PUBLIC ACCOUNTS FOR THE FINANCIAL YEAR 1939-1940. PART II. PREPARED BY THE TREASURY DEPARTMENT. CERTIFIED TO BY THE CONTROLLER AND AUDITOR-GENERAL UNDER THE PUBLIC REVENUES ACT, 1926. ALSO REPORT OF THE CONTROLLER AND AUDITOR-GENERAL.

Appendix to the Journals of the House of Representatives, 1940 Session I, B-01-part02

B.—l [PT. ll]

1940. NEW ZEALAND.

PUBLIC ACCOUNTS FOR THE FINANCIAL YEAR 1939-1940. PART II. PREPARED BY THE TREASURY DEPARTMENT. CERTIFIED TO BY THE CONTROLLER AND AUDITOR-GENERAL UNDER THE PUBLIC REVENUES ACT, 1926. ALSO REPORT OF THE CONTROLLER AND AUDITOR-GENERAL.

i—B. 1 [Pt. ll].

B.—l [PT. ll]

CONTENTS.

PAGE AUDITOR-GENERAL'S REPORT .. .. .. .. • • ■ • • • • • ■ Statement of Irregularities in Connection with Public Moneys and Stores .. .. xiv Schedule of Imperfect Vouchers .. .. .. ■ • • • • • • • • xvm Statement showing Sums irrecoverable by the Crown .. .. . • ■. • • xxi INTEREST, CONVERSION, AND REDEMPTION REMITTANCE ACCOUNTS .. .. 1 STATEMENTS OF REVENUE Ordinary Revenue .. .. .. .. .. . • • • • • • • • • 2 Ordinary Revenue, Interest on Public Debt Redemption Fund .. .. .. •. 0 Ordinary Revenue, Interest on other Public Moneys .. .. .. . • • • 6 Ordinary Revenue, Miscellaneous Revenue .. .. .. .. .. .. • • 8 RECOVERIES ON ACCOUNT OF EXPENDITURE OF PREVIOUS YEARS Consolidated Fund (Ordinary Revenue Account) .. .. .. .. .. •• 11 Public Works Fund (General Purposes Account) .. .. .. .. ■ • • • 25 Land for Settlements Account .. .. .. .. • • • • • • • • 27 Main Highways Account .. .. .. .. .. • • ■ • • • • • 35 State Coal-mines Account .. .. .. .. . • • • • ■ • • • • 35 State Forests Account .. .. .. .. .. • • • • •■ • • 30 DISBURSEMENTS UNDER CIVIL LIST ACT, 1920 (see 8.-l [Pt. I]). DISBURSEMENTS UNDER SPECIAL ACTS Debt Services, Interest .. .. .. •. ■ • • • • • ■ • 13 Debt Services, Amortization of Debt — Sinking Fund .. .. .. .. • • • • • • ■ • • • ■ ■ 15 Repayment of the Public Debt Act, 1925 .. .. .. .. .. • • 15 Transfer to Loans Rede vtption Account .. .. .. .. .. .. ■ • 15 Debt Services, Administration and Management .. .. .. .. .. • • 15 Debt Services, Payment on Guaranteed Loans .. .. .. .. .. .. 16 Other Services .. .. .. • • • • • • • • • • • • ■ ■ 1' UNAUTHORIZED EXPENDITURE (see 8.-l [Pt. I]). DISBURSEMENTS UNDER RURAL INTERMEDIATE CREDIT ACT, 1927, SECTION 16 .. .. 22 STATEMENT OF BALANCES IN RESPECT OF PAYMENTS MADE ON BEHALF OF OTHER GOVERNMENTS .. .. .. • • • • • • • • • • • • • • 22 IMPRESTS OF THE CONSOLIDATED FUND (ORDINARY REVENUE ACCOUNT) OUTSTANDING.. 22 DEPOSITS ACCOUNT Summary of Deposits Account .. .. .. .. •. •. • • 23 Receipts and Disbursements under the Trustee Act, 190S .. .. .. .. .. 24 IMPRESTS OF THE PUBLIC WORKS FUND (GENERAL PURPOSES ACCOUNT) OUTSTANDING .. 25 STATEMENTS OF TRANSACTIONS Public Works Fund (Electric Supply Account) .. .. .. .. 26 Employment Promotion Fund .. .. .. .. .. .. .. • • 26 Land for Settlements Account .. .. .. .. .. . • • • •• 27 Loans Redemption Account .. .. .. .. .. .. . • • • • • 29 State Coal-mines Account .. .. .. .. .. .. .. .. .. 35 State Forests Account .. .. .. .. .. .. .. .. •. 36 Temporary Transfers under Section 40 of the Public Revenues Act, 1926.. .. .. 36

B.—l [Pt. ll]. \

PUBLIC ACCOUNTS FOR THE FINANCIAL YEAR ENDED 31st MARCH, 1940

REPORT OF THE CONTROLLER AND AUDITOR-GENERAL.

I have the honour to submit my report for the year ended 31st March, 1940, in terms of subsections (2), (3), and (4) of section 89 of the Public Revenues Act, 1926. In connection with these reports, which the Controller and Auditor-General is required to submit to Parliament year by year, it is desirable to remark that it is necessary to comment only on a small number of the matters affecting the Public Accounts which are the subject of Audit Office inquiry each year. It will be readily understood that in almost all cases where questions on ordinary transactions are raised by Audit any adjustment necessary is made or a settlement is arrived at after discussion with the Treasury or the Department concerned, and that there is no occasion for reference to be made to these cases in my reports to Parliament. The full Statement of the Receipts and Payments of the Public Account is contained in two parliamentary papers —namely, Parts I and II of 8.-l. Part I shows, under main headings, the receipts and payments of the funds and accounts comprising the Public Account, and also shows details of the expenditure under the annual appropriations, Civil List, and the Unauthorized Expenditure Account, whilst Part II shows certain of the receipts and payments in greater detail than they are shown in 8.-l [Pt. I]. The last-mentioned paper for the year ended 31st March, 1940, has already been laid before Parliament and it only remains necessary for me now to present Part 11. Treatment of Exchange. In the report of the Controller and Auditor-General each year since 1932 the attention of Parliament has been drawn to the unsatisfactory method which has been followed in connection with the treatment of exchange in the Public Accounts. The method in question was set out in some detail in last year's report, and as due attention has been drawn to the matter I propose to comment no further on it meanwhile.

B.—l [P T . ll].

Repayment of the Public Debt. The following table gives particulars of the amount of securities redeemed during the year under the provisions of the Repayment of the Public Debt Act, 1925, and also the total of the amount as redeemed to 31st March, 1940 : —

One of the advantages claimed for the debt-repayment scheme was that the annual charge on the Consolidated Fund would be reduced as debt was redeemed each year, but there is a reduction only when the interest charge on the debt redeemed is greater than the contribution which becomes payable by the Consolidated Fund to the Debt Repayment Account under the provisions of the Repayment of the Public Debt Act, 1925. Under these provisions Ordinary Revenue Account is required to contribute to the Repayment Account an amount computed at 3| per cent, on the public debt redeemed under the provision of the Act, and it will be seen that no saving can be made on any debt redeemed on which interest was payable at a lower rate than 3f per cent. The Public Debt Commission has, during the year, redeemed £5,000 2|-per-cent. and £1,626,580 3-per-cent. securities, and the contribution required from Ordinary Revenue Account will be £8,182 18s. in excess of the amount previously required for the payment of interest. The following statement shows the amount of loans subject to the Repayment of the Public Debt Act, 1925, and of those not subject to the Act as at 31st March, 1940: — Particulars. £ S. d. Debt subject to the Repayment of the Public Debt Act, 1925 .. .. 249,344,651 11 9 Debt not subject to the Repayment of the Public Debt Act, 1925 — Loans for which special sinking funds are provided— £ s. d. £ s. d. State Coal-mines Account .. 167,953 6 8 Electric Supply Account .. 14,171,199 1 0 Nauru and Ocean Islands Account 284,405 0 0 Westport Harbour Account .. 614,250 0 0 Samoan Loan Suspense Account 82,000 0 0 15,319,807 7 8 Funded Debt to the Imperial Government — Ordinary Revenue Account — Naval Defence Act Account 577,446 11 5 War Expenses Account .. 23,320,196 17 0 Public Works Fund — General Purposes Account .. 169,109 15 3 Land for Settlements Account .. 33,446 6 11 24,100,199 10 7 State Advances Account .. .. .. 34,142,877 14 3 73,562,884 12 6 Total debt as at 31st March, 1940 (see 8.-l [Pt. Ill], page 9) .. £322,907,536 4 3

IV

Nominal Value of Securities. Total to — ; Total Cost of Rate of Interest. 31st March, 1939. I Total to Redemption. Year 1939-40. 31st March> 1940Per Cent. £ s. d. £ s. d. £ s. d. £ s. d. 2J .. .. .. 5,000 0 0 5,000 0 0 5,000 0 0 3 .. .. 2,211,588 14 8 1,626,580 0 0 3,838,168 14 8 3,838,168 14 8 .. .. 476,960 0 0 4,041 8 8 481,001 8 8 4-81,001 8 8 3f .. .. 0 12 0 170,375 15 4 170,376 7 4 170,376 7 4 4 .. 3,036,433 0 0 72,220 5 6 3,108,653 5 6 3,096,965 14 7 44 .. .. 2,087,460 0 0 .. 2,087,460 0 0 2,072,082 5 0 5 .. 5,423,735 0 0 .. 5,423,735 0 0 5,423,181 5 0 5| .. .. 1,530,990 0 0 .. 1,530,990 0 0 1,530,972 10 0 5J .. .. 1,033,110 0 0 .. 1,033,110 0 0 1,030,694 12 2 6 .. 2,633,588 9 9 .. 2,633,588 9 9 2,612,292 8 8 18,433,865 16 5 1,878,217 9 6 20,312,083 5 11 20,260,735 6 1* * This figure does not include cost of exchange on remittances.

B.—l [PT. ll].

Particulars of the transactions of the sinking funds of loans which are not subject to the Repayment of Public Debt Act and for which special sinking funds are provided will be found in Tables V and VI, 8.-l [Pt. Ill], and particulars of the Funded Debt to the Imperial Government are shown in Table IV, 8.-l [Pt. lII]. No special provision is made for the repayment of the debt of the State Advances Account, which at the end of the year amounted to £34,142,877 14s. 3d. Full reference to this matter was made in the report of the Controller and AuditorGeneral for the year ended 31st March, 1938. Increase and Decrease of the Public Debt. The transactions for the year of the Public Debt Accounts are'detailed as follows:— £ s Total debt as at 31st March, 1939 (see 8.-l [Pt. Ill], page 8) .. .. 303,970,272 3 2 Additions during the year— Ordinary Revenue Account— £ s. d. State Advances Corporation Account .. .. 3,608 0 0 Public Works Fund— General Purposes Account .. .. .. .. 9,553,449 4 1 Electric Supply Account .. .. .. .. 839,238 911 Housing Account .. .. .. .. .. 5,100,000 0 0 Main Highways Account .. - .. .. .. 2,609,972 2 7 State Coal-mines Account .. .. .. .. 25,000 0 0 State Forests Account .. .. .. .. 400,761 8 5 War Expenses Account .. .. .. .. 3,086,054 8 6 21,618,083 13 6 Reductions during the year— 325,588,355 16 8 From Electric Supply Sinking Fund Account .. .. 570,983 911 From State Coal-mines Sinking Fund Account .. .. 11,765 0 0 From Loans Redemption Account— Ordinary Revenue applied in redemption of the securities of— Public Works Fund— General Purposes Account .. .. .. 166,428 18 0 Reparation-moneys applied in redemption . . .. 805 0 0 War credits applied in redemption .. .. .. 2,700 0 0 Land for Settlements Account moneys applied in redemption . . .. . . . . .. 3,206 0 0 Main Highways Account moneys applied in redemption .. 6,020 0 0 Nauru and Ocean Islands Account moneys applied in redemption .. .. .. .. .. 33,445 0 0 Samoan Loan Sinking Fund Account moneys applied in redemption .. .. .. .. .. 5,130 0 0 From Public Debt Repayment Account— Ordinary Revenue Account—■ Mining Advances Account .. .. .. 5,490 0 0 War Expenses Account .. .. .. .. 238,055 15 4 Public Works FundGeneral Purposes Account .. .. .. 1,625,771 14 2 State Forests Account .. .. .. .. 8,900 0 0 Loans redeemed from loans raised in previous years for redemption .. .. .. .. .. 2,118 15 0 2,680,819 12 5 Total debt as at 31st March, 1940 (see 8.-l [Pt. Ill], page 9) .. .. £322,907,536 4 3 The foregoing statement shows that the total public debt has been increased during the year by £18,937,264 Is. Id. The long-term debt was increased by £10,057,264 Is. Id., and short-term Treasury Bills increased by £8,880,000, as shown in the following summary : — £ s. d. £ s. d. Treasury bills as at 31st March, 1939 .. .. 16,525,000 0 0 Treasury bills as at 31st March, 1940 .. .. 25,405,000 0 0 Increase.. .. .. .. .. .. 8,880,000 0 0 Long-term debt as at 31st March, 1939 .. .. 287,445,272 3 2 Long-term debt as at 31st March, 1940 .. .. 297,502,536 4 3 Increase.. .. .. .. .. .. 10,057,264 1 1 Increase as at 31st March, 1940 .. .. .. .. £18,937,264 1 1

V

B.—l [Pt. ll].

Included in the debt increase is an amount of £1,080,000 Treasury notes issued under the New Zealand Loans Act, 1932, to secure advances negotiated by the Exports Credits Department of the United Kingdom. The Department has agreed to negotiate Treasury notes up to the value of £5,000,000 sterling to enable the New Zealand Government to purchase goods in the United Kingdom. The amount of interest-free loans received by the Government during the year was £1,381,854 Bs. 6d., and is included in the amount of £3,086,054 Bs. 6d. raised during the year for War Expenses. The Treasury bills, which at the end of the year amounted to £25,405,000, were issued for the purposes of the accounts shown in the following table : — Account. £ s - d. General Purposes Account .. .. •• 9,870,000 0 0 Electric Supply Account .. .. •. • • • • 185,000 0 0 Main Highways Account .. .. .. • • • • 2, 900,000 0 0 Forests Account .. .. .. • ■ • • • • 400,000 0 0 War Expenses Account .. .. •• •• 1,250,000 0 0 Housing Account .. .. •• •• 10,800,000 0 0 £25,405,000 0 0 £17,172,190 lis. 4d. London Loan matured Ist January, 1940. On Ist January, 1940, £17,172,190 lis. 4d., 3| per cent. London stock fell due. To enable this loan to be paid off a new loan of £16,000,000 at 3f per cent, was arranged in London, £] ,008,000 New Zealand holdings were renewed in New Zealand, and the balance, £164,190 lis. 4d., was paid off from funds remitted to England, £163,773 18s. of this latter amount being paid from revenue. The Post Office, one of the New Zealand holders, received no exchange benefit on £618,000 renewed in New Zealand, but was partly compensated by an increase of \ per cent, in the rate of interest on the new stock issued. A premium of £95,550 on exchange was paid to the Reserve Bank, the holder of £390,000, the balance of the New Zealand holding. Particulars of the costs, charges, and expenses of renewing the loan are as follows : — £ s. d. Charges paid to Bank of England .. .. 107,777 1611 Exchange .. . . . . ■ ■ ■ ■ 183,662 11 7 Cash payment to holders converting . . . . 32,297 0 0 Discount allowed to new subscribers .. .. 127,703 0 0 Net interest paid for period prior to Ist January, 1940, in terms of prospectus . . . . 151,016 11 11 £602,457 0 5 The amount in excess of the Bank charges and exchange included in the above sum—viz., £311,016 lis. lid. —paid to investors as an inducement to subscribe or convert may be regarded as in the nature of an addition, distributable over the whole period of the loan, to the interest charge of 3| per cent. The item of exchange £183,662 lis. 7d. is also of a special nature, leaving £107,777 16s. lid. as the amount paid for services rendered in connection with the new loan. Unauthorized Expenditure. For some years the Employment Promotion Fund provided funds with which various Departments carried out activities to relieve unemployment. Consequent upon the abolition of the Employment Promotion Fund these funds were not available to the departmental votes, and mainly for this reason issues for the service of certain votes were in excess of the amounts available for such service for the period from the beginning of the year to the passing of the Imprest Supply Act. Section 58, Public Revenues Act, 1926, makes provision whereby a limited amount of expenditure may be made in excess of or without the appropriation of Parliament and charged to Unauthorized Expenditure Account, but this limit was allowed to be exceeded on the Prime Minister giving an undertaking to introduce validating legislation. This was provided in section 9, Finance Act, 1939.

VI

B.—l [Pt. lIJ.

Towards the end of the year, when it appeared that the unauthorized limit would be exceeded again, the Prime Minister gave a further undertaking to introduce the legislation necessary to. validate any over-issue. The abstract of Unauthorized Expenditure Account appears in parliamentary paper 8.-l [Pt. I], and it will be seen that the statutory limit of £500,000 for services other than Railways has been exceeded by £278,032 15s. 4d. The necessary validating legislation appears in section 9, Finance Act, 1940. Surplus Credits-in-aid. Credits-in-aid may be defined generally as recoveries which arise from expenditure made from a vote, and which are in the nature of a set-off to expenditure as distinct from purely revenue receipts. Estimated credits-in-aid to any vote are deducted from the estimated expenditure under the relative vote when the amount of that vote is appropriated by Parliament by the annual Appropriation Act, but are themselves separately appropriated in the same Act. Section 51 (3), Public Revenues Act, 1926, provides in effect that moneys actually received as credits-in-aid to any vote in excess of the amount appropriated as such, and termed " surplus credits-in-aid" may, with the approval of the Treasury, be temporarily applied to increase the amount available for expenditure on the purposes set out in that vote. The application of such credits-in-aid is, however, not temporary, but final, though a return of all the amounts of excess credits-in-aid applied to the purposes of votes is required by section 51 (4) of the same Act to be laid before Parliament, and is sanctioned as part of the Unauthorized Expenditure Account. The effect of the surplus credits-in-aid provision is that moneys may be expended beyond the amount having prior authorization by Parliament, and is in the nature of an addition to the unauthorized authority of £600,000 given by section 58 (3) of the Public Revenues Act, 1926. So long as credits-in-aid are not greatly in excess of the amount estimated to be received in respect of them, no serious objection could be taken to their use in the way herein set out, but as shown in the following schedule covering the last ten years the surpluses made use of are of very large amount. The use of credits-in-aid to such amounts shows that the. expenditure under the votes exceeded the estimate at least to the amount stated, for it is only when this occurs that surplus credits-in-aid are drawn upon. It has to be added, however, that these surpluses, unlike unauthorized, may be applied only to purposes provided for by votes, but provided for insufficiently/ £ s. d. Year ended 31st March, 1931 .. .. 16,959 15 3 Year ended 31st March, 1932 .. .. 19,611 10 3 Year ended 31st March, 1933 . . . . Nil Year ended 31st March, 1934 .. .. 5,505 19 3 Year ended 31st March, 1935 .. .. 33,341 5 4 Year ended 31st March, 1936 .. .. 90,969 1 4 Year ended 31st March, 1937 .. .. 334,648 13 3 Year ended 31st March, 1938 .. .. 680,742 18 0 Year ended 31st March, 1939 .. .. 1,602,572 14 0 Year ended 31st March, 1940 .. .. 2,636,269 19 1 Statement of Royalties payable to the Crown and unpaid at the 31st March, 1940. Section 91 (2) of the Public Revenues Act, 1926, reads as follows " The Controller and Auditor-General shall include in the report to be prepared by him pursuant to subsection two of section eighty-nine hereof a statement as to all royalties payable to the Crown and for the time being unpaid, setting forth in respect of such royalties— " (a) The name of the person by whom the same are payable ; " (b) The amount payable by each such person ; and " (c) The steps (if any) that have been taken to recover the said royalties, and, if no such steps have been taken, the reason for allowing the said royalties to remain outstanding."

VII

B.—l [Pt. ll].

Following the course previously adopted, the names of these in arrear are not published, but in the figures hereunder are included all amounts which were shown in the departmental books as owing and unpaid on the 31st March last : Department. Amount unpaid. Forestry — £ s. d. £ s. d. Auckland Region .. .. 620 15 3 Rotorua Region . . .. 262 19 9 Wellington Region . . . • 187 11 2 Nelson Region , . . • 685 0 7 Westland Region .. . . 754 14 2 2,511 0 11 Lands and Survey — North Auckland District .. 1,086 12 0 Napier District . . 117 11 0 Nelson District . . . • 556 7 3 Westland District . . . . 708 18 10 Southland District . . . . 16 2 0 2,485 11 1 Marine . . ■ . • • • • • • 1,010 9 5 Mines .. .. •• •• 7,406 10 10 State Coal-mines. . .. • • • • 2,009 1 1 Public Works .. .. •• •• 305 14 3 £15,728 7 7 Transactions passed by the Audit Office in anticipation of Validating Legislation. I have referred in previous reports to the position in which the Audit Office is placed when the Government desires to expend public moneys in promoting a, new State activity or to apply public moneys in a manner not authorized by existing legislation. In such cases the provisions of the Public Revenues Act, 192(5, regarding unauthorized or emergency expenditure may not be applicable, and the Audit Office must either refuse to pass the relative expenditure vouchers or permit a temporary breach of the law. In this connection it has become the custom to meet the wishes of the Government upon receipt of a formal undertaking that validating legislation will be laid before Parliament upon an early and convenient occasion. I have passed several financial transactions during the past year on receiving that undertaking, and I am pleased to be in a position to report that the necessary legislation has been introduced. This legislation will be found in— Finance Act (No. 2), 1939, section 5 .. .. Validating payment for shares in New Zealand Centennial Exhibition Co., Ltd. Finance Act (No. 2), 1939, section 44 .. Validating appointment of a former member of Parliament as a public servant. Social Security Amendment Act, 1939, section 5. Validating retrospective payment of increased agebenefits to certain invalidity pensioners. Finance Act, 1940, section 14 .. • • Authorizing increased stamp allowance to members of Parliament. Finance Act, 1940, section 32 .. .. Validating retrospective operation of regulations as to payment of salaries of Transport Licensing Authorities. Finance Act, 1940, section 33 .. ■ • Validating payment of allowances to members of Parliament attending Select Committees. In my report of last year three cases were mentioned in which expenditure of public moneys was passed on receiving assurances from the Government that validating legislation would be introduced. This legislation has been passed and appears in— Statutes Amendment Act, 1939, sections 24-29, which validated expenditure incurred by the State Forests Department in connection with the tobacco-growing industry. Finance Act (No. 2), 1939, section 43, which validated payment to a member of Parliament visiting Australia. Finance Act (No. 2) 1939, section 7, which validated an additional payment in respect of an increase in the price for cheese manufactured during the 1937-38 season.

