far. more tin scrap in the commonwealth could bo used by the Australian de-tinning factories, and an accumulation piled tip. A couple or years ago the Japanese began to make inquiries and finally offered £4 15s per ton f.0..b for the metal. A large contract was made. Sir John Hig-gins, chairman of the Wool Control Committee and metallurgical adviser to the Government, was induced, however—probably by a laudable desire to protect new industries—to place an embargo on the export of tin scrap. Thus arose an extraordinary position. The owners of the tin could, not sell to the Japanese, and the two Australian factories could not absorb half the supply. Much of it was sent to the rubbish tips. Other owners offered the scrap to Colonel OldershaVs company at £2 15s per ton, but this was refused. Instead, the owners were asked to hand over the metal to the company, the owners to receive 25 per cent, and the factory 75 per cent of the profit and the owners to pay all the working costs. Senator Pratten called it an " irrH pudent and outrageous proposal," and said that the whole proceeding had cost Australia thousands of pounds, besides constituting a grave scandal, insomuch that Government were used to bolster up a private enterprise at the publio expense.