MR SCCOBIE MACSENZIE OF BUGUS SALE OF RAILWAY STORES.

Otago Witness, Issue 2358, 4 May 1899, Page 8

MR SCCOBIE MACSENZIE OF BUGUS SALE OF RAILWAY STORES.

The following ore_ihe remarks of Sfu - Scobie Mackenzie on the bogus s«la of roil-» way glares: — " The either 'netance (of fee- policy of trap.-* rcalvtient) refers to a matter 1 have 4itekd^ alluded to to uight. In its way it is a ourxous story. Last year the Working -&ail« ways department was hard .up • for mo«*y td carry on with. You may think it odd that that should be bo, with, a surplus of ovec half a million, but, there aro scange things in politics. But the Public "Works .department, which is quite distinct and separate, and deals for the most part with loan money, had some to spare. The problem therefore was how the Working Railways department was to get hold of some. Two officers — one from, each department — put their heads ta»> gether, and solved the problem in a- very simple way. The public man said to the other, in effect: 'You go through the form of selling iis - some stores, rails, eleepers, boiler plates, and so forth, and it will be all right.' — (Laughter.) I'll quota you exactly the man's words, which. I have in a. parliamentary paper here, so that "you'll understand what the two were 4 driving at. ' The Railway department should write tor us saying they Have more rails on order than they want — (laughter), — and askihg us to take over £20,000 worth.-'— (Renewed laughter.) The advice was followed. The Railway department suddenly^ discovered ' that it had £3Q,000 of rails'- above 'wiat ife could use, and sold -them -for - that amount. The oue department didn't really to sell tha rails and the other didn't 'want to buy, but that was nothing. •" It is a.question, whether the rails were -really there to sell.— (Laughter.) Now" it is most important to notice that this was before tht» 31eb March, which is the balance date — the dale when the celebrated surplus- accrues. Tho net result of the transaction therefora was to add a credit of £30,000 to the con- , solidated fund, and,_of course, also to the s\rplu3. Then., after the balance day was ovor. ti*a • Treasurer was proceedingi quietly to rererso all t!>9 entries — to reverse t'-iOii), "ii.«ri: .YOU. after the railways had gob the credit of yioTcfing tho- mcjaay and the Government had got the credit of tlie sufplus, — when tho Auditorrgeneral stepped in, stopped the business as illegal, and reported the matter lo Parliament. I should liko ta , -ay here, for I want to bo fair, that I don't j believe tho transaction was made in order |to increase tho Burplua ; but it had thab I effect, and, of course, the Treasurer knew J it. Well, tho House ordered an inquiry by j the Public-Accounts. Committee. 1 need j siob tell you that that committee has a mai jority of Government* supporters on it, liko I oil other?. The. report M-as on the whole ' ! fair, -though ■ the coinmUtee -tried,; its besb • ro let the Government dowr.. easily. After taking evidence* from all the officers, ifc reported -that, while- tho Government might be justified in raising money -by. selling stores, the result . bad been to add £30,000 unduly to the. consolidated fund— that .is, 'to • tie surplus. ' And then the committee', wenb jon ta express" il<? rogre>, — regrefc is' the parliaj n/ontary form cS t rousure—^that the- Treasurer hid not . thought fit 'to diseloso .the. real nature and' effect of the- transaction •to the House in tho • Financial Statement. I bught to tell you ' that although .the £30,000 'transactions only were inquired/ into, -it is' quite certain that ' the real sum added ta the surplus by .bogus sales of stores was £51,000. Now I want to impress upon you that ifc is -not tho transaction -itself tbat is so significant ; it is -the vile system of- cpncealment running all through it. — (Applause.) Mr Seddon in the Financial Statement made & passing allusion to the Railway department being a little short of money, but 'not a word as to how the difficulty was got over, and not a solitary hint that the result had been to add a non-exist©ift sum to the surplus. But for the fact that the Auditorgeneral is an officer of Parliament, arid not an official of the Government, we should nob have known anything of the matter to this day. An accidental flash of light was thrown on it. I tell you that this system of concealment and deception is unique in British politics. I believe lam keeping 1 within tho mark when I. saw that the lovernment when they took office in i!">9l turned a stream of moral sewage under the very foundations of the Constitution, which has been meandering there ever since, corrupting and contaminating everything ,it come 3in contact with. — (Applause.) You mightn't have believed all this at any other time, but I fancy the marine scandal will open your eyes."

Mr Crawford Anderson, o£ Stirling, is definitely out for the Bruce seat.