VIII

P.—l [IV. ll]

Audit of War Expenses. New Zealand's participation in the Empire's war effort has necessarily resulted in increased work and responsibilities for the Audit Office. In view of the extreme urgency of the work of erecting and equipping the mobilization bases and training camps, both for land and air forces, the normal procedure of calling for tenders for the carrying-out of the work was found by the Public Works Department to be impracticable, and the Hon. the Minister of Public Works approved the system of the letting of contracts on a " cost plus" basis. The " cost plus" contract system was a feature of armament expenditure in the United Kingdom and in the United States of America during the war of 1914-18. Under the New Zealand system contractors are reimbursed for proved expenditure, and receive an additional percentage designed to cover general overhead and to return some margin of profit. The Audit Office agreed to check before settlement all claims made by the contractors under this system, and this service entailed considerable urgent work on the part of my Inspectors. Some little time after the commencement of work on " cost plus" contracts the Public Works Department prepared a standard contract form which was drawn to embody the conditions verbally conveyed to contractors by Public Works Engineers. Several groups of contractors declined to sign the contract documents, claiming that the contracts did not coincide with their impressions of the position, and that they did not wish to prejudice their rights to maximum remuneration. This attitude led to disputes during the settlement of claims and several of the " cost plus" contracts when settled had to carry a final on-cost considerably in excess of the originally intended 1\ per cent. The intervention of Audit before payment resulted in substantial savings of public moneys, and contractors' claims in respect of orie mobilization camp alone were, due substantially to Audit action, reduced by more than £8,000. Special Audit sections have been established for the purpose of auditing the pay and allowances due in New Zealand to army and air force personnel and the allotments and allowances due to their dependants. This work may be expected to increase with the formation of successive echelons and reinforcements and, in view of the large staffs that would be required for a complete and detailed check, the Audit Office has been particularly concerned to formulate an audit programme that is adequate without being elaborate. To facilitate the audit of pay and allowances due to officers and. men of the New Zealand Expeditionary Forces overseas, and of other war expenditure incurred by the New Zealand forces abroad, it was arranged to set up an Audit section at the Overseas Base. Two officers have already been attached to the New Zealand Army and have left New Zealand with the Second Echelon, and the number will be increased as circumstances warrant. As regards these additional appointments it is hoped to be able, by mutual arrangement with the Army authorities, to fill them from members of the staff of the Audit Office who are already serving with the forces abroad. Experience in the war of 1914-18 illustrated the difficulties of auditing field expenditure from New Zealand and it is anticipated that an Audit branch at the Overseas Base will remove many of the disabilities previously experienced. The Audit officers hold commissioned rank similar to the senior Audit officers attached to the Australian Overseas Base and although they are subject to Army disciplinary control, they remain under the complete control of the Audit Office as regards the execution of their duties. Another duty arising from war activities required to be undertaken by the Audit Office is the audit of the receipt and issue of equipment and stores in the mobilization camps, training camps, and home-service depots.

ii—B. 1 [Pt. IT].

IX

B. —1 [PT. ll].

The position in the mobilization camps as regards the accounting for equipment and stores has, T regret to state, been far from satisfactory, .and my Inspectors are agreed that this is mainly due to the fact that for the performance of the work there is an absence of the required trained personnel. It is, of course, readily understandable that the paramount desire of the responsible military officers was to equip the men and provide for them adequately in camp prior to their departure overseas, and that the matters of accounting for equipment and provisions were by the exigencies of the times forced into the background. A proper control of the receipt and issue of military stores involves (a) a sound stores-control system in the military establishments, and (b) a well-trained personnel to administer the system. If there is failure to meet either of these requirements the basis for an efficient stores audit is wanting, and the most that the Audit Office can do to effect a remedy is to report the circumstances to the responsible authority. The Audit Office has kept the position constantly under the notice of the Treasury and the Defence Department, and I am pleased to be able to add that arrangements are in train for an Audit officer with long experience in stores work to be seconded to the Defence Department. His temporary duty will be not to engage in an audit, but to ensure that conditions prevail which will permit a satisfactory audit to be later carried out. Other audits required to be carried out by the Audit Office in connection with the war relate to military canteens and the accounts of the National Patriotic Fund Board and Provincial Councils. Departmental Balance-sheets. Parliamentary paper B.—l [Pt. IY] for the financial year 1938-39 contains some one hundred and thirty revenue accounts and balance-sheets of Departments and institutions closely connected with governmental activities. All these balancesheets and the supporting books —except those of the Reserve Bank, the State Advances Corporation, and the British Phosphate Commissioners—were audited by the Audit Office during 1939-40. The books and accounts in general were found to be satisfactorily kept. Treasury has decided to discontinue the preparation of the State Income and Expenditure Account and State Balance-sheet until the conclusion of the war. Audit of Public Stores. During the period under review Audit Inspectors examined some three hundred stores accounts in the offices and institutions of the following Government Departments : Prisons, Public Works, Health, Navy, Army, Air, Education, Marine, Mines, State Forest Service, Industries and Commerce, Tourist and Publicity, Mental Hospitals, Native, Railways, Bandstand Survey, Internal Affairs, Transport, and Housing. In addition, a continuous audit has been carried out of the various stores accounts of the New Zealand Division of the Royal Navy. Owing to a substantial increase in the volume of stores transactions of the Army, Navy, and Air Departments and a shortage of trained staff it has not been possible to reduce outstanding work to any appreciable extent. All matters arising from inspections and calling for comment were brought to the notice of the Departments concerned and the Treasury for appropriate action to be taken. The inspections did not disclose any serious irregularities, and particulars of those which occurred are contained in the statement of " Irregularities in connection with Public Moneys and Stores," which is included in this report in accordance with the provisions of section 89 (2) of the Public Revenues Act, 1926.

X

B.—l [PT. ll].

Audit of Accounts of Local Authorities. I am pleased to be able to report that by continuous application of the full resources of the inspecting staff the position with regard to the auditing of local authorities' accounts is very satisfactory, and that in the majority of districts the work is well up to schedule. During the year ten cases of disqualification of members of local authorities came under the notice of the Audit Office. Of this number, six were occasioned by members being concerned or interested in contracts made between them and their respective local authorities in excess of the limits set out in section 3 of the Local Authorities (Members' Contracts) Act, 1934. The remaining four cases were of members holding an office or place of profit under or in the gift of the local authorities of which they were members. In the case of one disqualification under the provisions of section 3 referred to above, the Audit Office took proceedings under section 5 of the Local Authorities (Members' Contracts) Act, 1934, against the member concerned for continuing to act as a member while disqualified under section 3, and the Court imposed a fine of £20, with costs. Four cases of misappropriation of funds by local-body officials during the year were investigated by the Audit Office. The total sum involved was £686 165., the major portion of this being in respect of one defalcation amounting to £637 lis. The Audit Office has received several communications from local-body officers in which they state that new awards in force require wages of employees to be paid at short intervals. Moneys to meet the wages payments must be drawn from the bank account of the local authority concerned, and the local-body officers state that it is frequently difficult and inconvenient to obtain the signatures of members to cheques drawn between regular meetings. Most local authorities are given authority in their respective governing statutes to establish Imprest Accounts, which do not require members' signatures to the cheques drawn thereon, but in practically every case the expenditure which may be made therefrom is limited to " casual wages and emergency expenditure," so that it would not be in order to meet regular wages bills out of imprest-moneys. The difficulties which are being experienced are appreciated by the Audit Office, and it proposes to recommend in the proper quarter that the wording of the various statutes be amended so as to include all wages in the definition of expenditure which may be made from Imprest Account. The work of Audit Inspectors during the year disclosed two cases in which County Councils made unjustified claims on public moneys, and received payment in respect of those claims. In the first case claims were made for subsidy on works which had not been carried out at the date the claims were made, and in respect of which payments from the Public Works Department were therefore not due. This resulted in a premature disbursement of public money, and the responsible County Council official was required to pay to the Public Account £149 18s. 4d. as representing interest on amounts prematurely disbursed. In the second case the County Council in making certain claims against the Public Works Department in respect of metal supplied did not give due credit J'or subsidies received from the Employment Fund. This resulted in an overclaim of some £2,700, and action regarding recovery of this amount is under way. Schedule A below sets out the breaches of law relating to local authorities which the Audit Office dealt with during the year by suitable reference in its certificates to the accounts of the local authorities, and also, where necessary, by obtaining an adjustment of the accounts or a recovery of moneys unlawfully expended. Matters which, although not breaches of law on the part of local authorities, the Audit Office felt called upon to refer to in its certificates are set out in Schedule B. In certain cases, which are set out in Schedule C, an adjustment of the accounts or a recovery of moneys was asked for, but upon assurances being given by the local authorities that application would be made for the introduction of validating legislation the Audit Office agreed to withhold action on them. The necessary legislation has already been provided in respect of all these cases, with the exceptions of Awatere County Council and Lake Okataina Scenic Board.

XI

B.—l [Pt. ll].

Schedule A . Agreements entered into without lawful authority .. .. .. .. .. 3 Contracts of insurance with mutual insurance companies .. .. .. .. 4 Depreciation in trading accounts, absence or inadequacy of charge for .. .. 2 Disqualification of local-body members on account of breaches of law.. .. .. 10 Employment-tax stamps not affixed at time of payment of wages or salary .. .. 4 Expenditure without legal authority .. .. .. .. .. .. . . 7 Expenditure by education authorities out of endowment income without approval of Minister.. 3 Expenditure by education authorities on break-up expenses, &c., without or in excess of approval of Minister .. .. .. .. .. .. .. ~ .. 4 Expenditure without approval of Minister as required by section 33 (8) (a), Education Act, 1914 (statutes reprint) .. .. .. .. .. .. ~ .. .. 2 Failure to provide for expenditure for year out of revenue . . . . .. .. 36 Fidelity securities for staff, absence of .. .. .. .. .. . . 2 Finance Act, 1934, section 20, moneys not dealt with in accordance with .. .. .. 6 Harbours Act, 1923, section 68 : Credit given without security for period in excess of that provided 3 Heavy-traffic-license fees not collected in respect of farmers' motor-lorries . . .. 4 Hospitals and Charitable Institutions Act, 1926, section 75 (3) : Approval of Minister not obtained to capital expenditure . . .. .. .. .. .. .. 2 Hospitals and Charitable Institutions Act, 1926, section 85 (h) : Approval of Minister not obtained to grants made under .. .. .. .. .. .. .. 3 Interest paid from date prior to date of receipt of loan-moneys .. .. .. 6 Investments contrary to law . . . . . . .. .. .. ~ .. 5 Local Bodies' Loans Act, 1926, offences under — (a) Loan-moneys expended on purposes other than those authorized in loan proposals .. 10 (b) Loan-moneys not placed in separate bank account .. .. .. .. 6 (c) Sinking funds not established and instalments in arrear .. .. .. 1 (d) Bridge rate not banked in separate bank account .. .. .. .. 1 (e) Miscellaneous .. .. .. .. .. .. ~ ~ .. 1 Moneys not banked as required by law .. .. .. .. .. .. .. 7 Overdrafts without or in excess of statutory authority .. .. .. .. .. 34 Purchase on terms or by instalments, and payment of interest thereon .. .. .. 6 Rate-book or minute-book not signed as required by law .. .. .. .. .. 3 Rates, dues, fees, &c., not levied or collected according to law .. .. .. 19 Refunds, rebates, or remissions contrary to law .. .. . . .. . . . . 3 Reserves for depreciation, &c., not invested .. .. .. .. .. .. 4 Separate accounts established without lawful authority .. .. .. .. 11 Transactions incorrectly included in accounts .. .. .. .. .. .. 1 Transactions not included in accounts .. .. .. .. .. .. .. 1 Travelling expenses and allowances in excess of or without statutory authority .. .. 4 Trust-moneys wrongly applied, and other breaches of trustee law .. .. .. .. 3 " Unauthorized expenditure " in excess of legal limits .. .. .. .. 4 Unlawful transfers between accounts and charging of amounts to wrong accounts .. .. 4 Miscellaneous . . . . .. . . . . .. . . . . . . 11 Domain Boards, Scenic Boards, miscellaneous Boards, under Part I of the Public Reserves, Domains, and National Parks Act, 1928, &c.— (a) Borrowing without authority of law and unlawful payment of interest .. . . 20 (b) Breaches of trustee law .. .. .. .. .. .. .. .. 1 (c) Charging fees for camping-sites and/or parking-places without approval of Minister . . 10 (d) Expenditure without statutory authority . . .. .. . . .. 22 (e) Failure to bank moneys as required by law .. .. .. .. . . 40 (/) Granting of leases otherwise than in accordance with section 43, Public Reserves, Domains, and National Parks Act, 1928 .. .. .. .. .. 2 (g) Reductions of rental without Ministerial approval .. .. .. . . .. 5 (h) Miscellaneous .. .. .. .. .. .. .. .. .. 4 Cemetery Trustees— (a) Borrowing without authority of law, and unlawful payment of interest .. 2 (b) Expenditure without statutory authority .. .. .. .. .. .. 1 (c) Failure to keep a Register of Burials as required by law .. .. .. 5 (d) Failure to bank as required by law .. .. .. .. .. .. 17 (e) Miscellaneous .. .. .. .. .. .. .. .. . . 2 Schedule B. Cheques signed in blank form .. .. .. .. .. .. .. .. 2 Excessive sundry debtors, laxity in collecting rates, &c. .. .. .. .. .. 4 Inability to certify wholly to accounts owing to destruction of records by fire, &c. .. .. 2 Liabilities not included in accounts .. . . .. . . .. ~ . . 1 Payments unsupported by receipts and/or vouchers .. .. .. .. 20 Profit and Loss Account: Balance incorrectly stated .. .. .. .. .. 3 Receipts and other items not verified owing to inadequacy or non-production of supporting evidence . . .. .. .. . . . . .. .. ~ . . 9 Stores on hand accepted on the certificates of officers without supporting stores records . . 6 Unsatisfactory system of accounts— (a) Financial .. .. .. .. .. ~ ~ .. .. 9 (b) Stores .. .. .. .. .. ~ .. .. .. 7 Miscellaneous .. .. .. .. .. ~ ~ .. .. .. 6

XII

B.—l [Pt. ll].

Schedule C. Arthur Pass National Park Board .. Unlawful payment of bonus to contractor. Awatere County Council . . Issue of debentures after expiration of period stipulated by . the Order in Council consenting to the raising of the loan. ' Coromandel County Council .. " Unauthorized " expenditure limit exceeded by £16 19s. lid. Ellesmere Land Drainage Board .. Raising a loan on terms other than those authorized by the consenting Order in Council. Kaitangata Borough Councd .. " Unauthorized " expenditure limit exceeded by reason of expenditure incurred in connection with borough jubilee celebrations. Lake Okataina Scenic Board .. Rentals in respect of lease of portion of reserve retained by the Board instead of being paid into Public Account. Mount Roskill Road Board .. " Unauthorized " expenditure exceeded by £50 ss. 9d. Nelson Hospital Board .. .. Payment by the Board of £1,000 to nurses as compensation for their personal effects destroyed by fire. Wellington Hospital Board .. Advances unlawfully made from the Centenary Block Loan 1937-40 Account to other loan accounts. Surcharges. Section 69 of the Public Revenues Act, 1926, requires the Controller and Auditor-General to issue a surcharge in every case where it appears to him that a loss of public moneys or stores may be due to negligence, fraud, or error. He is similarly required to surcharge any person who fails to comply with the Acts and regulations governing the receipt, custody, and proper application of public monevs or stores. During the year ended 31st March, 1940, the Audit Office issued the following surcharges, no fewer than nine resulting from accidents to departmental motorvehicles

Section 71 of the Act provides that any person surcharged by the Audit Office may appeal to the Hon. the Minister of Finance, who may confirm or waive the surcharge in whole or in part. Each of the officers surcharged during the past financial year exercised his right of appeal, with the result that two surcharges were partially sustained and the balance waived. All surcharges issued on or before 31st March, 1940, have now been satisfied, and the appended table summarizes the Hon. the Minister's directions : —

XIII

Department. Number of Surcharges, j Amount. .. £ s. d. £ ir 1 " •• •• 4 2 29 18 11 Health ...... 1 1 19 13 8 Labour . . .. .. 3 3 54 11 7 Lands and Survey .. .. 1 1 14 9 1 Marine .. .. .. 1 \ 5 15 3 Post and Telegraph .. .. 2 2 16 3 9 Public Works ...... 2 2 143 10 1 Transport ...... 2 2 9 1 0 16 14 293 3 4 I

Upon Appeal to Minister. Department. — j Total Confirmed. Waived. ! | I ~ ' .. £ s. d. £ s. d. £ s. d. •• 29 18 11 29 18 11 f ealth • • 19 13 8 19 13 8 Labour .. .. .. .. .. .. 54 11 7 54 11 7 Lands and Survey .. .. .. ,. .. [ 14 9 1 14 9 1 Marine .. | 5 15 3 5 15 3 Post and Telegraph .. .. .. .. 1 0 0 15 3 9 16 3 9 Public Works .. .. .. .. .. 50 0 0 93 10 1 143 10 1 Transport .. .. .. .. .. .. J 9 10 9 10 | 51 0 0 | 242 3 4 I 293 3 4

B.—l [PT. ll].

Statement of Irregularities in connection with Public Moneys and Stores. The following statement of irregularities in connection with public moneys and stores is furnished in compliance with the terms of section 89 (2) (c) and (e) of the Public Revenues Act, 1926 : — Defalcations on the part of departmental officers are, unfortunately, more numerous than those recorded in last year's report. The largest of these irregularities appears under the heading " Post and Telegraph Department " and occurred in a small post-office under the control of a non-permanent Postmistress. The circumstances of the theft were by no means unusual, and the theft was not the result of any defect in the accounting system. The irregularity shown in the statement as having occurred in the Public Works Department concerned the hiring of privately-owned lorries for purposes of transporting materials to be used on construction works. As the result of collusion between lorry-drivers and the Department's representative, times and quantities were inflated over a period of several weeks —a form of fraud which it is particularly difficult to detect. The irregularity which occurred in the Treasury Department took place in a District Office. The defalcation was of such a nature that discovery within a short period was certain, and no alteration in departmental procedure has been thought necessary. The irregularity in the Department of Industries and Commerce, Tourist and Publicity took the form of misappropriation of the proceeds of railway ticket and other similar sales, and was also of a nature which could not long escape detection. From the foregoing comments it is evident that no major defalcation has been facilitated by weakness in departmental systems, but the Audit Office is constantly on the watch to guard against the possibility of loss through laxity or through lack of appreciation of the benefits of internal checks. The Audit Office commented in its previous report upon the advantages of requiring periodical certificates from officers responsible for the maintenance of efficient systems of internal check, and although considerable progress has already been made I hope to secure an extension of these benefits at an early date.

STATEMENT.

XIV

Nature of Irregularity. involved'. Action taken, and ltesult. J Agriculture Department. IRREGULARITY BY PERSON NOT A DEPARTMENTAL Ol'FICER. £ s. d. Theft of sheep .. .. .. • • I 66 10 0 1 Police investigations unsuccessful. Air Department. IRREGULARITY BY PERSON NOT A DEPARTMENTAL OFFICER. Loss of boots .. .. •• •• 17181 Police investigations unsuccessful. Army Department. IRREGULARITIES BY DEPARTMENTAL OFFICERS. Misappropriation of departmental moneys .. Offender deceased. Police inquiries re missing rifle (£2 2s. lOd.) and theft of stores ' unsuccessful. Theft of stores .. .. . • • • 15 8 0 Offender convicted and placed on probation for one year. Part recovery effected. Manipulation of Stores Accounts .. .. 5 15 7 Offender called upon to pay the amount. Attempt to remove stores .. .. .. Not stated Police notified. Stores recovered. IRREGULARITIES BY PERSONS NOT DEPARTMENTAL OFFICERS. Theft of stores .. .. •• •• 16103 Police investigations not yet complete. Theft of machine guns and accessories . . 130 10 0 Offender sentenced to three years' reformative deten. tion. Part recovery made. Theft of arms .. .. •• •• 1173 Police investigation unsuccessful. Theft of stores . . .. .. • • Not stated Police investigations not yet complete. Theft of rations .. .. .. • • Not stated Offender fined £10 and ordered to make restitution. Overpayment of camp pay; false statement 6 7 3 Offender admitted to probation for six months or regarding repayment until such time as he might be called up. Education Department. IRREGULARITY BY PERSON NOT A DEPARTMENTAL OFFICER. Theft of stores .. .. .. •• I 0 12 11 I Police investigation unsuccessful.

B.—l [PT. ll].

STATEMENT—continued.

XV

Nature of Irregularity. involved Action taken, and Result. Department of Industries and Commerce, Tourist and Publicity. TRREGTJLARITY BY OFFICER ON LOAN FROM RAILWAYS DEPARTMENT. £ S. d. Misappropriation of departmental moneys ..I 219 14 2 [ Offender senteneed to twelve months' reformative detention. £149 10s. 2d. recovered from superannuation contributions. Labour Department. . IRREGULARITY BY A DEPARTMENTAL OFFICER. Failure to account for departmental moneys .. I 8 14 8 Offender admitted to probation for two years. Restitution being made. IRREGULARITY BY PERSON NOT A DEPARTMENTAL OFFICER. Failure to account for departmental moneys .. | 13 10 0 | Departmental investigations proceeding. Lands and Survey Department. IRREGULARITY BY A DEPARTMENTAL OFFICER. Misappropriation of departmental moneys .. | 27 19 6 I Offender since deceased. Full recovery made by way of deduction from salary due and payment under i fidelity guarantee policy. Mines Department. IRREGULARITY BY PERSON NOT A DEPARTMENTAL OFFICER. Theft of benzine .. .. .. .. | 1 14 0 | Police investigation unsuccessful. Post and Telegraph Department. IRREGULARITIES BY DEPARTMENTAL OFFICERS. Theft of letters and cash .. .. .. 58 13 7 Offender placed on probation for eighteen months and ordered to make restitution. Loss of cash .. .. .. .. 4 6 8 Officer responsible called upon to make good the amount. Theft of cash .. .. .. .. 10 4 9 Offender admitted to probation for eighteen months and ordered to make restitution. Loss of cash .. .. .. .. 5 0 0 Departmental inquiries unsuccessful. Loss to Department, £5. Misappropriation of departmental moneys .. 23 12 10 Offender sentenced to probation for two years. Full restitution has been made. Misappropriation of departmental moneys .. 360 2 0 j Offender sentenced to three months' imprisonment. £100 being recovered and a further £100 being recovered under fidelity guarantee bond. Misappropriation of departmental moneys . . 33 0 0 Offender admitted to probation for three months conditionally upon restitution of the sum being | made. No loss to Department. Loss of registered letters .. . . .. 12 5 0 J Police investigations unsuccessful. £12 paid by way of compensation to the senders. Officer in charge called upon to pay the sum of £2. Theft of mail .. .. .. .. 82 12 6 Offender placed on probation for twelve months and | ordered to make restitution of the bank-notes I stolen, £27 10s, 9d. No loss to Department. IRREGULARITIES BY PERSONS NOT DEPARTMENTAL OFFICERS. Attempted fraudulent withdrawal from Post I 6 0 0 Offender sentenced to two years' reformative Office Savings-bank detention. Theft of cash .. .. .. .. j 17177 Offender admitted to probation for three years and | ordered to make full restitution. Theft of paid postal notes .. .. .. 17 6 Police investigations unsuccessful. No loss to Department. Loss of mail-bag and contents .. .. Not stated Police investigations unsuccessful. Loss to Department £4 in respect of compensation to senders of registered letters. Theft of remittance .. .. .. 370 0 0 Police investigations unsuccessful. £250 recovered. Loss to Department, £120. Theft of stores by burglars .. .. .. 0 16 11 Police investigations unsuccessful. Theft of cash and stamps by burglars .. 183 2 8 Police investigations unsuccessful. Theft of cash ,. .. .. 0 17 0 Police investigations unsuccessful. Amount, made good by officer responsible. No loss to Department.

B.—l [PT. Tl].

STATEMENT—continued.

XVI

Nature of Irregularity. ! Solved. J Action taken, and Result. Post and Telegraph Department—continued. IRREGULARITIES BY PERSONS NOT DEPARTMENTAL OFFICERS —-Continued. £ s. d. Theft of mail by burglars .. .. .. 0 10 0 Police investigations unsuccessful. Amount made good by departmental officer responsible. No loss to Department. Theft of tools .. .. .. •• 4 2 8 Police investigations unsuccessful. Theft of mail .. .. .. •• Not stated Police investigations unsuccessful. Theft of stamps, cash, and unissued postal notes 89 4 11 Five offenders were apprehended and sentenced to by burglars varying terms of imprisonment. Loss to Department, £89 4s. lid. Receiving and uttering cheque stolen from Post 21 14 0 Offender sentenced to eighteen months'imprisonment Office with hard labour. Loss of remittance from mail .. .. 27 0 0 Police investigations unsuceessfid. Loss to Department, £27. Theft of stamps and postal packets by burglar 19 9 8 Offender convicted and sentenced to twelve months' imprisonment. Theft of cash and stamps by burglars .. 13 12 6 Police investigations not yet complete. Fraudulent withdrawal from Post Office Savings- 30 0 0 Offender placed on probation for three years and bank ordered to make full restitution. Thefts of cash .. .. .. • • 115 0 Three offenders admitted to probation for two years. No loss to Department. Loss of mail-bag and contents .. .. Not stated Police investigations unsuccessful. Loss to Department £2 in respect of compensation to senders of registered letters. Theft of cash by burglar .. .. .. 29 1 8 Offender sentenced to nine months' imprisonment for receiving £5 bank-note, knowing it to have been stolen. Loss to Department, £24 Is. 8d. Theft of drills .. .. .. .. Not stated Police investigations unsuccessful. Theft of mail bags .. .. .. Not stated Offender sentenced to three years' reformative detention. He was also sentenced to seven years' probation on other charges. Theft of cash .. .. .. • • 8 10 Offender ordered to come up for sentence if called upon within twelve months, and an order for restitution was made by the Court. Theft of motor-spirit .. .. .. 0 16 0 Offender convicted and fined £2, and ordered to make restitution of 16s. No loss to Department. Fraudulent withdrawal from Post Office 17 0 0 Offender convicted on charges of forgery and uttering Savings-bank and was admitted to probation for two years. An order for restitution was made by the Court. Theft of mail .. .. .. .. 2 0 0 Charge dismissed. Loss to Department £2 in respect of compensation to sender of registered letter. Theft of cash and stamps by burglars.. .. 99 7 4 Police investigations unsuccessful. Theft of cash .. .. .. .. 18 18 10 Police investigations unsuccessful. Fraudulent withdrawal from Post Office 5 0 0 Offender convicted on various charges and ordered Savings-bank to be placed on probation for three years and to make restitution. No loss to Department. Loss of mail-bag from mail-service vehicle sub- 27 10 0 Police search unsuccessful. Loss to Department £2 merged when crossing river in rcspect of compensation to sender of registered letter and £25 10s. remittance in banknotes by postmaster. Theft of cash, mail, and documents .. .. Not stated Police investigations not yet complete. Pillage of mails .. .. .. .. Not stated Police investigations unsuccessful. No loss to Department. Thefts from public-call boxes and stamp-vending 74 14 8 ! Police investigations in one case resulted in two machines offenders being convicted and these were ordered by the Court to make restitution of the amount involved, £3 6s. Id. Other recoveries of cash totalled 3s. 3d., and equipment valued at 12s. Id. was recovered. Printing and Stationery Department. IRREGULARITIES BY PERSONS NOT DEPARTMENTAL OFFICERS. Theft of silver nitrate .. .. .. 2 10 0 Police investigations unsuccessful. Loss of wages . , .. .. .. 11116 Police investigations unsuccessful. Amount made good by departmental officer responsible. Public Works Department. IRREGULARITIES BY DEPARTMENTAL OFFICERS. Misappropriation of departmental moneys .. I 27 2 1 1 Offender sentenced to three months hard labour • Restitution made. Retention of pay envelope .. .. .. [ 8 6 0 Officer dismissed the service. No loss to Department. Irregularities in payment of lorry hire .. ! 250 13 0 A police investigation is proceeding. Railways Department. IRREGULARITIES BY DEPARTMENTAL OFFICERS. Theft of benzine .. .. .. .. I Not stated Offender convicted and fined £3. Failure to issue ticket to passenger when fare 0 2 2 Offender dismissed the service. Amount recovered, collected Theft of passenger tickets .. .. .. 0 10 6 Offender dismissed the service and police notified, Restitution made.

B.—l [PT. ll].

STATEMENT—continued.

iii—B. 1 [Pt. ll].

XVII

Nature of Irregularity. Involved Action taken, and Result. Railways Department—continued. IRREGULARITIES BY DEPARTMENTAL OFFICERS —Continued. £ s. d. Theft of materials from workshop .. .. 1 16 6 Offender convicted and fined £5. Materials recoverec 1 . Theft of building materials .. .. 45 6 9 Offender admitted to probation for one year. Materials recovered. Failure to account for departmental moneys .. 14 3 Services dispensed with and police notified. Full restitution made. Attempted theft of property .. .. Not stated Offender dismissed the Service. Theft of wages .. . . .. .. 16 13 8 Offender admitted to probation for eighteen months and ordered to refund the amount. Withholding of Social Security instalments .. 10 0 Offender dismissed the Service. Amount has since been accounted for. Theft of postal notes and publications . . 10 0 Offender convicted and placed on probation for twelve months and ordered to make restitution of the amount. Theft of cash .. .. .. .. 1196 Charge dismissed. Officer responsible required to make good the amount. IRREGULARITIES BY PERSONS NOT DEPARTMENTAL OFFICERS. Theft of cash .. .. .. .. 279 Police investigations unsuccessful. Theft of cash .. .. .. .. 18189 Police investigations unsuccessful. Theft of cash by burglars .. .. .. 3 4 0 One offender sentenced to reformative detention for a year and a half. The other was placed on probation for two years, ordered to pay costs, and make restitution. Theft of cash by burglars .. . . .. 1 18 9 Police investigations unsuccessful. Theft of cash by burglars .. . . . . 0 10 0 Police investigations not yet complete. Theft of toilet requisites and cash by burglars. . Not stated Police investigations unsuccessful. State Advances Corporation : Housing Construction Branch. IRREGULARITIES BY DEPARTMENTAL OFFICERS. Misappropriation of departmental moneys .. I 15 0 0 Offender sentenced to two months' imprisonment. Loss to Department, £5 2s. 5d. Loss of departmental moneys .. . . 1 10 0 Police investigations not yet complete. IRREGULARITY BY PERSON NOT A DEPARTMENTAL OFFICER. Wages obtained by fraud .. .. .. | 0 18 8 I Police investigations not yet complete. Amount has been made good by officer responsible. State Fire Insurance Department. IRREGULARITY BY A DEPARTMENTAL OFFICER. Misappropriation of departmental moneys . .. I 7 0 6 Offender convicted and ordered to come up for sentence within twelve months if called on, and ordered to repay the amount involved. Restitution has since been made. Social Security Department. IRREGULARITY BY A DEPARTMENTAL OFFICER. Failure to account for departmental moneys I 0 10 0 Restitution made. Officer's suspension from duty followed by resignation. IRREGULARITIES BY PERSONS NOT DEPARTMENTAL OFFICERS. One thousand six hundred and sixty-four cases i 13,105 6 II Proceedings instituted in sixteen cases involving in which recipients of relief or of unemploy- j £881 19s. 4d. resulted in fifteen convictions being ment or other benefits have obtained moneys | entered. Fines totalled £99 6s. 9d., costs in excess of scale rates by failing to disclose | amounted to £8 4s., and restitution of £15 7s. 6d. material particulars of their circumstances or was ordered by the Court. One offender was by making false statements to the Labour sentenced to a term of imprisonment as well as Department or to the Social Security Depart- j being fined. Full restitution was made in the case ment where no conviction was entered. There were 1,648 ordinary eases involving the sum of £12,223 7s. 7d., and, except in a few instances, refunds are being obtained. In four cases penalties were imposed under section 71 (2) of the Social Security Act, 1938, and these amounted to £18 19s. Transport Department. IRREGULARITY BY PERSON NOT A DEPARTMENTAL OFFICER. Theft of stores .. .. .. .. 100 Police investigations not yet complete. Treasury Department. IRREGULARITY BY A DEPARTMENTAL OFFICER. Misappropriation of moneys received in payment 230 3 1 Police notified. Whereabouts of offender unknown, of income-tax Recovery of £22 7s. has been made from superannuation contributions.

B.—l [PT. ll].

SCHEDULE OF IMPERFECT VOUCHERS PASSED BY THE AUDIT OFFICE, UNDER AUTHORITY OF SECTIONS 73 AND 75, PUBLIC REVENUES ACT, 1926.

XVIII

Total Department and Particulars. Reason. | Amount. Amount | I Agriculture. £ s. d. £ s. d. Refund of amount overpaid for publications .. Receipts unobtainable . . .. 113 9 Purchase of show exhibits .. .. .. Receipts unobtainable . . .. 1 5 11 Purchase of stationery, &c. .. .. .. Receipts unobtainable . . . . 2 17 6 Travelling-expenses .. .. .. .. Receipts unobtainable . .. 42 4 3 ! 48 1 5 Air. Toll calls .. .. .. .. .. Receipts unobtainable .. .. ! 0 16 0 Travelling-expenses .. .. .. .. Receipts unobtainable .. . . 7 16 10 8 12 10 Army. Refund of amount overpaid .. .. .. Receipts unobtainable .. .. 0 3 6 Travelling-expenses .. .. .. .. Receipts unobtainable .. .. 11 3 3 Wages .. .. .. .. .. Receipts unobtainable .. .. 12 15 2 24 1 11 Customs. Travelling-expenses of official representative travel- Receipts unobtainable .. .. 214 18 5 ling in Canada and the United States of America Travelling-expenses .. .. . . .. Receipts unobtainable . . . . 3 15 0 218 13 5 Education. Wages .. .. .. Receipts unobtainable . . .. 104 17 7 104 17 7 External Affairs. Wages .. .. .. .. .. Receipts unobtainable . . . . 0 8 10 0 8 10 Health. Freight charges .. .. .. .. Receipts unobtainable .. .. 0 19 9 Repairs to motor-ear damaged in collision with Receipts unobtainable .. .. 28 18 0 departmental car 29 17 9 Industries and Commerce, Tourist and Publicity. Fees, Bureau of Industry .. .. .. Voucher lost .. .. .. 39 7 6 Purchase of office fittings .. .. .. Receipt unobtainable .. . . 2 15 Purchase of badges .. .. .. .. Receipt unobtainable .. . . 50 0 0 Purchases in respect of price investigation tribunal Receipt unobtainable .. .. 3 3 9 Travelling-expenses .. . . .. .. Receipt unobtainable .. . . 13 18 10 Wages .. .. .. . . Receipt unobtainable .. . . 8 10 0 117 1 6 Internal Affairs. Hire of hall .. .. .. . . Receipt unobtainable .. .. 0 15 0 Purchase of publications .. .. .. Receipt unobtainable .. .. 0 13 9 Travelling-expenses .. .. . . .. Receipt unobtainable .. . . 87 18 0 89 6 9 Justice and Prisons. Payment of maintenance .. .. .. Receipt unobtainable . . . . 0 10 1 Payment of prisoner's earnings . . . . Receipt unobtainable .. . . 0 10 0 1 0 1 Land and Income Tax. Refund of employment charge .. .. Receipt unobtainable .. . . 0 9 10 0 9 10 Lands and Survey. Travelling-expenses .. .. .. .. Receipt unobtainable .. . . 5 14 10 5 14 10 National Commercial Broadcasting. Cost of cables .. .. .. .. Receipt unobtainable .. . . 0 19 7 Travelling-expenses .. .. .. . . Receipt unobtainable . . . . 38 13 6 39 13 1 Police. Travelling-expenses .. .. .. . . Receipt unobtainable .. 6 19 9 6 19 9 Post and Telegraph. Purchase of stores .. .. .. .. Vouchers lost .. .. .. 186 14 10 Wages .. .. .. .. .. Vouchers lost .. .. .. 3 5 8 190 0 6 Primary Products Marketing. Travelling-expenses .. .. .. .. Receipts unobtainable .. .. 5 9 0 5 9 0 Public Trust. Distribution of estates .. .. .. Voucher lost .. . . .. 7 0 0 Distribution of estates .. .. .. Receipt unobtainable .. .. 145 0 0 Petty expenses .. .. .. .. Voucher lost .. . . .. 4 5 4 Travelling-expenses .. .. .. .. Receipts unobtainable .. .. 10 0 157 5 4 Public Works. Cost of cables .. .. .. .. Receipts unobtainable . , . . 0 7 5 Freight and cartage .. .. .. .. Voucher lost .. .. . . 42 3 10 Purchase of stores .. .. .. .. Voucher lost .. .. .. 32 17 0 Purchase of publications .. .. .. Receipt unobtainable .. .. 0 9 2 Refund overpaid fees .. .. .. Receipt unobtainable .. .. 0 2 0 Stamp duty Fiji .. .. .. .. Receipt unobtainable .. .. 0 11 3 Travelling-expenses .. .. . . . . Receipt unobtainable .. .. 8 5 0 Wages .. .. .. .. .. Receipt unobtainable .. .. | 6 16 7 I 91 12 3

B.—l [PT. ll].

SCHEDULE OF IMPERFECT VOUCHERS PASSED BY THE AUDIT OFFICE, UNDER AUTHORITY OF SECTIONS 73 AND 75, PUBLIC REVENUES ACT, 1926—continued.

XIX

Department and Particulars. Reason. Amount. Total Amount. Railways. £ s. d. £ s. d. Cost of letter of indemnity .. .. .. Receipts unobtainable .. .. 0 16 0 Purchase of stationery . . . . .. Voucher lost .. .. .. 0 19 10 Wages .. .. . . .. .. Receipts unobtainable .. .. 10 2 9 11 18 7 Scientific and Industrial Research. Purchase of publications .. .. .. Receipts unobtainable .. .. 4 2 4 4 2 4 Social Security. Pension payment .. .. .. .. Receipt unobtainable .. .. 3 5 9 Pension payment .. .. .. .. Voucher lost .. .. .. 4 4 7 Travelling-expenses .. .. .. .. Receipt unobtainable .. .. 18 4 8 18 8 Transport. Payment of witnesses' expenses .. .. Receipt unobtainable .. .. 0 7 8 Travelling-exponses .. .. .. .. Receipt unobtainable .. .. 0 10 0 0 17 8 £1,165 3 11

B.—l [Pt. ll].

Retirement of Controller and Auditor-General. Mr. J. H. Fowler retired from the position of Controller and Auditor-General on the 31st August, 1939, after forty-two years in the service of the State. Mr. Fowler spent the whole of his official career in the Audit Department, which he joined as a cadet, and he will be specially remembered as being the first Controller and Auditor-General to be appointed to that position from within the ranks of the Department itself. Staff. My predecessors have regularly expressed in their annual reports to Parliament their appreciation of the assistance they have received from the staff of the Audit Department, and I in my turn wish to acknowledge here the value of the services rendered by tlie inspecting and examining officers attached to my Department and the increased effort being put forward by them to cope with the extra work arising from war conditions. The Audit Department has lost 10 per cent, of its staff to the armed Forces, and a number of the remaining officers have enlisted and now a waitmobilization orders. This response on the part of the staff to the nation's call, resulting in the loss of so many of the trained members of the Audit staff, has placed a severe strain upon the structure of the Department. To some extent I anticipate that temporary staff may be utilized to augment the reduced Audit personnel, and the strain will to a further extent be met by a carefully planned reduction in the amount of the detail check hitherto imposed. In concluding my report I wish specially to refer to the valuable assistance which I have received from the Law Officers of the Crown and I also wish to thank departmental heads for the manner in which they have received and acted upon representations made to them by the Audit Office. Cyril G. Collins, Controller and Auditor-General. Audit Office, Wellington, 31st- July, 1940.

XX

B.—l [Pt. ll].

APPENDIX.

STATEMENT OF SUMS IRRECOVERABLE BY THE CROWN, AND VALUE OF STORES, ETC., IN RESPECT OF WHICH AUDIT CONCURRENCE HAS BEEN GIVEN FOR THE WRITING-OFF AND DISCHARGE FROM THE PUBLIC ACCOUNT SINCE LAST REPORT.

XXI

Department and Particulars. ! Reason for writing olf. Value of Stores. J Cash. Agriculture. £ s. d. £ s. d. Value of stores .. . . . . .. Lost, broken, deficient, unserviceable, and 196 9 6 destroyed by fire Value of stores . . .. .. ■. Stolen . . .. .. .. 0 18 8 Value of publications .. .. ■ . Gratuitously issued .. .. .. 166 0 6 Value of live-stock .. .. .. Issued for research .. . . .. 16 0 Value of live-stock .. .. .. Died, and deficient .. .. .. 2,886 15 8 Grading fees .. .. • • ■ . Irrecoverable .. .. . . .. 0 14 10 Postages . . . . .. . . Irrecoverable . . .. .. . . 0 19 Repairs to cars damaged in accidents .. Nugatory expenditure .. .. . . 13 5 0 Audit. Value of stores .. .. .. • • Deficient and unserviceable .. .. 2 7 2 Census and Statistics. Value of stores .. .. .. Unserviceable .. .. .. 1 17 7 Customs. Value of stores .. .. .. •. Unserviceable and obsoleto .. .. 4 16 3 Education. Value of stores .. .. .. • ■ Lost, broken, deficient, and unserviceable 80 6 1 Value of live-stock .. .. . . Died .. .. .. .. 282 Maintenance orders .. .. .. Debtors unfinancial and untraceable .. .. 4,506 3 3 Travelling expenses, fares .. .. Irrecoverable .. .. .. .. 13 11 9 External Affairs. New Zealand Reparation Estates, value of Loss on realization .. .. .. 8,027 13 2 buildings and plant Health. Value of stores .. .. .. •. Lost, broken, deficient, unserviceable, 468 6 9 obsolete, and destroyed by fire Value of stores .. .. •. • • Stolen .. .. .. .. I 13 3 Value of Fordson tractor.. .. .. Loss on realization .. .. .. 33 10 10 Dental treatment .. .. .. Debtor unfinancial .. .. .. .. 0 5 0 Fumigation charges .. .. Debtor unfinancial .. .. .. .. 0 3 6 Maintenance and treatment .. .. Debtor unfinancial .. .. .. .. 4,316 2 8 Overpayment of salary .. .. .. I rrecoverable . . . . . . .. 4 2 6 Repairs to cars damaged in accidents .. Nugatory expenditure .. . . .. 100 4 11 Housing. Rents and instalments, principal, &c. .. Debtors unfinancial and arrears remitted .. 3,854 13 7 by State Advances Corporation Board Industries and Commerce, Tourist and Publicity. Value of stores .. .. .. •. Lost, broken, deficient, unserviceable, and 1,750 3 0 loss on realization Value of horse .. .. • • • ■ Died .. .. .. .. 30 0 0 Value of live-stoek .. .. .. Died and deficient .. .. .. 82 6 11 Value of photographs .. • • • • Gratuitously issued .. .. .. 15 0 Value of buildings . . .. .. Loss on demolition .. .. .. 175 12 0 Value of traotor. . .. . . I 'Oss on realization .. .. .. 5700 Value of launch.. .. .. .. Loss on realization .. .. .. 15 0 0 Value of outboard motor-engine .. >. Loss on realization .. .. . . 14 0 0 Value of Chateau kitchen equipment . . Unserviceable . . .. .. 339 6 0 Accommodation charges, Chateau Tongariro Debtors untraceable .. .. . . 15 9 3 Advertising, publications, &c. .. .. Irrecoverable .. .. .. .. 14 2 Fees, Industrial Efficiency Act .. .. Waived by the Minister .. .. .. 6 0 0 Sales of electric energy .. .. .. Remitted by the Minister .. .. .. 12 12 11 Sanatorium fees .. .. .. Debtors unfinancial .. .. .. .. 122 10 6 Internal Affairs. Value of stores .. .. .. .. Lost, broken, deficient, destroyed by fire, 6 11 7 and loss on realization Value of stores .. .. . . .. Stolen .. .. . . .. 22 18 4 Cost of rifle .. .. .. .. Debtor untraceable .. .. .. .. 13 0 Passport fee .. .. .. Debtor untraceable .. .. .. .. 10 0 Repairs to cars damaged in accidents .. Nugatory expenditure .. .. .. 2 0 0 Sales of skins, &c. .. .. .. Irrecoverable .. .. .. .. 7 2 6 Stranded New-Zealanders: Advances .. Irrecoverable .. .. .. .. 2 0 0 Justice and Prisons. Value of stores .. .. .. .. Lost, broken, deficient, unserviceable, 229 19 8 and destroyed by fire Value of stores .. .. .. ■. Stolen .. .. .. .. 22 15 10 Value of horse .. .. .. .. Died .. .. .. .. 15 0 0 Value of live-stock .. .. .. Died, deficient .. .. .. 1,826 10 7 Value of bricks .. .. .. .. Gratuitously issued .. .. .. 16 15 0 Value of rail and tramway .. .. Loss on realization .. .. 57 11 11 Value of cottage and buildings .. . . Loss on demolition .. .. 250 19 2 Value of Orepuki Courthouse .. .. Loss on realization .. .. .. 164 12 0 Fines and Court costs .. .. .. Debtors deceased .. .. .. .. 22 3 0 Medical maintenance .. .. .. Debtors deceased .. .. .. .. 0 15 0 Sales of produce, &c. .. .. .. Debtors unfinancial .. .. .. .. 3 7 0 Stores, &c., donated to Health Camps .. Nugatory expenditure .. .. .. 12 6

B.—l [PT. ll].

STATEMENT OF SUMS IRRECOVERABLE BY THE CROWN, AND VALUE OF STORES, ETC.—continued.

XXII

Department and Particulars. Keason for writing off. Value of Stores. Cash. Labour. £ s. d. £ s. d. Value of stores .. .. .. .. Lost, broken, and deficient, and loss on 206 9 10 realization Value of office furniture .. .. .. Loss on realization .. .. .. 60 6 9 Value of Rotorua Bureau .. . . Loss on realization .. .. .. 108 18 8 Value of buildings .. .. .. Loss on realization .. .. .. 195 13 0 Value of motor-vehicle .. .. .. Loss on transfer .. .. .. 96 6 1 Value of Humphreys Gully water-race .. Loss on transfer to Mines Department .. 62,673 15 1 Advances, geophysical surveys .. .. Company in liquidation .. .. .. 203 18 11 Advances, New Zealand Honey Control Board Part payment accepted in full satisfaction .. 3,839 13 5 Compensation for loss of horse .. .. Nugatory expenditure . . .. . . 20 0 0 Overpayment, subsidy Scheme 13 .. Debtor unfinancial .. .. .. .. 8116 Penalties and costs for breaches of awards.. Debtor unfinancial .. .. . . . . 4114 10 Repairs to cars damaged in accidents .. Nugatory expenditure .. .. .. 12 0 Land and Income Tax. Income-tax .. .. .. Debtors left New Zealand .. .. .. 1,915 2 1 Lands and Survey. Value of stores .. .. .. .. Lost, broken, deficient, destroyed by fire, 206 6 3 and unserviceable Value of stores .. .. .. .. Stolen .. .. .. .. 2 10 0 Value of office furniture .. .. .. Loss on realization .. .. .. 10 1 5 Value of lithos .. .. .. .. Obsolete .. .. .. .. 22 17 6 Value of motor-cycle .. .. .. Loss on realization .. .. .. 22 18 2 Value of dredges .. .. .. Reduction in book value .. .. 8,455 12 5 Value of live-stock .. .. .. Died and deficient .. .. .. 13,641 16 2 Advances under Discharged Soldiers Settle- Loss on realization of securities .. .. 9,477 12 2 ment Account .. .. Advances, kauri-gum control .. .. Debtors unfinancial . . . . . . . . 59 6 7 Advances, small farms .. .. .. Debtors unfinancial .. .. .. .. 5,559 19 9 -Interest on deferred-payment licenses .. Debtors unfinancial .. .. .. . . 914 17 6 Interest on advances, Deteriorated Lands Act Interest-rate reduced .. .. .. 109 18 11 Interest on advances, Land for Settlements Interest-rate reduced .. .. .. 1,401 10 8 Act Interest on advances (Discharged Soldiers Interest-rate reduced .. .. .. 3,138 9 2 Settlement Act), Crown Lands Purchase-price of Lot 73, B.I. Waipa . . Paid to unknown person, rightful owner .. 68 15 0 repossessed Rents .. .. .. •• Debtors unfinancial .. .. .. .. 8,343 12 6 Rents, small farms .. .. .. Debtors unfinancial .. .. .. .. 560 1 9 Repairs to private property .. .. Nugatory expenditure .. . . .. 133 15 3 Sale of lithos, &c. .. .. .. Debtors unfinancial .. .. .. .. 22 9 5 Survey liens .. .. .. • • Debtors unfinancial .. .. .. .. 54 16 5 Timber royalties .. .. .. Debtors unfinancial .. .. .. .. 1939 Legislative. Value of stores .. .. .. .. Lost, broken, and deficient .. .. 145 1311 Marine. Value of stores .. .. .. •• Lost, broken, deficient, and unserviceable 129 17 10 Value of Kakahi Fish Hatchery .. .. Destroyed by fire . . .. 225 6 8 Inspection fees .. .. •. • • Debtors unfinancial .. .. .. .. 29 5 1 Sales of salmon .. .. .. .. Debtors unfinancial .. .. .. .. 2 11 7 Mental Hospitals. Value of stores .. .. .. •• Broken and deficient.. .. .. 2,415 6 3 Value of stores .. .. .. • • Stolen .. .. .. .. 442 Value of live-stock .. . . ■ • Died and deficient .. .. .. 873 0 6 Compensation for damage to property caused Nugatory expenditure .. .. .. 30 0 0 by escaped inmates Mines. Value of stores .. .. ■ • • • Lost, broken, deficient, obsolete, and loss 508 0 8 on realization Value of horses .. . . . • • • Died .. .. .. .. 12 10 0 Value of coal shortages .. .. •• Due to handling and stone .. .. 1,351 13 11 Advances, mineral prospecting .. .. Irrecoverable, companies in liquidation; .. 1,971 17 3 remitted Court costs .. .. • • • • Debtors unfinancial .. .. .. .. 5 12 0 Repairs to motor-vehicles damaged in Nugatory expenditure .. .. .. 55 8 7 accidents Sales of coal, &c. .. .. .. Debtors unfinancial .. .. .. .. 128 8 2 Rent, &c. .. .. • • • • Debtors unfinancial .. .. .. .. 20 17 8 National Broadcasting. Value of stores .. .. • • • • Deficient .. .. .. .. 28 18 0 Value of stores . . .. • • • • Stolen .. .. .. .. 169 National Commercial Broadcasliny. Value of stores .. .. . . ■ • Lost, broken, deficient, unserviceable, 239 15 9 and destroyed by fire Value of stores .. .. • • • • Stolen .. .. .. .. 0 16 10 Value of office furniture . . .. .. Loss on realization .. .. .. 109 16 0 Value of typewriter .. •• •• Stolen .. .. .. .. 9 10 11 Value of equipment at 3ZB, Christchurch .. Destroyed by fire .. .. .. 8,292 18 3 Value of record library at 3ZB, Christehurch Destroyed by fire .. .. .. 789 0 4 Compensation for injuries sustained and Nugatory expenditure .. .. .. 13 19 6 replacement of damaged recordings Radio advertising .. • • • • Debtors unfinancial .. .. .. .. 679 8 3 Travelling-expenses advanced .. .. Debtor untraceable .. .. .. .. 19 7

B.—l [PT. IT].

STATEMENT OF SUMS IRRECOVERABLE BY THE CROWN, AND VALUE OF STORES, ETC.—continued.

XXIII

Department and Particulars. Reason for writing off. Value ot Stores. Caeb. National Provident. £ s. d. £ s. d. Value of stores .. .. .. .. Unserviceable .. .. .. 4176 Native. Value of stores .. .. . . .. Lost, broken, deficient, and unserviceable 395 15 1 Value of tent .. .. .. .. Destroyed by fire .. .. .. 4 3 0 Value of motor-car .. .. . . Loss on realization .. . . .. 7 0 0 Value of goats .. . . .. .. Deficient and lost .. .. .. 54 5 2 Value of live-stock .. .. .. Died and deficient .. .. .. 4,768 7 0 Advances and interest on mortgage .. Loss on realization and amounts remitted . . 574 6 7 Police. Value of stores .. .. .. .. Lost, broken, deficient, unserviceable, 102 2 5 and loss on realization Post and Telegraph. Value of stores .. .. .. .. Lost, broken, deficient, unserviceable, 1,847 13 7 and destroyed by fire Value of stores .. .. .. .. Stolen .. .. . . .. 28 4 1 Value of micros.. .. . . .. Stolen .. . . . . .. 61 17 0 Value of telephones .. .. .. Stolen .. .. .. .. 190 11 6 Value of radio receiver .. .. . . Stolen .. .. .. .. 14 16 8 Value of adding machine.. .. .. Stolen .. .. .. .. 25 0 0 Value of P.A.B.X. unit .. .. .. Destroyed in Social Security fire .. 1,164 0 0 Value of relays and keys .. .. Unserviceable .. .. .. 831 16 0 Value of telephones .. .. .. Destroyed by fire .. .. .. 901 16 3 Fraudulent manipulation of stamp-vending Irrecoverable .. .. .. .. 12 17 1 machines and telephone-box receipts Repairs to motor-cars damaged in accidents Nugatory expenditure . . .. . . 260 8 5 Telephone connections and other services .. Debtors unfinancial .. .. .. 211 2 7 Toll accounts .. .. .. .. Debtors unfinancial .. .. .. .. 224 10 2 Primary Products Marketing. Value of stores .. .. .. .. Lost, broken, deficient, unserviceable, and 12 18 9 stolen Value of grading-machines .. .. Reduction in book value .. .. 294 9 0 Sale of goods .. .. .. .. Debtors unfinancial .. .. .. .. 288 7 8 Printing and Stationery. Value of stores .. .. .. .. Lost, broken, deficient, and unserviceable 289 13 11 Public Trust. Value of office furniture .. .. .. Loss on realization .. .. .. 104 10 11 Loans on mortgages .. .. .. Loss on realization .. .. .. .. 29,138 6 0 Compensation for shortage in estate as result Nugatory expenditure .. . . .. 4 15 0 of overpayments Public Works. Value of stores .. .. .. .. Lost, broken, deficient, unserviceable, 3,452 2 9 destroyed by fire, and loss on realization Value of stores .. .. .. .. Stolen .. .. .. .. 956 17 10 Value of fuel .. .. . . .. Stolen .. .. .. .. 43 12 1 Value of tents .. .. .. .. Stolen .. .. .. .. 5 19 0 Value of tents and huts .. .. .. Destroyed by fire .. .. .. 218 9 8 Value of hut and cookhouse at Nelson .. Destroyed by gale .. .. .. 220 0 0 Value of building .. .. .. Destroyed by gale .. .. .. 45 0 0 Value of buildings .. .. .. Loss on demolition .. .. .. 216 11 9 Value of live-stock .. .. .. Died and deficient .. .. .. 10 2 0 Value of machinery .. .. .. Destroyed by fire .. .. .. 134 0 0 Value of drag-line bucket .. .. Lost in river .. . . .. 20 0 0 Value of steam-shovel .. .. .. Obsolete .. .. .. .. 356 0 0 Value of Diesel engines . . .. .. Unserviceable .. . . .. 74 0 0 Cash lost in transit .. .. .. Nugatory expenditure .. .. .. 12 17 3 Cost of rail fare; ticket lost .. .. Irrecoverable .. .. .. .. 21911 Holiday pay and compensation overpaid .. Irrecoverable .. . . .. .. 31 12 6 Inspection fees .. .. .. .. Debtors unfinancial .. . . .. .. 4 4 0 Rents and hire of plant .. .. .. Debtors unfinancial .. .. .. .. 234 2 3 Repairs to motor-vehicles damaged in accidents Nugatory expenditure .. .. .. 412 8 10 Sale of clectric energy .. .. .. Debtors unfinancial .. .. .. .. 3 9 0 Southland Electric-power : Energy .. Debtors unfinancial .. .. .. .. 64 2 1 Southland Electric-power : Installations .. Remitted by Adjustment Commission .. .. 99 10 4 Southland Electric-power: Rates.. .. Remitted by Adjustment Commission .. .. 5,369 8 6 Value of goods and fares advanced .. Debtors unfinancial .. .. .. .. 26 4 7 Water rates .. .. .. .. Remitted by the Minister .. .. .. 365 11 3 Railways. Value of stores .. .. .. Lost, broken, deficient, and unserviceable 3,276 1 11 Value of fuel .. .. .. .. Loss by evaporation .. .. 17 6 Advertising .. .. .. .. Debtors unfinancial .. .. ,. ., 279 7 8 Freight charges.. .. .. .. Debtors unfinancial .. .. .. .. 149 11 0 Rent .. .. .. .. .. Debtors unfinancial .. .. .. ., 906 14 6 Scientific and Industrial Research. Value of stores .. .. .. Deficient and unserviceable .. .. 1 13 3 Value of fruit-grader .. .. .. Loss on realization .. .. .. 5 15 3 Repairs to cars damaged in accidents .. Nugatory expenditure .. .. .. 8 7 0 Sale of lucerne culture ,, ,, ,, Irrecoverable .. .. .. ,, 0 5 0

B.—l [PT. ll].

STATEMENT OF SUMS IRRECOVERABLE BY THE CROWN, AND VALUE OF STORES, ETC.—continued.

XXIV

Department and Particulars. Reason for writing off. Value o£ Stores. Cash. Social Security. £ s. d. £ s. d. Value of stores .. .. • • Lost, deficient, and destroyed by fire .. 15 16 0 Excess relief and fares advanced.. .. Debtors convicted and fined; debtors .. 471 6 6 unfinancial and untraceable Pensions overpaid .. • ■ ■ • Irrecoverable .. .. • • • • 59 11 8 Repairs to cars damaged in accidents .. Nugatory expenditure .. .. • ■ 64 5 2 Value of postal draft misappropriated .. Irrecoverable .. .. .. • • 4 6 8 Stamp Duties. Amusement-tax.. .. •• •• Irrecoverable .. .. .. •• 23 12 0 Estate and gift duty .. .. .. Irrecoverable .. .. .. •• 105 11 1 License duty .. .. •• •• Composition accepted .. .. .. 1,104 15 3 Penal interest under section 198, Stamp Duty Abandoned.. .. .. .. 10,836 8 0 Act, 1923 State Forest Service. Value of stores .. .. .. •• Lost, broken, deficient, unserviceable, 1,310 7 8 and destroyed by fire and loss on realization Value of stores .. . • • ■ Gratuitously issued .. .. .. 2 0 0 Value of horses.. .. .. •• Died and destroyed .. .. .. 26 0 0 Value of live-stock .. .. • • Died and deficient .. .. .. 37 5 0 Value of timber at Waitahuna Plantation.. Loss on realization .. .. .. 203 7 9 Value of Riverhead Nursery .. .. Loss on realization .. .. .. 115 3 9 Repairs to motor-vehicles damaged in accidents Nugatory expenditure .. .. •• 11 18 0 Sale of timber .. .. .. • • Irrecoverable .. .. . • • • 42 4 0 State Iron and Steel. Value of stores .. •. • ■ Unserviceable and stolen .. .. 42 10 1 Transport. Value of stores .. ■ • • • Deficient. .. .. .. ■ ■ 0 3 0 Passenger and continuous goods licenses .. Debtors unfinancial .. .. .. .. 17 15 0 Repairs to cars damaged in accidents .. Nugatory expenditure .. .. . • 108 1 2 Treasury. Value of stores .. • ■ • • Loss on realization .. .. .. 17 15 8 Advances, general purposes relief .. .. Debtors unfinancial .. .. .. .. 1,752 19 7 Advances, repatriation .. .. .. Debtors unfinancial .. .. .. 12,491 8 1 Valuation. Valuation fees .. . • • • • • Debtors unfinancial .. .. .. .. 17 7 6 War Expenses Account. Air — Value of airframes (Vildebeest) .. .. Destroyed in crashes at Lake Ellesmere 4,849 16 5 and Wigram 4,119 13 4 Value of airframe (Baffin) .. .. Destroyed in crash at Pigeon Bay .. 180 0 0 Value of Bristol-Pegasus engines .. Destroyed in crashes at Lake Ellesmere 1,788 0 0 and Pigeon Bay 1,788 0 0 Value of aeroplanes .. .. • ■ Destroyed in crashes.. . . . . 4,098 8 3 Value of aero-engines .. .. .. Destroyed in crashes.. .. .. 1,231 12 0 Value of parachutes .. • • • • Destroyed in crashes.. .. .. 80 10 0 Value of armoury .. .. •• Destroyed in crashes.. .. 205 1 4 Value of fuel .. .. • • • • Loss by evaporation.. .. • • 522 7 9 Value of stores .. • • • • Stolen .. .. .. .. 253 Value of stores and equipment .. .. Lost, broken, deficient, unserviceable, and 2,191 17 0 destroyed Repairs to oars damaged in accidents .. Nugatory expenditure . . .. .. 1 15 0 Army— Value of stores .. •• •• Lost, broken, deficient, unserviceable, 3,638 17 1 irrecoverable, and destroyed by fire Value of clothing and equipment . • Irrecoverable and deficient .. .. 123 13 5 Value of stores . • • • ■ • Stolen .. .. . . • • 36 5 10 Value of clothing and equipment .. Stolen .. .. .. .. 25 0 8 Value of fuel .. • • • • • • Loss by evaporation .. .. 2 5 0 Value of horses .. • • • • Died and destroyed .. .. .. 19 5 1 Value of typewriter .. .. ■ • Destroyed in accident . . . . 18 0 0 Value of rifles .. ■ • • • Lost and deficient .. .. .. 16 4 0 Compensation for cargo space unusued .. Nugatory expenditure .. . . ■. 100 0 0 Cost of fares .. .. •• •• Irrecoverable .. .. •• •• 4 12 11 Overpayment, out-of-eamp pay.. .. Irrecoverable . . . . . . ■ • 2 2 0 Rent .. • • • • • • Remitted by the Minister .. .. .. _ 64 12 8 Repairs to motor-vehicles damaged in aeci- Nugatory expenditure .. .. •. 58 4 1 dents Unexpired portion of outfit grants .. Irrecoverable .. .. • • • • 2 0 3 Navy— Value of clothing— H.M.S. " Leander" .. .. .. Issued at less than cost .. .. 638 19 11 H.M.S. " Philomel ".. .. •• Issued at less than cost .. .. 398 16 1 H.M.S. " Achilles " .. . • • • Issued at less than cost . . .. 170 16 5 Value of provisions— H.M.S. " Achilles " .. .. .. Issued at less than cost .. .. 24 12 0 H.M.S. " Leander " .. .. .. Issued at less than cost .. .. 39 0 4 H.M.S. " Philomel ".. •• •• Issued at less than cost .. •.. 10 8 S H.M.S. " Wakakura " .. .. Issued at xess than cost .. .. 5 0 5 Value of stores .. .. •• Deficient, lost, broken, unserviceable, 1,063 18 3 ., obsolete Docking charges " Dumont d'Urville " .. Account waived .. . . .. .. 8 8 6 167,114 18 11 117,880 2 1 V ! £284,995 1 0 _

B.—l [Pt. ll].

PUBLIC ACCOUNTS, 1939-1 94 0.

INTEREST, CONVERSION, AND REDEMPTION REMITTANCE ACCOUNTS.

I—B. 1 [PT. II J.

1

I ~ j ~ i 1 Balances as at 31st March, 1939. ! Transactions, 1939-1940. Balances as at 31st March, 1940. — : ' ! Debit. Credit. | Debit. Credit. Debit. Credit. Interest Remittance Account — £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Bank of England .... .. .. 5,093,163 1 10 5,256,879 8 10 5,485,413 0 10 .. 5,321,696 13 10 High Commissioner .. .. V .. .. 1,180 5 0 34,744 9 6 40,204 3 4 .. 6,639 18 10 Conversion Remittance Account — Bank of Engiand .......... .. 4 15 0 .. .. .. 4150 Redemption Remittance Account — Bank of England .. .. .. .. .. .. 7,966 9 9 100 0 0 359,643 4 0 .. 367,509 13 9 High Commissioner .. .. .. .. .. .. .. 800 3 2 223,300 3 2 .. 222,500 0 0 Suspense Remittance Account .. .. .. 5,102,314 11 7 .. 6,108,560 11 4 5,292,524 1 6 5,918,351 1 5, Totals .. . .. £5,102,314 11 7 £5,102,314 11 7 £11,401,084 12 10 £11,401,084 12 10 £5,918,351 1 5 I £5,918,351 1 5

B.—l [Fr. ll].

PUBLIC ACCOUNTS, 1989-1940.

STATEMENT of the REVENUE of the CONSOLIDATED FUND (ORDINARY REVENUE ACCOUNT) for the FINANCIAL YEAR ended 31st March, 1940.

2

Receipts. Refunds. Net Revenue. TAXATION £ s. d. £ s. d. £ s. d. Customs 10,059,292 5 1 112,434 12 4 9,946,857 12 9 BEER Duty .. .. .. •• 1,403,032 8 6 24,032 18 7 1,378,999 9 11 SALES TAX .. .. .. •• •• 3,522,415 3 10 12,285 12 7 3,510,129 11 3 FILM-HIRE TAX .. .. .. •• •• 93,125 8 2 8 0 0 93,117 8 2 GOLD-export Duty .. .. .. •• 116,893 17 9 5 0 2 116,888 17 7 Highways,— Tire-tax.. .. .. .. .. •• 103,944 6 0 96 10 2 103,847 15 10 Fees and Fines (Section 24, Motor-vehicles Act, 1924).. 620,429 18 5 753 16 5 619,676 2 0 Petrol-tax .. .. .. .. 2,476,742 18 1 214,472 12 11*2,262,270 5 2 Mileage-tax and Penalties (Motor-vehicles Amendment Act, 1934-35, Section 4 (6) )— Electrically-propelled Motor-vehicles .. .. 91 11 2 .. 91 11 2 Other Motor-vchicles .. .. •• •• 19,259 0 6 7,703 13 10 11,555 6 8 3,220,467 14 2 223,026 13 4 2,997,441 0 10f Stamp and Death Duties,— Adhesive Stamps.. .. •• •• 494,556 9 8 277,785 10 3 216,770 19 5 Duty on Instruments .. .. •• •• 371,548 3 7 3,657 14 1 367,890 9 6 Estate Duty .. 1,132,580 18 7 27,987 8 7 1,104,593 10 0 Succession Duty .. .. .. •• •• 346,392 2 9 7,280 19 4 339,131 3 5 Gift Duty .. ■■ •• •• 182,600 5 0 439 10 1 182,160 14 1] Fines and Penalties 1,747 18 10 36 17 11 1,711 0 11 Impressed Stamps .. .. ■■ .. 231,062 6 7 1,323 6 4 229,739 0 3 Licenses to Companies 91,047 16 9 318 14 0 90,729 2 9 Sharebrokers'Licenses .. .. ■■ .. 1,783 10 0 13 5 6 1,770 4 6 Duties payable by Racing Clubs .. .. .. 787,937 15 5 520 5 5 787,417 10 0 Amusements-tax .. .. •• 95,855 1 7 211 5 4 95,643 16 3 Lottery Duty 24,082 11 3 .. 24,082 11 3 Overseas Passenger Duty .. .. .. .. 25,709 8 11 .. 25,709 8 11 Miscellaneous .. .. .. • • • ■ 29 18 0 14 0 0 15 18 0 Receipts under Section 4, Mortgagees' Indemnity (Workers' Charges) Act, 1927 .. .. .. 1,667 15 0 0 7 0 1,667 8 0 3,788,602 1 11 319,589 3 10 3,469,012 18 1 Land-TAX .. .. •• •• 1,024,115 16 8 5,031 8 4 1,019,084 8 4 Income-tax .. .. .. .. •• 10,526,600 10 10 255,248 9 7 10,271,352 1 3 Miscellaneous, — Interest-tax (Finance Act, 1932—33, Section 5) .. 12 0 0 .. 12 0 0 Interest-tax (Finance Act, 1932-33, Section 6) Residue, Mileage - tax and Penalties under Motorvehicles Amendment Act, 1934—35, Section 4 (6) (b) 7,703 11 1 .. 7,703 11 1 7,715 11 1 .. 7,715 11 1 TOTAL, Taxation .. .. .. 33,762,260 18 0 951,661 18 9 32,810,598 19 3 Carried forward .. .. .. 33,762,260 18 0 951,661 18 9 32,810,598 19 3 £ s. d. * Refunds by Customs Department of Revenue incorrectly received or credited .. 2,707 0 11 Rebates in respect of motor-spirits used otherwise than as fuel for motor-vehicles, in terms of section 6 of the Customs Amendment Act, 1939 .. .. 211,765 12 0 £214,472 12 11 f £619,676 2s. Od. of this amount consists of fees, fines, &c., which are not taxation.

8..—1 [PT. ll]

PUBLIC ACCOUNTS, 1939-1940.

STATEMENT of the REVENUE of the CONSOLIDATED FUND (ORDINARY REVENUE ACCOUNT) for the FINANCIAL YEAR ended 31st March, 1940—continued.

3

Receipts. Refunds. Net Revenue. £ s. d. £ s. d. £ 8. d. Brought forward .. .. .. 33,762,260 18 0 951,661 18 9 32,810,598 19 3 INTEREST :— On Capital Liability, Wobktno Railways (interest at £4 5s. per cent, on the total amount of capital moneys deemed to be expended in respect of the railways, as provided by Order in Council under the Government Railways Act, 1926)— £ s. d. Year 1939-40 .. .. .. 2,575,195 10 11 Less reduction made in terms of Finance Act, 1930 (No. 2), Seotion 14. . .. .. 1,386,164 4 10 1,189,031 6 1 .. 1,189,031 6 1 On Capital Liability, Postal and Telegraph (interest as determined under section 95 of the Post and Telegraph Act, 1928, at £4 5s. per cent, on the amount of the capital liability as at 1st April, 1939, together with interest at the rate of £2 2s. 6d. per cent, on the net amount applied for the purposes of the Department out of the Public Works Fund during the year)— £ s. d. Year 1938-39 (balance) .. .. 13,869 6 4 Year 1939-40 (on account) .. 625,130 13 8 639,000 0 0 .. 639,000 0 0 On the Public Debt Redemption Fund (details on separate statement) .. ., .. .. 445,556 8 8 .. 445,556 8 8 On other Public Moneys (details on separate statement) 635,573 6 6 1 415 2 6 635,158 4 0 Total, Interest .. .. .. 2,909,161 1 3 j 415 2 6 2,908,745 18 9 OTHER RECEIPTS Registration and other Fees, — Air Navigation Act, 1931 .. .. .. .. 403 10 0 19 3 6 384 6 6 Animals Protection and Game Act, 1921-22 .. .. 600 0 16 4 538 Animals Protection and Game Act, 1921-22 (Part III) 3,660 19 3 .. 3 660 19 3 Apprentices Act, 1923 .. .. . . .. 36 16 0 .. ' 36 16 0 Arms Act, 1920 .. .. .. .. .. 2,873 2 6 .. 2,873 2 6 Births, Deaths, and Marriages .. .. .. 30,950 5 4 5 2 8 30,945 2 8 British Nationality and Status of Aliens (in New Zealand) Act, 1928 .. .. .. .. 638 5 0 .. 638 5 0 By-laws Act, 1910 .. .. .. .. 330 .. 330 Cemeteries Act, 1908 .. .. . . ,. 26 5 0 10 5 0 16 0 0 Cinematograph Films Act, 1928 .. .. .. 3.143 15 6 25 0 0 3 118 15 6 Coal-mines Act, 1925 .. .. .. .. 150 11 0 1 15 0 ' 148 16 0 Crown Grant Fees .. .. .. .. 3 0 0 10 0 0 Dr. 7 0 0 Customs Act, 1913 .. .. .. .. 14,949 14 4 248 7 6 14,701 6 10 Dairy Industry Aot, 1908 .. .. .. .. 2,154 0 0 7 0 0 2,147 0 0 Dentists Act, 1936 .. .. .. .. 774 17 0 10 11 0 764 6 0 Distillation Act, 1908 .. .. .. 60 0 0 .. 60 0 0 Education Act, 1914 .. .. .. .. 310 .. 310 Electrical Wiremen's Registration Act, 1925 .. 1,095 13 9 29 11 8 1,066 2 1 Engineers Registration Act, 1924 .. .. .. 52 30 220 50 10 Explosive and Dangerous Goods Act, 1908 .. .. 7,224 16 5 : 159 12 8 7,065 3 9 Factories Act, 1921-22 .. .. .. .. 4,559 7 0: 8 8 01 19 0 Fertilizers Act, 1927 .. .. .. .. j 419 15 0 0 5 0 419 10 0 Finance Act, 1915 (Part III), (Beer Duty) .. .. j 1,279 1 4 228 11 2 1,050 10 2 Fisheries Act, 1908 .. .. .. .. j 1,629 6 9 .. 1,629 6 9 Friendly Societies Act, 1909 .. .. .. 386 .. 386 Health Act, 1920.. .. .. .. .. 21 10 0 .. 21 10 0 Hospitals and Charitable Institutions Act, 1926 .. 652 6 0 4 7 11 647 18 1 Industrial Conciliation and Arbitration Act, 1925 ,. 402 14 11 4 0 0 398 14 11 Industrial Efficiency Act, 1936 .. .. .. 16,846 15 11 169 17 9 16,676 18 2 Inspection of Machinery Act, 1928 .. .. .. 21,950 16 9 18 4 7 21,932 12 2 Land Agents Act, 1921-22 .. .. .. 6,288 2 6 642 6 3 5,645 16 3 Licensing Act, 1908 .. .. .. .. I 42 0 0 .. 42 0 0 Margarine Aot, 1908 .. .. .. ..I 400 .. 400 Masseurs Registration Act, 1920 .. .. ... 169 13 0 1 14 0 167 19 0 Carried forward .. .. .. 122,478 15 9 j 1,607 2 0 120,871 13 9 Carried forward .. .. .. 36,671,421 19 3 j 952,077 1 3 35,719,344 18 0

B.—l [PT. ll].

PUBLIC ACCOUNTS, 19 39-19 40.

STATEMENT of the REVENUE of the CONSOLIDATED FUND (ORDINARY REVENUE ACCOUNT) for the FINANCIAL YEAR ended 31st March, 1940—continued.

4

Receipts. llefnnda. Net Revenue. £ s. d. £ s. d. £ s. d. Brought forward . . .. ... 36,671,421 19 3 952,077 1 3 35,719,344 18 0 OTHER RECEIPTS —continued. Brought forward .. .. .. 122,478 15 9 1,607 2 0 120,871 13 9 Registration and other Fees—continued. Medical Practitioners Act, 1914 .. .. .. 4114 0 6166 404 7 6 Mining Act, 1926.. .. .. .. •• 708 10 5 4 4 0 704 6 5 Money-lenders Act, 1908 .. .. .. •• 1,021 5 0 42 10 0 978 15 0 Motor-vehicles Act, 1924 .. .. .. . • 87 18 0 2 0 0 85 18 0 Native Land Act, 1931 .. .. .. •• 770 11 0 660 Native Land Amendment and Native Land Claims Adjustment Act, 1926, Section 14 (Taupo Waters) — Fees, Licenses, and Camp-sites .. .. .. 3,177 16 8 58 6 6 3,119 10 2 Fines and Penalties .. .. .. • ■ 20 3 9 .. 20 3 9 New Zealand Loans Act, 1932 .. .. .. 611 2 0 .. 611 2 0 Nurses and Midwives Registration Act, 1925.. .. 9,732 8 0 552 3 8 9,180 4 4 Opticians Act, 1928 .. .. .. . • 239 3 6 2 15 0 236 8 6 Orchard and Garden Diseases Act, 1928 .. •• 6,487 61 1105 6,47658 Patents, Designs, and Trade-marks Act, 1921-22 .. 13,050 3 2 25 0 6 13,025 2 8 Petroleum Act, 1937 .. .. .. •. 43 4 0 .. 43 4 0 Plumbers Registration Act, 1912 .. .. .. 524 1 ! 11 15 0 512 6 1 Poisons Act, 1934 .. .. .. .. 185 16 0 4 14 6 181 1 6 Public Safety Conservation Act, 1932 .. .. 32 10 0 I 10 0 31 0 0 Sales Tax Act, 1932-33 .. .. .. .. 598 0 0 .. 598 0 0 Second-hand Dealers Act, 1908 .. .. ■ ■ 350 0 0 . . 350 0 0 Servants' Registry Offices Act, 1908 .. . . 18 10 0 .. 18 10 0 Slaughtering and Inspection Act, 1908 .. •• 57,388 10 0 10 0 57,387 10 0 Stallions Act, 1938 .. .. . . .. 72 9 0 .. 72 9 0 Stock Act, 1908 762 6 0 2 15 0 759 11 0 Stock Remedies Act, 1934 .. .. .. 421 15 6 21 2 6 400 13 0 Stone-quarries Act, 1910 .. .. .. ■. 83 10 0 4 0 0 79 10 0 Timber Export Act, 1908 Timber-floating Act, 1908 .. .. .. 10 9 6 3 19 6 6 10 0 Tobacco Act, 1908 .. .. .. . ■ 618 14 0 .. 618 14 0 Tramways Act, 1908 .. . . . . .. 139 0 0 .. 139 0 0 Transport Licensing Act, 1931 .. .. ■■ 51,547 13 I 1,015 18 0 50,531 15 I Valuation of Land Act, 1925 .. .. .. 30,219 17 6 75 14 2 30,144 3 4 Veterinary Surgeons Act, 1926 .. .. .. 18 18 0 .. 18 18 0 Weights and Measures Act, 1925 .. .. .. 10,686 1 6 16 3 9 10,669 17 9 311,754 8 6 3,471 12 0 308,282 16 6 Territorial Revenue, — Rents, Royalties, and Miscellaneous Receipts from lands — Agricultural Department .. .. .. 8197 .. 8197 Air Department .. .. .. .. 75 19 3 .. 75 19 3 Army Department .. .. .. .. 1,328 13 8 .. 1,328 13 8 Customs Department .. .. .. .. 100 .. 100 Education Department .. .. .. .. 198 3 4 .. 198 3 4 Health Department .. .. .. .. 19 15 0 .. 19 15 0 Internal Affairs Department .. .. .. 1613 4 .. 1613 4 Justice and Prisons Department .. .. .. 450 0 0 .. 450 0 0 Lands and Survey Department— Crown lands .. .. .. .. 354,807 18 6 5,167 18 8 349,639 19 10 Hauraki Plains lands .. .. .. .. 7,718 1 2 99 15 0 7,618 6 2 Swamp Drainage lands .. .. . . 424 3 8 12 8 II 411 14 9 Small-farms Scheme .. .. .. .. 5,251 5 4 742 7 8 4,508 17 8 Miscellaneous Fees .. .. .. .. 2,985 1 2 747 0 0 2,238 1 2 Marine Department .. .. .. .. 180 0 3 26 2 3 153 18 0 Mental Hospitals .. .. .. .. 532 3 7 0 6 0 531 17 7 Mines Department .. .. .. .. 13,403 11 1 91 18 6 13,311 12 7 Police Department .. .. .. .. 96 16 0 .. 96 16 0 Public Works Department .. .. .. 469 12 11 7 3 4 462 9 7 Amounts transferred from State Forests Account in 14,415 15 9 .. 14,415 15 9 terms of section 39 (2) of the Forests Act, 1921-22 402,383 13 7 6,895 0 4 395,488 13 3 Carried forward .. .. .. 714,138 2 1 10,366 12 4 703,771 9 9 Carried forward .. .. .. 36,671,421 19 3 952,077 1 3 35,719,344 18 0

B.—l [Pt. ll].

PUBLIC ACCOUNTS, 1 989- 1 940.

STATEMENT of the REVENUE of the CONSOLIDATED FUND (ORDINARY REVENUE ACCOUNT) for the FINANCIAL YEAR ended 31st March, 1940 —continued.

5

Receipts. Refund*. Net Revenue. £ s. d. £ s. d. £ s. d. Brought forward .. .. .. 36,671,421 19 3 952,077 1 3 35,719,344 18 0 OTHER RECEIPTS—continued. Brought forward .. .. .. 714,138 2 1 10,366 12 4 703,771 9 9 External Affairs, — New Zealand Reparation Estates .. .. .. 51,426 12 10 715 16 2 50,710 16 8 Export of Bananas from Samoa .. .. .. 108,494 5 3 1 19 3 108,492 6 0 159,920 18 1 717 15 5 159,203 2 8 Justice, — Court Fees, Fines, and Bankruptcy Commission .. 182,231 8 7 9,466 2 li 172,765 5 8 Marine, — Pilotage Rates and Harbour Eees .. .. .. 1,536 15 4 1,536 15 4 Shipping and Seamen Act, 1908 .. .. .. 104,971 16 8 46 9 11 104,925 6 9 Rents of Foreshores, Royalties, &c... .. .. 3,149 17 9 0 10 0 3,149 7 9 Sale of Oysters under Fisheries Act, 1908 . .. 8,264 10 11 .. 8,264 10 II Rents from Toheroa Areas .. .. .. 350 0 0 .. 350 0 0 Westport Harbour .. .. .. .. 41,231 2 5 1 0 4 41,230 i 1 159,504 3 1 48 0 3 159,456 2 10 Profits of Trading Institutions, — Post and Telegraph Department — Post Office Savings-bank profits received from the Post Office Account in terms of section 95 (1) (c), Post and Telegraph Act, 1928 — £ s. d. For year 1936-37 (balance) .. 3,142 14 10 For year 1937-38 .. .. 66,981 19 5 For year 1938-39 .. .. 96,670 9 3 166,795 3 6 .. 166,795 Si 6 Profits other than Post Office Savings-bank profits received from the Post Office Account in terms of section 95 (1) (d), Post and Telegraph Act, 1928— For year 1937-38 .. .. .. .. 2,928 11 11 .. 2,928 11 11 Public Trust Office — Half of profits credited in terms of section 24 (1) of the Finance Act, 1929 — For year 1938-39 .. .. .. .. 133 7 6 .. 133 7 6 Reserve Bank of New Zealand— Profits credited in terms of section 36 (c), Reserve Bank of New Zealand Act, 1933 — For year 1938-39 .. .. .. .. 250,285 10 4 .. 250,285 10 4 420,142 13 3 .. 420,142 13 3 Native, — Fees collected in Stamps under the provisions of the Native Land Act, 1931 .. .. .. .. 5,658 10 5 .. 5,658 10 5 Printing and Stationery,— General Receipts .. .. .. .. 306,240 16 7 5,413 13 11 300,827 2 8 Stami' Duties, — Land Registry and Deeds Register Office Fees .. 63,188 4 5 .. 63,188 4 5 j Tourist and Health Resorts, — Receipts in respect of Reserves under the Tourist and Health Resorts Control Act, 1908 .. .. 115,335 16 0 378 0 6 114,962 15 6 Miscellaneous (details on separate statement) .. 132,063 2 7 2,091 8 2 129,971 14 5 Recoveries on account of Expenditure of Previous Years (details on separate statement) .. .. 18,634 6 5 TO 10 2 18,563 16 3 I Recoveries on account of Unauthorized Expenditure of Previous Years (details on separate statement) .. 6,303 3 0 .. 6,303 3 0 Total, Other Receipts .. .. 2,283,361 4 6 28,547 3 8 2,254,814 0 10 j Total Revenue .. .. .. 38,954,783 3 9 980,624 4 11 37,974,158 18 10 j

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1 939-1 940.

STATEMENT of INTEREST on the PUBLIC DEBT REDEMPTION FUND for the FINANCIAL YEAR ended 31st March, 1940.

STATEMENT of INTEREST on OTHER PUBLIC MONEYS for the FINANCIAL YEAR ended 31st March, 1940.

6

Repayment of the Public Debt Act, 1925, Section 12 (a): — Interest earned by the capital moneys of the Public Debt Redemption Fund held by— I £ s. d. Public Trustee .. .. .. .. .. .. .. .. .. 336,171 3 10 State Advances Office .. .. .. .. .. .. .. ..I 109,385 4 10 £445,556 8 8

Interest on Other Public Moneys :— On investments made in respect of the — £ s. d. £ s. d. £ s. d. Deposits Account .. .. .. .. .. 10,33101 Ordinary Revenue Account .. .. .. .. 27,181 19 7 Bank of New Zealand Shares Account: Dividends transferred to Ordinary Revenue Account in terms of section 8 (3), Finance Act, 1926 — Dividend on 500,000 £1 preference A shares .. 50,000 0 0 Final dividend on 1,375,000 £1'preference B shares for year ended 31st March, 1939 .. .. 68,750 0 0 Interim dividend on 1,375,000 £1 preference B shares for year ended 31st March, 1940 .. .. 31,250 0 0 Half - yearly dividend on 234,375 £1 C long - term mortgage shares to 31st March, 1939 .. .. 7,031 5 0 Half-yearly dividend on 234,375 £1 C long-term mortgage shares to 30th September, 1939 .. 7,031 5 0 164,062 10 0 Public Works Fund, General Purposes Account .. .. 36,318 18 4 Public Account Cash Balance Investment Account .. .. 31,264 12 1 Receiver-General's Deposit Account .. .. .. 5,212 12 7 Reserve Fund Account .. .. .. .. .. 43,837 16 10 Silver and Bronze Coin Aocount .. .. .. .. 24,409 6 4 342,618 15 10 On £1,226,000 appropriated out of Public Works Fund and paid to Main Highways Account in terms of paragraph (6), section 16, Main Highways Act, 1922— Finance Act, 1930, section 36 .. .. .. .. .. 61,300 0 0 On £465,346 0s. 2d., net profits of the Cheviot Estate Account, in terms of section 19 (4) of the Finance Act, 1930 (No. 2) .. .. .. .. .. .. .. 18,613 16 10 On capital moneys reoeived from sale of Crown lands and paid into the Land for Settlements Account: Land Laws Amendment Act, 1926, section 13— Year 1935-36 (balance) .. .. .. .. .. 40,412 6 11 Year 1936-37 (on account) .. .. .. .. 8,265 15 8 48,678 2 7 On value of Crown lands declared to be subject to the Land for Settlements Act, 1925, and former Land for Settlements Acts — Land Laws Amendm«nt Act, 1929, section 47— Year 1938-39 .. .. .. .. .. .. .. 8,479 9 7 On loan of £400,000 to the Rural Intermediate Credit Board, year ended 30th June, 1939 .. ■■ .. .. 6,000 0 0 On loans to earthquake sufferers in terms of section 49, Hawke's Bay Earthquake Act, 1931 .. .. . 315 8 0 On loans to earthquake sufferers —Pahiatua earthquake.. .. .. 29 18 4 On loans to sufferers—Wairarapa storm .. .. .. .. 31211 On loans to looal bodies under Local Bodies' Loans Act, 1908 .. .. .. .. .... .. .. 53,798 10 3 On loans to Samoan Treasury in terms of section 33, Samoa Act, 1921 .. .. .. .. .. .. 5,489 3 8 On loan to Taieri River Trust in terms of section 3, Taieri River Improvement Amendment Act, 1939 .. .. 1,509 0 10 On loans under section 26, Agriculture (Emergency Powers) Act, 1934 .. .. .. .. . .. 848 15 10 On miscellaneous advances — For erection of hostels, &c. — Auckland Grammar School .. .. .. 14 11 8 New Plymouth High School .. .. .. 303 12 4 Timaru High School .. .. .. .. 106 19 0 Wairarapa High School .. .. .. 34 10 0 Whangarei High School.. .. .. .. 39 7 6 499 0 6 Carried forward .. .. .. .. 499 0 6 547,684 14 8

8.-l [Pt. IT],

PUBLIC ACCOUNTS, 1939-1940.

STATEMENT of INTEREST on OTHER PUBLIC MONEYS for the FINANCIAL YEAR ended 31st March, 1940—continued.

7

£ s. d. £ s. d. £ s. d. Brought forward .. .. .. .. 499 0 6 547,684 14 8 Interest on Other Public Moneys—continued. On miscellaneous advances —•continued. For Native Land Settlement Account—Survey liens .. .. 036 7 7 From Vote " Agriculture," to various agricultural associations .. .. .. .. .. .. 35 19 1 To Cook County Council .. . . .. -. .. 149 18 4 To Cook Islands Fruit Account .. . . .. .. 571 3 4 To discharged soldiers under Repatriation Act, 1918 .. .. 170 15 4 To Eastbourne Borough Council for drainage works .. .. 221 4 (i To Egmont National Park Board .. .. .. .. 15 10 1 To Hospital Boards—Buller .. .. .. .. .. 0 9 10 Hawke's Bay .. .. .. .. .. 1 12 1 Marlborough .. .. .. .. .. 22 3 10 Opotiki .. .. .. .. .. 013 South Canterbury .. .. .. .. 0 8 6 Southland .. .. .. .. .. 0 9 10 Tauranga .. .. .. .. .. 0 4 11 Waikato .. .. .. .. .. 235 19 5 Waipawa .. .. .. .. .. 062 Wairarapa .. .. .. .. .. 026 Wairoa .. .. .. .. .. 019 Westland .. .. .. .. .. 77 6 0 339 6 1 To Judea Drainage Board.. .. .. .. .. 81 13 4 To Land Settlement Associations— Angland .. .. .. .. .. 207 13 9 Blairgowrie .. .. .. .. .. 426 12 0 Bruce .. .. .. .. .. 211 4 4 Chastleton .. .. .. .. .. 287 2 3 Clifton Grove .. .. .. .. .. 247 1 8 Eiffelton .. .. .. .. .. 393 0 0 Glencairn .. .. . .. .. 211 14 11 Gleniffer .. . . .. .. .. 109 8 10 Hari Hari .. .. .. .. . . 98 10 1 Kelman .. .. .. .. . . 97 0 0 Lake Alice .. . . .. .. .. 149 12 2 Matamau .. .. .. .. .. 477 15 4 Melville Downs .. .. .. .. 415 18 10 Moorfield .. .. .. .. .. 391 0 4 Nikau Grange .. .. .. .. .. 84 9 3 Otaikarangi .. .. .. .. .. ' 30 18 7 Otauiri .. . . .. .. .. 298 8 0 Owersby .. .. .. .. .. 184 18 2 Quiltowen .. .. .. .. .. 248 6 3 Trentham .. .. .. .. .. 203 1 0 Waitohi Downs .. .. .. .. 217 9 10 Wentnor .. .. .. .. .. 188 4 8 5,179 10 3 To Lower Clutha River Trust .. .. .. . . 90 0 0 To Maori Land Boards, under section 340, Native Land Act, 1931 .. .. .. .. .. .. 57 19 3 To Mount Cook and Southern Lakes Tourist Co., Ltd. (Jease of Hermitage, Mount Cook) .. .. .. 676 11 0 To Rotorua Golf Club .. .. .. .. .. 123 1 3 To Southland Electric-power Board .. .. .. 528 0 0 To Taupiri Drainage Board (protective works) .. .. 8 14 0 To Y.M.C.A. — For purchase of cinemas .. .. .. . . 19 19 6 For purchase of radio sets .. .. .. .. 7 5 10 Under the Native Housing Act, 1935 .. .. .. 1,519 5 2 Under the Native Land Act, 1931, section 521 (2) .. . 2,393 8 6 Under the Native Land Amendment Act, 1936— Section 38 (3) .. .. .. .. .. .. 51,944 7 7 Section 48 .. .. .. .. .. . . 383 0 0 Under the Small-farm Plan .. .. .. 16,060 2 1 Under the Village-homestead Settlement Scheme . . . . 168 8 8 Under section 383 (5), Mining Aot, 1926, credited under Finance Act, 1932, section 12 (2).. .. .. . . 49 0 0 | 81,929 11 3 Miscellaneous interest on— Balance of Post-office Savings-bank Accounts used by Child Welfare Branch, Education Department .. . 2 14 0 Debentures under the Hutt Road Act, 1915 .. .. .. 2,355 0 0 Debentures, shares, and mortgages held as security for payment of tax .. . .. .. . 9122 Deposits by High Commissioner .. .. .. . 0 8 1 Loans for purchase of motor-cars .. .. .. .. 1 12 6 Mortgages due to Reparation Estates .. .. . 190 15 1 Carried forward .. .. .. .. 2,560 1 10 629,614 5 11

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939- 1 940.

STATEMENT of INTEREST on OTHER PUBLIC MONEYS for the FINANCIAL YEAR ended 31st March, 1940—continued.

STATEMENT of OTHER RECEIPTS, MISCELLANEOUS, for the FINANCIAL YEAR ended 31st March, 1940.

8

£ s. d. j £ s. d. £ s. d. Brought forward .. .. .. •• 2,560 1 10 629,014 5 11 Interest on Other Public Moneys—continued. Miscellaneous interest on —continued. Purchase-moneys in connection with sales of land and buildings— Education Department .. .. . ■ .. 88 15 10 Department of Lands and Survey • .. .. 25 5 0 Public Works Department .. .. •• 178113 292 12 1 Purchase-moneys in connection with sales of plant—Public Works Department .. .. •• 886 16 5 Crown's proportion of Greymouth Harbour Board 3,739 10 4 special coal rate: Credited as interest on sums of £114,439 Is. and £27,000 in terms of section 12 of j the Greymouth Harbour Board Act, 1884 .. .. •• j 1,804 7 9 £635,158 4 0

Legislative Department :— £ s. d. £ s. d. £ s. d Hire of typewriters .. •• •• •• •• 1611 Treasury Department :— Conscience-money .. . • • • • • • 45 16 3 Exchange, commission, discount, &c. .. .. .. 0 19 Unclaimed moneys — Under Public Revenues Act, 1926, section 30— Courts of Law Trust .. .. • • • • 163 5 0 Gaolers' deposits Goldfields deposits • ■ • • • • 15 12 0 labour deposits .. ■ • • • • • 198 " 0 Land revenue deposits .. .. • • • • 62 1 9 Marine deposits .. . • • • • • 0 15 0 Probation Officers' deposits .. .. • • 26 16 3 Stamp Duty deposits .. . . • • • • 0 5 0 Tourist deposits .. .. .. . • 82 6 1 Under Public Revenues Act, 1926, section 95— General estates •• •• •• •• 4,376 8 2 Bankruptcy Act, 1908 .. .. .. .. 1,566 18 5 Rating Act, 1925 .. .. • • • • 325 6 5 Unclaimed land balances .. . • • • 224 6 2 Shipping and Seamen Act, 1908 .. . . .. 4 1 1 Surplus cash—Not identified .. .. • • 30 14 1 Transfers from Deposits Account — Miscellaneous, &c. .. .. • • • • 36 0 4 Unclaimed earnings .. .. .• •• 1,453 16 4 Unpresewted cheques .. .. .. • • 335 5 0 Dividends unclaimed for over 10 years— N.Z. Government stock .. .. .. • • 298 4 10 Excess cash at Government offices .. .. .. 0 2 2 Goldfields revenue—Native Blocks—Owners unknown 12 6 Money found by or handed to police officers, &c., not claimed .. .. •• •• •• 24 2 0 Money found in Government institutions .. .. u it> o Redemption money unclaimed —N.Z. 4% Stock 1929 .. 7,501 9 9 Unclaimed balances—Native Trustee .. .. 28 il 1 Bank of England fractions of interest .. •. 154 13 3 Commission on collections — Public Service Association subscriptions .. .. 164 2 Z New Zealand Educational Institute subscriptions .. 3 17 8 Donations to the Consolidated Fund .. .. .. 7 11 0 Duty on scrap gold and jewellers'sweepings .. .. 2,12,117 o Forfeited deposits — Immigration Restriction Act, 1908 .. •. 60 0 0 Mines Department .. • • • • • • 8.1 8 9 Gold coin confiscated under section 6, Finance Act, 1934 (No. 3) •• •• •• •• 48 0 0 j Carried forward .. .. •• 19,454 2 11 1 6 11®

B.—l [PT. ll]

PUBLIC ACCOUNTS, 1939 1940

STATEMENT of OTHER RECEIPTS, MISCELLANEOUS, for the FINANCIAL YEAR ended 31st March, 1940—continued.

2—B. 1 [PT. ll].

9

£ b. d. £ s. d. £ s. d. Brought forward .. .. .. 19,454 2 11 1 6 11 Treasury Department —continued. New Zealand Government's share of profits from Bank of International Settlements.. .. .. .. 40 8 7 Penal interest received from Pyramid Block Drainage Board under section 73 (1), Local Bodies' Loans Act, 1908 0 15 5 Profit on— Sale of New Zealand Government stock .. .. 5,382 6 0 Redemption of New Zealand Government stock .. 62 19 6 Silver coin confiscated under section 12 (3), Finance Act, 1931 (No. 2) .. .. .. .. .. 11 9 0 Surplus funds, Waitangi Land Settlement Association .. 56 0 4 — 25,008 1 9 Customs Department Rents of buildings .. .. .. .. .. 78 0 0 Sale of goods seized by Customs .. .. .. 25 11 2 103 11 2 Land and Income Tax Department :— Unclaimed moneys— Under Unclaimed Moneys Act, 1908, section 6, and Finance Act, 1932, section 30 .. .. .. .. 12,662 12 U Stamp Duties Depabtment:— Amounts received under Companies Act, 1933, section 283 .. 138 19 4 Department of Internal Affairs Fees and fines, Rotorua Acclimatization District .. 90 16 0 Fees for — Camp sites, licenses, &e. .. .. .. .. 122 13 0 Slipway .. .. .. .. .. 12 12 0 Storage of powder .. .. .. .. 1,551 17 4 Passport fees .. .. .. .. .. 2,268 5 6 Rents of buildings .. .. .. .. .. 227 4 7 Sale of— Fishing and game licenses, Rotorua Acclimatization District .. .. .. .. .. 3,799 12 7 Godwit licenses .. .. .. .. •• 400 Publications .. .. .. .. .. 20 2 8 8,097 3 8 Marine Department :— Rents of buildings .. .. .. • ■ .. .. 73 5 10 Department of Labour :— Rents of buildings .. .. .. .. .. 61 19 4 Sale of scales (confiscated) .. .. . . .. 3 9 2 65 8 6 Department of Justice and Prisons :— Estreated recognizances .. .. .. . • 15 15 0 King's Counsel fees .. . • .. • ■ 8 8 0 Rents of buildings .. .. .. ■ • ■. 462 11 6 486 14 6 Police Department :— Rents of buildings .. .. .. .. •. 967 14 4 Sale of— Firearms (confiscated) .. .. .. .. 14 5 6 Liquor (confiscated) .. .. •. . • 387 3 8 1,369 3 6 Navy Department :— Forfeited deferred pay .. .. . . . 6651110 Purchase of discharges by New Zealand ratings . 10 0 0 Rents of buildings .. .. .. .. . 242 15 2 918 7 0 Army Department :— Fines .. .. .. .. .. •. 3866 Hire of equipment, &c. .. .. .. .. 85 12 2 Purchase of discharges .. .. .. .. 120 0 0 Rents of buildings .. .. .. .. .. 1,529 3 2 1,773 1 10 Air Department : — Purchase of discharges .. .. .. .. 64 7 4 Rents of buildings .. .. .. •. • 1 > 154 18 0 1,219 5 4 Carried forward .. .. ..J •• 51,917 2 3

B. —1 [PT. ll].

PUBLIC ACCOUNTS, 1939-194 0.

STATEMENT of OTHER RECEIPTS, MISCELLANEOUS, for the FINANCIAL YEAR ended 31st March, 1940—continued.

10

£ s. d. £ s. d. £ s. d. Brought forward .. .. .. .. 51,917 2 3 Public Works Department :— Amounts credited in terms of section 16 (2) of the Finance Act, 1930 (No. 2)— Receipts under section 17 (4) (c), Waihou and Ohinemuri Rivers Improvement Act, 1910— Rents, royalties, &c. .. .. .. .. 418 8 6 Contributions under sections 17 and 18, Waihou and Ohinemuri Rivers Improvement Act, 1910 — Gold-mining companies .. .. .. .. 1,309 16 0 Gold duty—Ohinemuri County .. .. .. 393 2 4 Consolidated Fund—For year 1938-39 .. • .. .. .. 1,329 3 0 Payment for privilege of draining into pipe-line, Ellerslie Police-station site .. .. .. .. 1 10 0 Receipts from irrigation and water-supply schemes . .. 25,207 3 1 Rents of buildings .. .. .. .. .. 15,255 8 1 Water-power license revenue .. .. .. 1,532 13 9 45,447 4 9 Department of Lands and Survey :— Hauraki Plains Act, 1926—■ Rates .. .. .. .. .. .. 1,761 16 9 Miscellaneous receipts .. .. .. .. Cr. 1,189 18 5 Rangitaiki Land Drainage Act, 1910 — Rates .. .. .. .. .. .. 13,147 7 5 Miscellaneous receipts .. .. .. .. 5,000 18 6 Sale of wool, Molesworth Station .. .. .. 6 3 6 Scenery Preservation receipts .. .. .. 1,017 14 10 Swamp Drainage Act, 1915—Miscellaneous receipts .. 693 4 6 Swamp Drainage Amendment Act, 1928, section 2—■ General rate for administration and maintenance .. 1,890 18 0 Special rate for interest and repayment of loans .. 2,339 10 9 24,667 15 10 Department oe Agriculture Rents of buildings .. .. .. .. .. .. 1,746 7 4 Department oe Industries and Commerce, Tourist and Publicity :—- Overcharges on bookings, &c., unclaimed .. .. 222 4 3 Rents of buildings .. .. .. .. .. 485 5 1 Sale of exhibits—Canadian National Exhibition .. 11 18 10 719 8 2 Department of Scientific and Industrial Research : — Fees for analyses .. .. .. .. .. .. 224 6 0 Mines Department :— Commission on coal and goldfields revenue collected .. 1,235 2 11 Hire of drills, &c. .. .. .. .. .. 253 12 5 Rents of buildings .. .. .. .. .. 22 15 0 Sales under section 22, Mining Amendment Act, 1937 .. 18 0 0 1,529 10 4 Department of Health :— Rents of buildings .. .. .. .. .. .. 347 12 7 Mental Hospitals Department :— Rents of buildings .. .. .. .. .. .. 37 3 9 Education Department :— Fees for teachers' certificates, licenses, &c. .. .. 653 0 1 Refund of unclaimed balances — National Scholarship Fund .. .. .. 15 0 0 Subsidy, Canterbury Education Board .. .. 177 13 7 Rents of buildings .. .. .. .. . . 2,407 1 2 Unclaimed money, Child Welfare Office . . .. 82 8 7 3,335 3 5 £129,971 14 5

B. —1. [PT. ll].

PUBLIC ACCOUNTS, 1 9 39-1 940.

STATEMENT of OTHER RECEIPTS, RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March, 1940. Ordinary Revenue Account.

11

£ s. d. £ s. d. £ s. d. Legislative Department :— Sale of — Publications .. .. .. .. .. 10 18 2 Surplus and obsolete stores .. .. .. 31 19 11 42 18 1 Treasury Department : —- Repayment of—• Balance of loan made to the Southland Electric-power Board in terms of section 34, Finance Act, 1928 .. 12,000 0 0 Loans to agricultural associations .. .. .. 120 9 2 Sale of surplus and obsolete stores .. .. . . 0 10 0 12,120 19 2 ! Customs Department :—• Sale of surplus and obsolete stores .. .. .. .. 12 14 6 Land and Income Tax Department :— Sale of surplus and obsolete stores .. .. .. .. 2181 Stamp Duties Department :— Sale of surplus and obsolete stores .. .. .. .. 12 9 7 Public Service Commissioner's Office :— Sale of surplus and obsolete stores .. .. .. .. 2 0 0 Department of Internal Affairs : — Recovery from New Zealand Dairy Board of income-tax paid in error on salaries of London officers .. .. 19 1 1 Sale of surplus and obsolete stores .. .. .. 381 2 .1 400 3 2 Department of External Affairs :— Sale of surplus and obsolete stores .. .. .. 1,061118 Printing and Stationery Department :— Sale of surplus and obsolete stores . . . . .. .. 10 6 9 Marine Department : — Sale of surplus and obsolete stores .. .. .. .. 65 13 4 Department of Labour :— Sale of— Land and buildings .. .. .. .. 113 0 0 Surplus and obsolete stores .. .. .. 314 2 1 427 2 1 Native Department :— Sale of surplus and obsolete stores .. .. .. . . 10 8 0 Valuation Department :— Sale of surplus and obsolete stores .. .. .. .. 73 19 7 Census and Statistics Department :— Sale of surplus and obsolete stores .. .. .. .. 4 19 0 Department of Justice and Prisons :— Sale of surplus and obsolete stores .. .. .. .. 226 8 6 Police Department :— Sale of surplus and obsolete stores .. .. .. .. 224 7 9 Navy Department :— Refund of passage-money for Naval draft .. .. 114 15 0 Sale of— Land and buildings .. .. .. .. 60 0 0 Surplus and obsolete stores .. .. .. 10 1 0 184 16 0 Army Department :— Sale of surplus and obsolete stores .. .. .. .. 1,510 14 4 Air Department : — Recovery of overcharge, Rongotai Air Pageajit.. .. 30 5 0 Sale of surplus and obsolete stores .. .. .. 20 3 2 50 8 2 Public Works Department Recovery part cost river erosion protective works, Otaki .. 412 10 0 Department of Lands and Survey : — Recovery of bad debt written off in previous years, Discharged Soldiers Settlement Aocount .. .. 0 8 0 Repayment of loan —Egmont National Park Board .. 216 3 4 Sale of surplus and obsolete stores .. .. .. 94 15 1 311 6 5 Carried forward .. .. .. .. 17,168 14 2

B.—l [PT. lIJ.

PUBLIC ACCOUNTS, 1939- 1 940.

STATEMENT of OTHER RECEIPTS, RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March, 1940 —continued. Ordinary Revenue Account-continued.

12

£ s. d. £ s. d. £ s. d. Brought forward .. .. .. .. 17,168 14 2 Department of Agriculture :— Sale of surplus and obsolete stores .. .. .. .. 148 7 6 Department of Industries and Commerce, Tourist and Publicity :— Instalments on aeeount of advance to Rotorua Golf Club 155 15 0 Sale of — Live-stock .. .. .. .. .. 8 15 5 Surplus and obsolete stores .. .. .. 169 6 6 333 16 11 Department of Scientific and Industrial Research :— Sale of surplus and obsolete stores .. .. .. 37 4 7 Mines Department :— Sale of surplus and obsolete stores .. . . .. .. 44 10 0 Department of Health :— Sale of surplus and obsolete stores .. .. .. .. 94 15 9 Mental Hospitals Department :— Sale of surplus and obsolete stores .. .. .. .. 45 0 0 Education Department :— Sale of surplus and obsolete stores .. .. .. .. 676 12 4 Social Security Department :—- Sale of surplus and obsolete stores .. .. .. .. 12 4 0 National Provident and Friendly Societies Department :— Sale of surplus and obsolete stores .. .. .. .. 2110 18,563 16 3 UNAUTHORIZED EXPENDITURE OF PREVIOUS YEARS. Department of Lands and Survey :— Recovery of part of amount paid for goods supplied to a former mortgagor under the Discharged Soldiers Settlement Account .. .. .. .. .. .. 330 Department of Health :— Recoupment to the Consolidated Fund in terms of section 12, King George V Memorial Fund Act, 1938, of advance made to the Wellington Children's Health Camp Association .. .. .. .. .. .. 6,300 0 0 6,303 3 0 £24,866 19 3

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-1940.

STATEMENT of the DISBURSEMENTS of the CONSOLIDATED FUND (Ordinary Revenue Account) under SPECIAL ACTS of the LEGISLATURE, and of RECOVERIES in respect of such DISBURSEMENTS, for the FINANCIAL YEAR ended 31st March, 1940. Debt Services —Interest.

13

[ I Gross Interest due and Nature of Security. Maturity Date. , „ c^ to Ordinary per Cent. Revenue Account for Year ended 31st March, 1940. £ s. d. Stock .. .. .. .. 20th April, 1939 .. .. 4£ 58 10 0 Stock .. .. .. .. 15th May, 1939 .. .. 3 3,750 0 0 Stock .. .. 1st January, 1940 .. .. 3j 544,658 17 4 Stock ., .. .. .. 15th January, 1940 .. . . 3f 333 15 0 Debentures .. .. .. .. 31st March, 1940 .. .. 2J 134 12 6 Debentures .. .. .. .. 15th June, 1940 .. .. 4 26,569 14 8 Stock .. .. .. .. 15th September, 1940 .. .. 3£ 16,250 0 0 Debentures .. .. .. .. 15th December, 1940 .. .. 4 19,356 10 11 Debentures .. .. .. .. 1st July, 1941 .. .. .. 4| 463 10 0 Stock and Debentures .. .. 15th July, 1941 .. .. 3 138,405 3 0 Debentures .. .. .. .. 1st August, 1941 .. .. 4| 315 0 0 Stock and Debentures .. .. 15th November, 1941 .. .. 3f 121,022 12 11 Stock .. .. .. .. 1st March, 1942 .. .. 4 1,480 0 0 Stock .. .. .. .. 15th March, 1943 .. .. 3J 131,008 3 9 Stock .. .. .. 15th March, 1943 .. 4 397,457 14 0 Stock .. .. .. .. 1st March, 1944 .. .. 4£ 330,284 10 6 Stock .. .. .. .. 1st January, 1940-45 .. .. 3J 280,000 0 0 Debentures .. .. .. 15th February, 1945 .. .. 5 9,975 0 0 Stock .. .. .. .. 1st March, 1945 .. .. 4£ 341,140 16 8 Stock .. .. .. .. 15th March, 1945 .. ., 4 129 6 4 Stock .. .. .. .. 1st April, 1945 .. .. 3 289,799 8 0 Stock .. .. .. .. 1st January, 1946 .. .. 5 644,305 10 2 Stock and Debentures .. .. 15th February, 1946 .. .. 4 393,662 19 9 Stock .. .. .. .. 1st April, 1946 .. .. 3 35,862 8 6 Stock .. .. .. .. 1st April, 1946 .. .. 4 18,638 8 8 Stock .. .. .. .. 15th September, 1947 .. .. 4 114,042 0 0 Debentures .. .. .. .. 15th September, 1947 .. .. 5 66,525 0 0 Stock .. .. .. .. 1st November, 1947 .. .. 4J 504,972 7 10 Stock .. .. .. .. 30th November, 1948 .. .. 4 36,706 11 0 Stock .. .. .. .. 1st January, 1949 .. .. 4 420 0 0 Stock and Debentures 15th April, 1949 .. .. 4 358,613 4 3 Stock .. .. .. .. 15th December, 1949 .. .. 5 375,000 0 0 Stock .. .. .. .. 15th Deoember, 1950 .. .. 3J 8,750 0 0 Stock and Debentures .. .. 1st February, 1951 .. .. 5J 111,595 0 0 Stook .. .. .. .. 15th May, 1952 .. .. 3J 67,397 13 3 Stook .. .. .. .. 15th May, 1952 .. .. 4 422,377 14 8 Stock .. .. .. .. 1st February, 1954 .. .. 3J 175,000 0 0 Stock and Debentures .. .. 15th June, 1955.. .. .. 4 376,107 7 0 Stook .. .. .. .. 1st July, 1955.. .. .. 3 360,000 0 0 Stock and Debentures .. .. 1st January, 1956 .. .. 3 10,873 10 0 Stock .. .. .. .. 1st January, 1956 .. .. 4 4,000 0 0 Stook .. .. .. .. 15th January, 1957 .. .. 2| 35,425 0 0 Stock and Debentures .. .. 15th January, 1957 .. .. 3 1,407 0 0 Stock and Debentures .. .. 15th January, 1953-57 .. .. 3£ 317,495 8 2 Stook .. .. .. .. 15th January, 1957 .. .. 3J 24,121 12 9 Stock .. .. .. .. 1st February, 1957 .. .. 3 9,528 17 1 Stock .. .. .. .. 15th May, 1957 .. .. 2£ 35,425 0 0 Stock .. .. .. 15th May, 1957 .. .. 3 176,227 2 10 Stock .. .. .. .. 15th May, 1957 .. .. 3£ 53,728 0 2 Stock .. .. .. .. 15th August, 1957 .. .. 2£ 35,425 0 0 Stock .. .. .. .. 15th August, 1957 .. .. 3 175,276 17 2 Stock .. .. .. .. 15th August, 1957 .. .. 4 61,102 7 3 Stock .. .. .. .. 15th February, 1958 .. .. 2J 35,425 0 0 Stock .. .. 15th February, 1958 .. .. 3J 76,644 4 8 Stook .. .. .. .. 1st March, 1958 .. .. 4J 865,145 18 6 Stock .. .. .. .. 31st May, 1954-58 .. .. 4 67,661 10 4 Stock .. .. .. 15th June, 1958.. .. .. 2A 35,425 0 0 Stock .. .. .. .. 15th June, 1958.. .. .. 3£ 53,243 15 0 Stock .. .. .. .. 15th September, 1958 .. .. 2$ 35,425 0 0 Stock .. .. .. .. 15th September, 1958 .. 3J 44,149 0 0 Stock .. .. .. .. 15th December, 1958 .. .. 2£ 71,050 0 0 Stock .. .. .. .. 15th December, 1958 .. .. 3 179,536 16 0 Stock .. .. .. .. 15th March, 1959 .. .. 3 35,107 7 6 Stock .. .. .. .. 15th March, 1959 .. 3J 55,029 2 0 Stock .. .. .. .. 15th March, 1959 .. .. 4 5,564 3 7 Stook .. .. .. .. 15th July, 1959 .. .. 3 97,719 5 5 Stook .. .. .. .. 15th July, 1959 .. .. 3f 14,250 0 0 Carried forward .. .. .. .. 9,333,981 9 1

B.—i [Pt. ll].

PUBLIC ACCOUNTS, 1939-194 0.

STATEMENT of the DISBURSEMENTS and RECOVERIES under SPECIAL ACTS of the LEGISLATURE.—continued. Debt Services —Interest —continued

Domicile of Gross Interest paid, 1939-40. (Nominal Amounts.) £ s. d. London .. .. .. •• •• •• 5,526,152 7 9 London paid in New Zealand .. .. .. • • 143,649 4 1 Australia .. .. .. . • • • • • 47,799 0 0 New Zealand .. .. .. .. 5,197,263 16 9 £10,914,864 8 7

14

j Gross Interest due and - r . .. _ . Bate charged to Ordinary Nature of Security. Maturity JJatc. j per Cent. Revenue Account for Year ended 31st March, 1940. £ s. d. Brought forward .... .. •• 9,333,981 9 1 Stock .. .. .. • • 15th October, 1959 .. • • 3 51,395 10 9 Stock . . .. .. •• 15th November, 1959 .. .. 3 127,366 1 0 Stock .. .. .. • 15th October, 1960 .. 3£ 139,618 10 0 Stock .. .. .. 1st February, 1963 .. 4 435,385 2 2 Stock .. .. .. .. 1st November, 1971 .. 5 250,000 0 0 Treasury Notes .. .. .. Various .. .. 4| 4,913 19 8 Floating Debt—i.e., Treasury Bills .. .. •• 571,261 6 7 Temporary Transfers; Public Revenues Act, 1926, section 40 .... .. -- 942 IJ 4 Gross interest charged to Ordinary Revenue Account for year ended 31st March, X940 .. .. 10,914,864 8 7 Less amounts recovered .. .. .. .. •• 2,932,359 3 11 Not amount of interest charged to Ordinary Revenue Account for year ended 31st March, 1940 .. .. .. •• •• •• •• £7,982,505 4 8

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-194 0.

STATEMENT of the DISBURSEMENTS of the CONSOLIDATED FUND (Ordinary Revenue Account) under SPECIAL ACTS of the LEGISLATURE and of RECOVERIES in respect of such DISBURSEMENTS for the FINANCIAL YEAR ended 31st March, 1940. Debt Services.

15

Gross Amount Net Amount i « charged to Recoveries charged to Ordinary Revenue recoveries. Ordinary Revenue Account. Account. £ a. d. £ s. d. £ s. d. Interest (details as shown in foregoing statement) .. 10,914,864 8 7 2,932,359 3 11 7,982,505 4 8 AMORTIZATION OF DEBT. Sinking Fund. Finance Act, 1928, Section 13 :— Westport Harbour Act, 1920, — Westport Harbour Board Act, 1884— Sinking Fund in respect of loans raised by Westport Harbour Board — Annual payment in terms of section 13 (4) (a) .. 7,000 0 0 .. 7,000 0 0 Amount paid in terms of seotion 13 (4) (d), being 4£ per cent, in respect of £85,750 paid by the Public Trustee to 31st March, 1939, for redemption of loans .. .. .. .. 3,858 15 0 .. 3,858 15 0 Total, Sinking Fund .. .. 10,858 15 0 .. 10,858 15 0 Repayment of the Public Debt Act, 1925. Repayment oe the Public Debt Act, 1925 Section 11 (a), — Amount transferred to the Public Debt Repayment Account, being contribution for the year 1939-40 of J per cent, on the public debt within the meaning of the Act outstanding at 31st March, 1939 (£ per cent. on £230,650,302 10s. 8d.) .. .. .. 1,153,25110 3 .. 1,153,25110 3 Amount transferred to the Public Debt Repayment Account, being contribution of \ per cent, on £18,433,865 16s. 5d., debt redeemed under the Act to 31st March, 1939 .. .. „. .. 92,169 6 6 .. 92,169 6 6 Section 11 (b), — Amount transferred to the Public Debt Repayment Account, being contribution of 3J per cent, on £18,433,865 16s. 5d., debt redeemed under the Act to31st March, 1939 .. .. .. .. 645,185 6 0 .. 645,185 6 0 Amount transferred to the Public Debt Repayment Account, being contribution of Si per cent, on £1,878,217 9s. 6d., debt redeemed under the Act during the year 1939-40, computed from the dates of redemption to 31st March, 1940 .. .. 1,771 7 9 .. 1 771 7 9 Total, Repayment of the Public Debt 1,892,377 10 6 .. 1 892 377 10 6 Act, 1925 Transfer to Loans Redemption Account. Public Revenues Act, 1926, Section 135 (4): — Transfer from Ordinary Revenue Account for redemption of loans— Public Works Fund: General Purposes Account .. 252,331 7 7 .. 252,331 7 7 ADMINISTRATION AND MANAGEMENT. New Zealand Loans Act, 1932, Section 62 (3): — Stamp duty on transfers of New Zealand Consolidated Stock 5,540 4 5 Less amounts recovered from— £ s. d. Electric Supply Account .. 69 8 9 Land for Settlements Account .. 268 12 7 .. 338 1 4 5,202 3 1 New Zealand Loans Act, 1932, Section 61 :— Charges and expenses of raising loans — New Zealand Debt Conversion Act, 1932-33, Section 19 (3)Costs, charges, and expenses of conversions— Premiums paid in cash .. .. .. 125 .. 125 Charges and expenses of raising loans— Fresh issues— Public Works Fund—General Purposes Account .. 13,893 13 8 .. 13,893 13 8 Issues in renewal and conversion—■ Ordinary Revenue Account .. .. .. 2,638 8 10 138 8 10 2,500 0 0 Public Works Fund —General Purposes Account .. 167,508 10 11 .. 167,508 10 11 Bank of New Zealand Shares Account .. .. 8,283 12 .. 828312 Finance Act, 1932, Section 55 — Exchange on remittance beyond Now Zealand — Ordinary Revenue Account .. .. .. 33 18 5 .. 33 18 5 Public Works Fund —General Purposes Account 81,162 19 5 .. 81,162 19 5 Bank of New Zealand Shares Account .. 2,029 7 0 .. 2,029 7 0 275,551 1 10 138 8 10 275,412 13 0 Carried forward .. .. .. 281,091 6 3 476 10 2 280,614 16 1 Carried forward .. .. .. 13,070,432 1 8 2,932,359 3 11 10,138,072 17 9

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-1 940.

DISBURSEMENTS and RECOVERIES under SPECIAL ACTS of the LEGISLATURE —continued. Debt Services—continued.

16

Gross Amount j Net Amount charged to B charged to i Ordinary Revenue i Ordinary Revenue Account. j Account. £ s. d. £ s. d. £ s. d. Brought forward .. .. .. 13,070,432 1 8 2,932,359 3 11 10,138,072 17 9 Brought forward .. .. 281,091 6 3 476 10 2 280,614 16 1 ADMINISTRATION AND MANAGEMENT —continued. j M ew Zealand Loans Act, 1932 :— Section 24 (1), — Amount paid Bank of England for half years ended 30th April, 1939, and 31st October, 1939, for management of New Zealand loans — Consolidated Stock .. .. .. •• 39,330 13 6 Amount paid to the Reserve Bank of New Zealand for year ended 31st Maroh, 1940, for management of New Zealand Government loans .. .. 14,392 1 9 Less amounts recovered from— £ s. d. Nauru and Ocean Islands Account 28 11 9 Electric Supply Account .. 1,914 5 4 Land for Settlements Account .. 1,296 17 6 Main Highways Account .. 744 2 4 State Coal-mines Account .. 19 8 10 State Forests Account .. .. 266 3 6 .. 4,269 9 3 49,453 6 0 Total, Administration and Management 334,814 1 6 4,745 19 5 330,068 2 1 . PAYMENTS ON GUARANTEED LOANS. Land Settlement Finance Act, 1909 Section 13 (1), — Interest and principal in arrear made good under Government guarantee Less Repayment by Associations under subsection (.5) — Bruce Land Settlement Association .. .. 852 17 9 Lake Alice Land Settlement Association 79 11 0 Moorfield Land Settlement Association .. .. 2,156 5 1 Otauiri Land Settlement Association .. . . 75 4 4 3,163 18 2 Or. 3,163 18 2 Local Bodies' Loans Amendment Act, 1908: — Section 10, — Subsidies on instalments of sinking fund— Cambridge Borough Council, due 30th April, 1939 .. 25 0 0 Christchurch City Council, due 31st March, 1939 .. ' » J Christchurch City Council, due 31st March, 1940 .. 71 5 0 Grey Lynn Borough Council, due 1st April, 1939 . 225 0 0 Levin Borough Council, due 1st April, 1939 .. 135 0 0 Port Chalmers Borough Council, due 31st March, 1940 17 10 0 Taihape Borough Council, due 1st April, 1939 .. 106 5 0 651 5 0 .. 651 5 0 Total, Payments on Guaranteed Loans 651 5 0 3,163 18 2 Cr. 2,512 13 2 ——————— - 13)405897 g 2 2,940,269 1 6 10,465,628 6 8

B.—l [Pt. ll].

PUBLIC ACCOUNTS, 1939-1940.

STATEMENT of the DISBURSEMENTS of the CONSOLIDATED FUND (Ordinary Revenue Account) under SPECIAL ACTS of the LEGISLATURE and RECOVERIES in respect of such DISBURSEMENTS for the FINANCIAL YEAR ended 31st March, 1940. Other Services.

3—B. 1 [PT. IT].

17

Gross Amount Net Amount Act charged to Pomvnrlc* charged to Ordinary Revenue Recoveries. Ordinary Revenue Account. Account, £ s. d. £ s. d. £ a. d. GRANTS AND SUBSIDIES. Payment to Racing Clubs of Proportion of Totalizator Duty. Finance Act (No. 2), 1935, Section 17:— Refunds to racing clubs of proportion of totalizator duty .. .. .. .. .. .. 46,737 18 0 .. 46,737 18 0 Subsidies to Superannuation Funds. Finance Act, 1939 :— (No. 2), Section 4, — Government Railways Superannuation Fund .. 71,000 0 0 Public Service Superannuation Fund .. .. 27,000 0 0 Teachers'Superannuation Fund .. .. .. 102,000 0 0 200,000 0 0 .. 200,000 0 0 Miscellaneous Grants and Subsidies. Land Act, 1924 :— Sections 139 and 358, — Amount paid by Receivers of Land Revenue into Local Bodies' Deposit Accounts for payment to local authorities in respect of rents, royalties, &c. (" thirds," " fourths," and " halves ") — Territorial revenue .. .. •• •• 4,963 15 0 .. 4,963 15 0 Waihou and Ohinemuri Rivers Improvement Act, 1910, Section 17 (4) (d), and Appropriation Act, 1916, Section 27 :— Contributions towards interest and cost of administration and maintenance of Waihou and Ohinemuri Rivers Improvement Works, — On account of year 1938-39 .. .. .. 1,329 3 0 .. 1,329 3 0 Total Grants and Subsidies .. 253,030 16 0 .. 253,030 16 0 SALARIES AND HONORARIA. Legislative. Civn. List Act, 1920 :— Part III, Section 16, — Speakers of both Houses and Chair- £ s. d. men of Committees .. .. 2,615 9 1 Part III, Section 17, — Members of the Legislative Council.. 10,694 15 3 Members of the House of Representatives .. .. •• 29,855 16 11 Part IV, Section 22, — Officers of Legislative Council and House of Representatives .. 2,200 0 0 45,366 1 3 45,366 13 .. 45,366 1 3 Carried forward .. • ■ •. 45,366 1 3 j . 45,366 1 3 Carried forward .. .. .. 253,030 16 oj .. 253,030 16 0 J _ _ ___]

B.—l [PT. ll].

PUBLIC ACCOUNTS, 193 9-194 0.

DISBURSEMENTS and RECOVERIES under SPECIAL ACTS of the LEGISLATURE—continued. Other Services —continued.

18

Gross Amount Net Amount Act „ charged to Rpcnverips charged to ct * Ordinary Revenue ' Ordinary Revenue Account. Account. £ s. d. £ s. d. £ s. d. Brought forward .. .. .. 253,030 16 0 .. 253,030 16 0 SALARIES AND HONORARIA —continued. Brought forward .. .. .. 45,366 1 3 .. 45,366 1 3 Justice. Judicature Amendment Act, 1920:— Section 3, — The Judges— The Chief Justice— Myers, Sir M., P.O., G.C.M.G., K.B., salary, 1 April, '1939, to 31 March, 1940 .. .. .. 2,250 0 0 The Puisne Judges— Ostler, H. H., salary, 1 April, 1939, to 31 March, 1940 2,000 0 0 Reed, Sir J. R., C.B.E., salary, 1 April, 1939, to 30 September, 1939 .. .. .. 1,000 0 0 Smith, 1). S., salary, 1 April, 1939, to 31 March, 1940 2,000 0 0 Blair, A. W., salary, 1 April, 1939, to 31 March, 1940 2,000 0 0 Kennedy, R., salary, 1 March, 1939, to 31 March, 1940 2,177 15 8 Fair, A., salary, 1 April, 1939, to 31 March, 1940.. 2,000 0 0 Callan, J. B., salary 1 April, 1939, to 31 March, 1940 2,000 0 0 Northcroft, H. E., salary, 1 April, 1939, to 31 March, 1940 .. .. .. •• 2,000 0 0 Johnston, H. F., salary, 1st August, 1939, to 31st March, 1940 .. .. .. .. 1,333 6 8 Mobtoaqobs and Lessees Rehabilitation Act, 1936 Section 12 (3), — Judge of the Court of ReviewJohnston, H. F., salary, 1 April, 1939, to 31 July, 1939 .. .. .. .. .. 666 13 4 19,427 15 8 .. 19,427 15 8 Other Salaries. Inoustbial Conciliation and Abbitbation Act, 1925 :— Section 64, — Judge of the Arbitration Court— O'Regan, P. J., salary, 1 April, 1939, to 8 March, 1940 .. ' .. .. .. .. 1,876 6 11 Tyndall, A., salary, 9th to 31st March, 1940 .. 123 13 1 Industrial Conciliation and Abbitbation Amendment Act (No. 2), 1937, Section 2, and Industeiai, Conciliation and Abbitbation Amendment Act (No. 3), 1937, Section 2:— Judge of the Arbitration Court—■ Hunter, W. J., salary, 1 April, 1939, to 31 March, 1940 .. .. .. .. .. 2,000 0 0 Public Revenues Act, 1926 : — Section 6, —■ Salary, Controller and Auditor-General (Fowler, J. H.), 1 April, 1939, to 31 August, 1939 .. .. 541 13 4 Salary, Controller and Auditor-General (Collins, C G.), 1 September, 1939, to 31 March, 1940 .. .. 758 6 8 Public Service Act, 1912, Section 8, and Appropriation J Act, 1925, Section 20 (1) (a):— Public Service Commissioner — Mark, T., salary, 1 April, 1939, to 31 March, 1940 1,500 0 0 6,800 0 0 6,800 0 0 Total, Salaeies and Honoeabia .. 71,593 16 11 .. 71,593 16 11 Carried forward .. .. .. 324,624 12 11 .. 324,624 12 11

B.—l [PT. ll].

PUBLIC ACCOUNTS, 19 3 9-1 940.

DISBURSEMENTS and RECOVERIES under SPECIAL ACTS of the LEGISLATURE—continued. Other Services —continued.

19

Gross Amount Net Amount Act charged to charged to ™" Ordinary Revenue recoveries. Ordinary Eevenue Account. Account. £ s. d. £ s. d. £ s. d. Brought forward .. .. .. 324,624 12 11 .. 324,624 12 11 HIGHWAYS. Tire-tax, Fees, and Fines transferred to Main Highways Account. Finance Aot, 1927 (No. 2): — Section 24 (1), — Transfer to Main Highways Account as under— £ s. d. Tire-tax .. .. .. 102,706 5 7 Motor-vehicles fees, fines, &c. .. 619,676 2 0 722,382 7 7 .. 722,382 7 7 Tax on Motor-spirits transferred to Main Highways Account. Motor-spirits Taxation Aot, 1927, Section 9 (1) (a): — Allocation of residue after deduction of expenses,*— 92 per cent, of residue for period 1 April, 1939, to 31 March, 1940 .. .. .. .. 2,057,000 17 7 .. 2,057,000 17 7 Tax on Motor-spirits paid to Boroughs. Motor-spieits Taxation Act, 1927 Section 9 (1) (6), — Allocation of residue after deduction of expenses,*— Residue paid to Borough Councils— 8 per cent, for period 1 January, 1939, to 31 December, 1939 .. .. .. .. 181,367 19 6 .. 181,367 19 6 Motor-vehicles : Mileage-tax and Penalties. Mileage-tax and Penalties transferred to Main Highways Account. Motob-spikits Taxation Act, 1927, Section 9(1) (a), and Motor-vehicles Amendment Aot, 1934-35:— Soction 4 (6) (a), Electrically-propelled £ s. d. motor-vehicles .. .. .. 84 4 7 Section 4 (6) (b), Other motor-vehicles 10,630 18 1 10,715 2 8 Mileage-tax and Penalties paid to Boroughs. Motor-spirits Taxation Act, 1927, Section 9 (1) (6), and Motor-vehicles Amendment Act, 1934-35: — Section 4 (6) (a), Electrically-propelled £ s. d. motor-vehicles .. .. .. 6 14 3 Section 4 (6) (6), Other motor-vehicles 795 4 9 801 19 0 11,517 1 8 11,517 1 8 Expenses of collecting and making Refunds. Finance Act, 1927 (No. 2): — Section 24 (3), — Transfer to the credit of Vote, Customs, in respect of the expenses incidental to the collection of tire-tax .. 1,141 10 3 Motor-spirits Taxation Act, 1927 :— Section 7,— Expenses of collecting tax on motorspirits paid to the credit of Vote, Customs, for the period 1 January, £ s. d. 1939, to 31 December, 1939 .. 22,529 14 8 Expenses of refunding tax on motorspirits paid to the Post Office for the period 1 January, 1939, to 31 December, 1939 .. .. 3,870 0 0 26,399 14 8 27,541 4 11 .. 27,541 4 11 TOTAL, Highways .. .. .. 2,999,809 11 3 .. 2,999,809 11 3 Carried forward .. .. .. 3,324,434 4 2 .. 3,324,434 4 2 * No deduction has been made in respect of any expenses incidental to the allocation of the residue.

B.—l [Pt. ll].

PUBLIC ACCOUNTS, 1939-1940.

DISBURSEMENTS and RECOVERIES under SPECIAL ACTS of the LEGISLATURE—continued. Other Services —continued.

20

Gross Amount Net Amount Act. „ J, 011 " 1 ' 8 ?? 40 Recoveries charged to | Ordinary Revenue e ! Ordinary Revenue Account. i Account. £ s. d. £ s. d. £ s. d. Brought forward .. .. .. 3,324,434 4 2 .. 3,324,434 4 2 EXCHANGE. Finance Act, 1932 :— Section 55, — Exchange on remittances of public moneys to or from any country beyond New Zealand .. .. 2,430,513 10 2 731,797 2 8 1,704,710 7 0 TOTAL, Exchange .. .. .. 2,430,513 10 2 731,797 2 8 1,704,710 7 0 ADVANCES. On Account of other Governments. Finance Act, 1930 (No. 2): — Section 7,— Advances made on behalf of other Governments— Canada .. .. .. .. .. 40 0 0 70 9 10 Cr. 30 9 10 1 Commonwealth .. .. .. .. 24,974 1 0 25,550 16 3 Cr. 570 15 3 ; Federated Malay States.. .. .. .. 44 0 0 10 6 3 13 0 i Fiji .. .. .. .. .. .. 199 5 4 156 11 9 42 13 7 Imperial Government .. .. .. .. 51,607 8 3 47,895 11 8 3,711 16 7 Indian Government .. .. .. .. 220 .. 22 0 Kenya .. .. .. .. .. 126 14 8 213 4 3 Cr. 86 9 7 Palestine .. .. .. .. .. .. 228 6 0 Cr. 228 6 0 Sarawak .. .. .. .. .. 146 12 1 71 15 10 74 16 3 Tanganyika Territory . . . . .. .. 234 19 9 .. 234 19 9 Union of South Africa .. .. .. .. .. 3 3 0 Cr. 3 3 0 Total, Advances .. .. .. 77,341 7 1 74,190 9 7 3,144 17 6 DEFENCE. War Expenses Act, 1939, Section 2 (4) (d): —■ Transfer to War Expenses Account of unexpended balances of the moneys appropriated under vote — Navy .. .. .. .. .. 750,830 19 4 Army .. .. .. .. .. .. 1,052,498 12 10 Air .. .. .. .. .. 484,496 0 10 TOTAL, DEFENCE .. .. .. 2,287,825 13 0 .. 2,287,825 13 0 OTHER SPECIAL ACTS. Pensions. Judicature Act, 1908 :— Sections 12-14, — Superannuation allowancesStringer, Sir T. W., 1 April, 1939, to 31 March, 1940 750 0 0 Herdman, Sir A. L., 1 April, 1939, to 31 March, 1940 1,083 6 8 Reed, Sir John, 1 October, 1939, to 31 March, 1940 . . 458 6 6 TOTAL, Pensions .. .. .. 2,291 13 2 .. 2,291 13 2 Carried forward .. .. .. 2,291 13 2 .. 2,291 13 2 Carried forward .. .. ,. 8,126,114 14 5 805,993 12 3 7,320,121 2 2

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-194 0.

DISBURSEMENTS and RECOVERIES under SPECIAL ACTS of the LEGISLATURE—continued. Other Services —continued.

21

Gross Amount i Net Amount. Act - r. ,, char i?e<l to Recoveries ! charged to Ordinary Revenue recoveries. Ordinary Revenue Account. | Account. T, , , f 8. d. £ a. d. £ s. d. brought forward .. .. .. 8,126,114 14 5 805,993 12 3 7,320,121 2 2 OTHER SPECIAL ACTS—continued. Brought forward .. .. .. 2,291 13 2 .. 2,291 13 2 Miscellaneous. Appropriation Act, 1926 :— Section 15, — Travelling-expenses of His Excellency the GovernorGeneral and staff in excess of amount provided under the Civil List Act, 1920 .. .. .. 4,894 18 9 3 17 9 4,891 1 0 Finance Act (No. 3), 1934 Section 8, — Interest on income-tax paid in advance .. .. 11,132 5 3 11,132 5 3 Native Purposes Act, 1931 :— Section 51, — Sixteenth annual payment to Arawa District Trust Board for the benefit of the Arawa Tribe.. .. 6,000 0 0 .. 6,000 0 0 Section 54, — Ihirteenth annual payment to Tuwharetoa Trust Board for benefit of Tuwharetoa Tribe in connection with Lake Taupo claims .. .. .. .. 3,000 0 0 .. 3,000 0 0 Public Revenues Act, 192G Section 151, — issue of official postage-stamps to members of the House of Representatives and to members of the Legislative Council .. .. .. .. 2,506 0 0 .. 2,506 0 0 Total, Miscellaneous .. .. 27,533 4 0 3 17 9 27,529 6 3 Total, Other Special Acts .. .. 29,824 17 2 3 17 9 29,820 19 5 Total, Other Services .. ..8,155,939 11 7 805,997 10 0 7,349,942 1 7

B.—l [PT. ll].

PUBLIC ACCOUNTS, 193 9-1 940.

STATEMENT of the DISBURSEMENTS of the CONSOLIDATED FUND (Ordinary Revenue Account) under the RURAL INTERMEDIATE CREDIT ACT, 1927, Section 16. Advances to the Rural Intermediate Credit Board.

STATEMENT of BALANCES OUTSTANDING on 31st March, 1940, in respect of PAYMENTS MADE from the CONSOLIDATED FUND on behalf of OTHER GOVERNMENTS. Balance outstanding at Name of Government. 31st March, 1940. f s. d. Canada .. .. .. • • •• • • •■ ■ • 46 0 0 Commonwealth of Australia .. .. •• •• •• 14,567 19 3 Federated Malay States .. .. •. • • • • • • 4 4 0 Fiji 49 2 5 Imperial Government —General Advances .. .. .. .. 37,504 9 9 India .. .. •• •• •• 220 Kenya .. .. .. • • •• •• •• •• 24 11 Sarawak .. ■ • ■ • ■ • ■ • • ■ • ■ • • 74 1 b •> . Tanganyika.. •. • • • • ■ • • • • • • • ■' Total £52,508 0 4 Note.—Details of transactions are shown on page 20.

STATEMENT of IMPRESTS of the CONSOLIDATED FUND (Ordinary Revenue Account) OUTSTANDING as at the 31st March, 1940, showing the SERVICES for which they were issued. Consolidated Fund Ordinary Revenue Account, — VoteS - A9U r 1 Customs .. .. .. •• •• •• •• •• -*29 5 1 External Affairs .. .. .. •• •• •• •• •• '9; Justice and Prisons .. .. .. •• •• •• bO lb 11 Police .. .. •• •• •• •• •• •• •• •• ioo jo a Lands and Survey.. .. .. •• •• •• •• •• •• 7™, „ I, Industries and Commerce, Tourist and Publicity .. .. •. • • • • 4y» » 0 Transport .. . • • • • • • • • • ■ • • • • • 52 Education •• •• •• •• •• •• •• •• •• * 12 J; War and other Pensions .. .. .. .. .. •• •• •• 4 .) R. M. Sunley's Deposit Account .. .. •• •• •• •• •• M 45 13 0 General Imprest 207 715 2 6 General Services .. .. .. •• •• •• •• •• •• -*)7,710 2 Total

22

One-third of Two-thirds of Advance to be Date from which Advance (in Cash) credited to the Rural Total Advance Date of Advance Term. D Interest becomes for the Purpose of Intermediate Credit in Terms of Repayment is due. payable. carrying on Business Redemption Fund Section 16. under the Act. in Terms of Section 17 (1). ' Years""" ~ s * £ s. d. £ s. d. June 30,1928.. 20 ' June 29,1948.. June 30, 1938 3,400 0 0 1,700 0 0* 5,100 0 0 June 30,1928.. 20 June 29,1948.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Julv 31,1928.. 20 July 30,1948.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Auk 15,1928.. 20 Aug. 14,1948 5,000 0 0 2,500 0 0* 7,500 0 0 Aug. 21,1928.. 20 Aug. 20,1948.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 Sept. 13 1928.. 20 Sept. 12,1948. . „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 Oct. 3,1928.. 20 Oct. 2,1948.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 i Oct. 8 1928.. 20 Oct. 7,1948 10,000 0 0 5,000 0 0* 15,000 0 0 Oct. 19,1928.. 20 Oct. 18,1948.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Nov 8 1928.. 20 Nov. 7,1948.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 Dec. 21,1928.. 20 Dec. 20,1948.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 April 10, 1929.. 20 April 9,1949.. „ „ 5,000 0 0 j 2,500 0 0* 7,500 0 0 Mav 16,1929.. 20 May 15, 1949.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 May 27 1929.. 20 May 28,1949.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 June 4 1929.. 20 June 3,1949.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 June 27, 1929.. 20 June 26, 1949.. „ „ 8,000 0 0 4,000 0 0* 12,000 0 0 June 28, 1929.. 20 June 27, 1949.. „ „ 30,000 0 0 15,000 0 0* 45,000 0 0 Aug 28,1929.. 20 Aug. 27, 1949.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Sept. 16 1929.. 20 Sept. 15, 1949.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Oct 3 1929.. 20 Oct. 2,1949.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Oct 24,1929.. 20 Oct. 23,1949.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 Nov 5 1929.. 20 Nov. 4,1949.. „ „ 10,000 0 0 5,000 0 0* 15,000 0 0 April 16, 1930.. 20 April 15, 1950.. „ „ 5,000 0 0 2,500 0 0* 7,500 0 0 May 1,1930.. 20 April30, 1950.. „ „ 20,000 0 0 10,000 0 0* 30,000 0 0 May 30 1930.. 20 May 29, 1950 20,000 0 0 10,000 0 0* 30,000 0 0 June 17 1930.. 20 June 16, 1950 20,000 0 0 10,000 0 0* 30,000 0 0 June 30, 1930.. 20 June 29, 1950.. „ „ 20,270 0 0 10,130 0 0* 30,400 0 0 Total amount advanced prior to 31st March, 1931 .. £266,670 0 0 £133,330 0 0* £400,000 0 0 » Securities issued in lieu of cash, in terms of subsection (4) of section 17. No TB .—In terras of the Rural Intermediate Credit Act, 1927, the amounts advanced and outstanding at any time shall not excoed in the aggregate the sum of £400,000. Every advance shall be free of interest for the period of ten yoars immediately succeeding the date on which the first such advance is made. After the expiration of the said period of ten years interest shall be payable half-yearly, at such rate as the Minister of Finance shall from time to time determine. _

B.—l [Pt. ITJ.

PUBLIC ACCOUNTS, 1939-1940.

SUMMARY of DEPOSITS ACCOUNT for the FINANCIAL YEAR ended 31st March, 1940.

23

Dfiimsit Accounts Balances on ! R .„„ jnt( . | Payments and Balances on deposit Accounts. lst Aprjl _ 193£h | receipts. j Transfers. 31st March, 1940. I I I £ s. d. £ s. d. £ s. d. £ s. d. j Air Force Display Fund .. .. .. .. 379 9 6 349 8 7 30 0 11 Cook Islands Fruit Account .. .. 21,799 2 3 43,221 10 0 46,480 15 11 18,539 10 4 Deposits on Contracts .. .. .. 72 10 0 5,520 0 9 5,492 18 3 99 18 6 Distribution of Wool Profits .. .. 2,414 12 2 .. .. 2,414 12 2 | Education Reserves Act, 1928— Sales of Land under section 27 — Primary Education Endowments .. 42 268 16 7 5,448 19 7 5,210 16 1 42,507 0 1 Secondary Education Endowments — Auckland Provincial District .. 858 19 9 .. 130 1 2 728 18 7 Taranaki Provincial District .. 264 14 0 .. .. 264 14 0 Hawke's Bay Provincial District .. 24 7 2 .. .. 24 7 2 Otago Provincial District .. .. 464 129 .. 118129 346 0 0 Primary Education Endowment Deposit Account .. .. .. .. 15,149 13 3 112,568 6 10 127,718 0 1 Secondary Education Endowment Deposit Account— Auckland Provincial District .. .. 1,209 19 6 3,780 2 10 3,904 19 5 1,085 2 11 Taranaki Provincial District .. .. 555 14 0 1,258 14 8 1,215 18 5 598 10 3 Wellington Provincial District .. .. 1,606 16 3 3 433 11 6 3,213 11 0 1,826 16 9 Hawke's Bay Provincial District.. .. 674 3 8 1,516 9 1 1,691 14 9 498 18 0 Nelson Provincial District .. .. 66 6 7 330 5 0 333 3 2 63 8 5 Marlborough Provincial District .. .. 32 16 9 64 11 7 63 3 2 34 5 2 Otago Provincial District .. .. 938 7 6 2,115 0 8 2,175 17 5 877 10 9 Fisheries Act, 1908 .. .. .. 006 .. 006 General Assembly Library Fund .. .. .. 35 0 0 25 0 0 10 0 0 General Purposes Relief Account .. .. 19,869 4 4 4,344 8 2 4,134 3 6 20,079 9 0 Gold Duty Suspense Account .. .. 393 2 4 387 16 9 393 2 4 387 16 9 Greymouth and Hokitika High School Acts, 1883 . . . . .. .. .. 30 0 5 245 1 9 8 5 7 266 16 7 Hides Emergency Regulations .. .. .. 34 0 9 .. 34 0 9 Honey-export Control Act, 1924 .. .. 2 4 11 309 6 10 279 12 5 31 19 4 Hospitals and Charitable Institutions Act, 1926 45 19 6 707 19 2 433 9 4 320 9 4 Hunter Soldiers' Assistance Trust Account. .. 2,550 2 8 959 3 7 895 7 7 2,613 18 8 Immigration Restriction Act, 1908 .. 4,260 0 0 3,240 0 0 3,340 0 0 4,160 0 0 Imperial Pensions .. .. .. 86,164 9 9 200,243 15 0 250,960 13 5 35,447 11 4 Interest on Cash Balance Investments Account 4,413 10 7 26,851 1 6 31,264 12 I Kauri-gum Industry Account .. .. 107 4 7 63 14 0 120 12 1 50 6 6 King George V Memorial Fund Deposit Account .. .. .. .. 181,936 4 6 5,255 18 8 16,020 14 1 171,171 9 1 Land Agents Act, 1921-22, section 7 .. 500 0 0 .. 500 0 0 Local Bodies' Account — Goldfields revenue .. .. .. 1,871 8 1 19,269 17 6 19,022 15 11 2,118 9 8 Gold duty .. .. .. .. 57 10 6 5,394 8 10 5,058 11 7 393 7 9 Fees and fines .. .. .. 12,103 0 0 13,010 0 0 16,078 0 0 9,035 0 0 Endowment of land .. .. .. 2,715 1 10 2,660 12 7 2,938 3 3 2,437 11 2 Stamp duty on interest .. .. 6 15 0 .. .. 6 15 0 Meat-export Control Act, 1921-22 .. .. 4,486 12 1 53,704 17 4 58,183 16 11 7 12 6 Mining Act, 1926 .. .. .. 173 9 8 153 4 7 121 14 7 204 19 8 Miscellaneous .. .. .. .. 19,240 19 7 1,375,306 5 I 1,356,904 2 5 37,643 2 3 Money-order Settlement Account .. .. 51,495 11 7 154,739 4 4 199,717 18 9 6,516 17 2 Navy Office Deposit Account ... .. 2,193 2 8 20,155 15 3 21,610 13 2 738 4 9 Nelson Rifle Prize Fund .. .. .. 1,106 0 0 39 9 2 11 10 0 1,133 19 2 Nelson Rifle Prize Fund Investment .. Dr. 1,000 0 0 .. .. Dr. 1,000 0 0 New Zealand Educational Institute .. 0 11 9 164 14 6 164 9 9 0 16 6 New Zealand Reparation Estates .. .. 204 11 1 122 17 0 248 18 1 78 10 0 New Zealand University Endowment — Westland .. .. .. .. 3,929 4 5 223 10 7 4 18 1 4,147 16 11 North Island Experimental Dairy School .. 11,602 I 9 616 I 10 610 1 4 11,608 2 3 Official Assignees'Balances .. .. 24,924 5 2 9,019 14 9 5,505 0 0 28,438 19 11 Orchard-tax Act, 1927 .. .. .. 1,813 1 0 1,204 11 2 2,442 13 9 574 18 5 Payments through the High Commissioner .. 170,003 6 2 963,889 4 7 1,089,772 2 7 44,120 8 2 Promotion of Health Fund .. .. 4,172 8 6 199 3 11 3,746 0 3 625 12 2 Public Service Association Account .. 83 5 11 6,620 2 0 6,633 2 1 70 5 10 Receipts by the High Commissioner for Pay- ' ment in New Zealand .. .. .. 2,235 9 7 83,602 9 0 65,420 2 4 20,417 16 3 Receiver-General's Deposit Account .. 146,000 0 0 .. .. 146,000 0 0 Remittances to Immigrants .. .. 2 5 0 2,870 17 8 2,732 10 9 140 11 11 Reserve Bank Investment Account .. 1,203,325 0 0 .. .. 1,203,325 0 0 Samoan Loan Sinking Fund Account .. 1 14 11 5,129 17 0 5,130 0 0 1 11 11 Samoan Notes Security Account .. .. 32,000 0 0 1,263 13 11 6,263 13 11 27,000 0 0 Samoan Treasury Account .. .. 50,791 4 8 37,092 12 11 46,994 18 4 40,888 19 3 Silver and Bronze Coin Account .. .. 1,010,148 3 10 48,600 0 0 10,087 1 3 1,048,661 2 7 State Advances Corporation Investment Account .. .. .. .. 890,418 9 0 .. .. 890,418 9 0 Taranaki Scholarships Endowment Account.. 389 8 6 93S 19 4 896 2 6 432 5 4 Tauranga Educational Endowment Reserves Act, 1896 .. .. .. .. .. 321 8 8 321 8 8 Tobacco Research Association Account .. .. 1,738 8 8 1,738 8 8 Trustee Act, 1908 .. .. .. 8,013 5 3 316 5 1 .. 8,329 10 4 Unclaimed Earnings .. .. .. 1,772 17 6 2,576 17 I 2,585 19 6 1,763 15 1 Unpresented Cheques .. .. .. 343 19 10 538 3 5 436 11 7 445 11 8 Victoria College Endowments Deposit Account 7 2 0 22 10 6 1 2 6 28 10 0 Wheat Research Levies .. .. .. .. 2,389 9 9 2,372 8 1 17 1 8 Wool Industry Promotion Act, 1936 .. 4,711 2 3 20,727 12 1 21,561 5 0 3,877 9 4 Wool Manufacturers'Research Account .. .. 1,354 5 5 989 0 8 365 4 9 TOTALS .. .. .. 4,050,016 5 4 3,258,291 19 8 3,462,279 19 4 3,846,028 5 8

B.—l [FT. ll].

STATEMENT of RECEIPTS and DISBURSEMENTS under the Trustee Act, 1908, to 31st March, 1940, with Particulars of the BALANCE at CREDIT in the DEPOSIT ACCOUNT on that Date. (Published in Terms of Section 72 of the Trustee Act, 1908.)

PUBLIC ACCOUNTS, 1939-1940.

24

Il RECEIPTS. IS DISBURSEMENTS. £ s. d. £ s. d. j £ s. d. £ s. d. 1939. Balance on 1st April, 1939 .. .. .. .. 8,013 5 3 1940. Balances on 31st March, 1940 — May 16 Estate of Joseph Newzil .. .. .. .. .. 293 3 7! March 31 Estate of Susan Smallwood .. .. .. 93 10 0 1940. „ J. Matheson and H. Gracie .. .. 414 3 3 January 23 „ Margaret Pilling .. .. .. .. 23 1 6 I „ Mary McKay .. .. . . 43 3 10 „ William Tattley .. .. .. 45 1 5 „ Barthia Wilkie .. .. .. 287 11 1 Robert Miller .. .. .. 22 4 7 „ Paora Parau and W. R. Miller .. .. 23 0 0 „ Francis Humphreys Heighway .. .. 46 12 5 „ George Moore .. .. .. 2,414 0 0 „ Richard Galway .. .. .. 836 13 9 „ John Burk .. .. .. .. 74 7 10 ! „ Geoffrey Arthur Harney .. .. 44 15 3 „ John Hewitt .. .. .. 162 12 0 „ Mark Earl .. .. .. .. 150 0 0 „ Edward Thurlow Field .. .. 24 8 1 ,, Michael McKey .. .. .. 1,124 12 8 ,, Martha Robinson .. .. .. 38 17 11 „ John Bealy .. .. .. .. 49 17 1 „ Ernest Groome Gresham .. .. 23 1 8 „ Bartholomew Hannan.. .. . . 185 2 10 „ Patrick O'Rourke .. .. .. 191 3 1 „ William Patrick Molloy .. .. 103 3 0 William A. Chandler .. .. .. 1 19 1 ,, George Brown .. .. .. 46 10 8 „ George Baker .. .. .. 737 11 2 „ Duncan McLean .. .. .. 168 0 11 „ John Stephen Barrett .. .. 20 18 5 ,, Eliza Birrell .. .. .. .. 18 2 10 Joseph Newzil .. .. .. 293 3 7 „ Margaret Pilling .. .. .. 23 1 6 Moanatairi Extended Gold-mining Co. . . .. 16 7 8 Direct Supply Co., Ltd., Auckland (in liquidation) 33 5 10 Wellington-Manawatu Railway Co., Ltd. .. 95 9 8 Inglewood Oil-boring and Prospecting Co., Ltd. .. 21 5 0 Southland Woollen Mills, Ltd. (in liquidation) .. 38 2 4 William Baker Fisher Bush Nursing Fund Trust .. 417 9 11 8,329 10 4 Total .. .. .. .. £8,329 10 4 Total .. .. .. .. £8,329 10 4

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-1940.

PUBLIC WORKS FUND.—GENERAL PURPOSES ACCOUNT. STATEMENT of RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March, 1940.

PUBLIC WORKS FUND.—GENERAL PURPOSES ACCOUNT. STATEMENT of IMPRESTS of the PUBLIC WORKS FUND (GENERAL PURPOSES ACCOUNT) OUTSTANDING as at the 31st March, 1940, showing the SERVICES for which they were issued.

4—B. 1 [PT. ll.]

25

£ s. d. £ s. d. £ s. d. Abmy Department : — Sale of land and buildings .. .. .. .. .. 39 10 1 Education Department:— Refund of— Amounts overclaimed on school buildings .. .. 1,053 6 8 Cost of foundation stone .. .. .. .. 8 5 6 1,061 12 2 Department of Labour : — Recovery of immigration passage-money .. .. • • 88 4 2 Department of Lands and Survey :— Recovery of Native Land Settlement expenditure— Survey liens .. .. .. •• •• 9,352 8 6 Repayment of— Advances in respect of village-homestead settlement lands 26 5 0 Part of capital cost of drainage works, Waihi swamp.. 4 5 2 Principal, well-boring, Hauraki Plains Settlement Account 0 18 2 Sale of — Land and buildings .. •. • • • • 139 12 9 Surplus and obsolete stores .. .. .. 9 7 6 9,532 17 1 Native Department :—• Recovery of Christmas bonus payments .. .. 2 0 0 Repayment of advances —■ To Maori Land Boards, under section 340, Native Land Act, 1931 .. . • • • • • • • 107 10 9 To Native Trustee, under section 521, Native Land Aot, 1931 .. .. •• • • •• •• 5,034 4 2 Under section 48, Native Land Amendment Aot, 1936 66 9 5 Sale of— Land .. .. . • •• • • • • 10 15 8 Surplus and obsolete stores .. .. .. 27 19 3 5,248 19 3 Public Works Department : — Instalments on loans to — Eastbourne Borough Council .. •. •. 147 17 10 Inter-Wanganui River Trust .. .. .. 350 0 0 Judea Drainage Board .. .. .. • • 222 0 0 Taupiri Drainage Board .. .. .. •. 100 14 0 Lower Clutha River Trust.. .. .. .. 50 19 5 Irrigation and water-supply receipts .. .. .. 1 18 0 Recovery from Government Fire Insurance Fund cost of Social Security building destroyed by fire .. .. 42,559 7 4 Royalty on kauri timber supplied to Railways Department 3,829 19 4 Sale of — Land and buildings .. .. • • • • 12,090 16 10 Surplus and obsolete stores .. .. • • 20 17 4 F 59,374 10 1 £75,345 12 10

Pobltc Works Fund :— General Purposes Account — s - "• Vote —-Telegraph Extension .. .. .. •• •• •• •• 26,504 8 4 —Settlement of Unemployed Workers .. .■ . • • • •• 3,844 15 2 —Native Land Settlement .. .. .. •• •• •• 955 13 8 R. M. Sunley's Deposit Account .. .. .. •• •• •• •• 201,000 0 0 General Services .. •• •• •• •• •• •• 14,622 0 0 j £246,926 17 2 '

B.—l [J?T. ll].

PUBLIC ACCOUNTS, 1939-194 0.

PUBLIC WORKS FUND.—ELECTRIC SUPPLY ACCOUNT. STATEMENT of DISBURSEMENTS for the YEAR ended 31st March, 1940.

EMPLOYMENT PROMOTION FUND. STATEMENT of DISBURSEMENTS for the YEAR ended 31st March, 1940.

26

Gross. Credits. Net. £ s. d. £ s. d. £ s. d. Vote :— Development of Water-power .. .. .. 1,485,511 6 3 59,793 0 4 1,425,718 5 11 Public Revenues Act, 1926, section 40 — Temporary transfers from other accounts repaid .. 210,000 0 0 .. 210,000 0 0 Interest and other Charges on Loans and Capital Liability :— State Supply of Electrical Energy Act, 1917, section 12— Transfer to Electric Supply Sinking Fund Account — North Island scheme .. .. .. .. 530,169 13 9 .. 530,169 13 9 South Island scheme .. .. .. .. 54,961 0 11 .. 54,961 0 11 Public Revenues Act, 1926, section 40— Interest on temporary transfers from other accounts .. 5,764 1511 .. 5,764 1511 Interest on temporary advance made to Southland Electricpower Board .. .. .. .. . • 528 0 0 .. 528 0 0 Finance Act (No. 2), 1932, section 5 (2)— Transfer to Consolidated Fund in respect of interest payable on capital liability .. .. .. 544,389 17 8 .. 544,389 17 8 New Zealand Loans Act, 1932, seotion 62 (4) — Recoupment of stamp duty on transfers of New Zealand Consolidated Stock .. .. .. .. 69 8 9 .. 69 8 9 New Zealand Loans Act, 1932, section 24 (2) — Recoupment to Consolidated Fund of management charges on New Zealand Government securities .. 1,914 5 4 .. 1,914 5 4 1,137,797 2 4 .. 1,137,797 2 4 £2,833,308 8 7 £59,793 0 4 £2,773,515 8 3

Gross. Credits. Net. £ s. d. £ s. d. £ s. d. Employment Promotion Act, 1936, Section 34 :— Grants and payments— Grants under section 36— Promotion of employment, &c. .. 186,094 5 11 .. 186,094 5 11 Payments under section 35— Assistance to. Industries, &c. .. .. 5,864 12 10 .. 5,864 12 10 Payments uflder section 38—• Purchase of food and clothing .. .. 390 17 5 .. 390 17 5 192,349 16 2 .. 192,349 16 2 L,08,ns — Loans under section 35— Industries .. .. .. .. •• 14 2 .. 8,584 14 2 AllowancesAllowances under section 38— Bonuses to workers, &c. .. .. .. 6,609 10 3 .. 6,609 10 3 £207,544 0 7 .. £207,544 0 7

B.—l TPT. ll].

PUBLIC ACCOUNTS, 1 939-1 940. LAND FOR SETTLEMENTS ACCOUNT.

STATEMENT of RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March, 1940.

STATEMENT of the RECEIPTS of LAND FOR SETTLEMENTS ACCOUNT for the YEAR ended 31st March, 1940.

27

£ s. d. Recovery of interest overpaid on lodgments made under section 208, Land Act, 1924 20 14 4 Sale of surplus and obsolete stores .. .. .. .. .. 700 £27 14 4

Sales and Capital Receipts :— £ s. d. £ s. d. Sales of Land, — Estates.. .. .. .. .. .. .. .. 56,235 5 0 Hutt Valley Lands Settlement Act, 1925, Section 11 (1) .. .. 40,462 15 4 Land Laws Amendment Act, 1929, Section 8 (1) —Receipts from land developed under Section 6 of the Act .. .. .. .. 2,007 0 5 Land Act, 1924, Section 208 —Capital value of land .. .. .. 4,459 11 6 Land Act, 1924, Section 20 —Crown lands .. .. .. .. 108,282 2 9 Repayment of Advances, — Deteriorated Lands Act, 1925, Section 12 (5) .. .. .. 349 7 11 Land Laws Amendment Act, 1929 — Section 8 (1) — Receipts in respect of advances under Section 7 of the Act .. 16,069 4 6 Section 16 — Receipts in respect of advances under Section 14 of the Act .. 4,279 14 5 Land for Settlements Act, 1925, Section 47 —Finance Act, 1932 (No. 2), Section 14 .. .. .. .. .. .. 63 9 8 232,208 11 6 Rents and Interest Rents, dkc., —- Receipts derived from estates — Rents .. .. .. .. .. .. .. 356,777 14 4 Interest on sales .. .. .. .. .. .. 21,910 4 6 Hutt Valley Lands Settlement Act, 1925, Section 11 (1) — Rents .. .. .. .. .. .. .. 146 0 0 Interest on sales .. .. .. .. .. .. 4,669 2 8 Land Laws Amendment Act, 1929— Section 8 (1) — Receipts from lands developed under Section 6 of the Act— Rents .. .. .. .. .. .. .. 5,279 16 4 Interest on sales .. .. .. .. .. .. 849 14 4 Interest on Advances, — Deteriorated Lands Act, 1925, Section 12 (5) .. .. .. 227 6 3 Land Laws Amendment Act, 1929 — Section 8 (1) — Receipts in respect of advances under Section 7 of the Act .. 8,497 14 9 Section 16 — Receipts in respect of advances under Section 14 of the Act .. 1,673 2 6 Land for Settlements Act, 1925, Section 47 —- Finance Act, 1932 (No. 2), Section 14 .. .. .. .. 165 14 7 400,196 10 3 I Sales op Produce, Live-stock, and Miscellaneous Receipts :— . Estates, —• Miscellaneous .. .. .. .. .. .. .. 1,066 19 11 Land Laws Amendment Act, 1929, — Section 6 — Seasonal farming receipts .. .. .. .. .. 22,629 14 2 Miscellaneous receipts .. .. .. .. .. .. 347 11 4 Section 13— Seasonal farming receipts .. .. .. .. .. 47,743 18 9 Miscellaneous receipts .. .. .. .. .. .. 26,067 10 9 — 97,855 14 11 Finance Act, 1932, Section 11 (2) (a): — Receipts from Hutt Valley Settlement Lands applied towards purchasemoney expended for the acquisition of land subject to the Hutt Valley Lands Settlement Act, 1925, or in respect of the preparation of the land for disposal .. .. .. .. .. .. .. .. 42,105 11 7 Finance Act, 1932 (No. 2), Section 6 : — Transfer from Public Works Fund (General Purposes Account) of value of land now subject to the Hauraki Plains Act, 1926 .. .. .. .. 4 0 0 Recoveries on Account of Expenditure op Previous Years .. .. j 27 14 4 Interest on Investments .. .. .. .. .. .. .. 24,050 16 0 Total .. .. .. .. .. £796,448 18 7

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-19 40.

STATEMENT of the DISBURSEMENTS of LAND FOR SETTLEMENTS ACCOUNT for the YEAR ended 31st March, 1940.

28

VOTE : £ s - £ 8 * d * Land for Settlements .. .. .. .. •• •• •• 178,208 13 4 Interest and other Charges on Loans and Capital Liability : — Land Laws Amendment Act, 1926, Section 13 — Interest on capital moneys received from the sale of Crown lands .. 48,678 2 7 Land Laws Amendment Act, 1929, Section 47— Interest on Crown lands declared to be subject to the Land for Settlements Act, 1925, and the former Land for Settlements Acts .. .. 8,479 9 7 Finance Act, 1930 (No. 2), Section 19 (4) — Interest on Cheviot Estate accumulated funds paid to Consolidated Fund 18,613 16 10 Finance Act, 1932 (No. 2), Section 5 (2) — Transfer to Consolidated Fund in respect of interest payable on capital liability .. .. •• •• •• •• 434,881 10 6 New Zealand Loans Act, 1932 — Section 24 (2) — Recoupment to Consolidated Fund of management charges of New Zealand Government securities .. .. •• •• 1,296 17 6 Section 61— Charges and expenses of raising loans—• Issues in renewal and conversion .. .. •• •• 19,520 13 9 Charges and expenses of raising loans — Issues in renewal and conversion— Finance Act, 1932, Section 55— Exchange on remittances beyond New Zealand .. .. 4,782 11 4 Section 62 (4)— Recoupment of Stamp Duty on Transfers of 4£ per cent. 1944 Stock 268 12 7 Expenditure charged on Proceeds of Sales of Lands :— Crown Lands —Sales under Land Act, 1924, Section 20 — Land Act, 1924, Section 139— " Thirds " and " Fourths " paid to Local Bodies' Deposit Account from proceeds of sales of Crown lands .. .. • • • • 7 9 4 Finance Act, 1932 (No. 2), Section 6 — Transfer to Public Works Fund (General Purposes Account) in respect of advances made under Village Homestead Special Settlement Scheme .. • • • ■ • • • • • • • • 52 2 0 Transfer to Small Farms Account of the value of its interest in land now declared Crown lands under Section 49, Land for Settlements Act, 1925, and Section 10 (1), Land Laws Amendment Act, 1935. . 1,168 14 8 Transfer to State Coal-mines Account of the value of its interest in land released from the operation of the Coal-mines Act, 1925 .. 50 0 0 Transfer to State Forests Account of area purchased out of State Forests Account and now disposed of as Crown lands .. .. 922 0 0 Land Act, 1924, Section 20 (3) — Payment in respect of land obtained for Government works now deemed to be Crown lands .. .. • ■ • • • • 184 10 8 Finance Act, 1931 (No. 4), Section 24 (1)— Payment to Public Works Fund of value of lands set aside or acquired for the purposes of the Post and Telegraph Department but no longer required for such purpose .. .. .. 4,853 15 3 Native Purposes Act, 1934, Section 3 (2) — Acquisition of Native land .. .. .. • • • • 18 13 11 Land Laws Amendment Act, 1930, Section 15 (3) — Land for Settlements Act, 1925, Section 49 (1) — Settlement lands converted into ordinary Crown lands .. .. 750 0 0 Public Reserves, Domains, and National Parks Act, 1928, Section 41 (2) — Expenditure on purchase of lands for the purposes of domains, and on the improvement and development of domains .. .. .. 1,675 0 0 9 8° 6 . Finance Act, 1932 (No. 2), Section 6:— Transfer of receipts from Hutt Valley Settlement lands as a credit to Sales and Capital Receipts, Land Act, 1924, Section 20, in satisfaction of value of Crown lands declared to be subject to the Hutt Valley Lands Settlement Act, 1925, and amendments .. .. .. .. •• •• 1,450 0 0 Amortization of Debt :— Transfer to Loans Redemption Account for redemption of securities .. .. 3,206 0 0 Total • • £729,068 14 4

B.—l [Pt. ll].

PUBLIC ACCOUNTS, 1939-194 0.

STATEMENT of the RECEIPTS of LOANS REDEMPTION ACCOUNT for the YEAR ended 31st March, 1940.

s—B. 1 [FT. ll].

29

New Zealand Loans Act, 1932:— £ s. d. £ a d. Section 14, — Securities issued in conversion of Loans — Stock— Ordinary Revenue Account—Miscellaneous— To mature 1st January, 1945 .. .. .. .. 2,594,721 0 7 Ordinary Revenue Account—Naval Defence Act— To mature 1st January, 1945 .. .. .. 365,251 13 11 Ordinary Revenue Account—Reserve Bank of New Zealand— To mature 1st April, 1946 .. .. .. .. 25,000 0 0 To mature 30th November, 1948 .. .. .. .. 250,000 0 0 Ordinary Revenue Account—State Advances Corporation of New Zealand— To mature 1st April, 1946 .. .. .. .. .. 10,000 0 0 Ordinary Revenue Account—State Advances— To mature 1st January, 1945 .. .. .. .. 1,032,364 14 2 Public Works Fund—General Purposes Account— To mature 1st January, 1945 .. .. .. 10,329,312 5 5 To mature 15th March, 1945 .. .. .. .. 20,000 0 0 To mature 30th November, 1948 .. .. .. .. 230' 000 0 0 To mature 31st May, 1958 .. .. .. .. 0 0 To mature 15th December, 1958 .. .. ., .. 4,000 0 0 Bank of New Zealand Shares Account— To mature 1st January, 1945 .. .. ,, 500,000 0 0 Land for Settlements Account— To mature 1st January, 1945 .. .. .. .. 1,017,432 5 11 Land for Settlements Account—Cheviot Estate— To mature 1st January, 1945 .. .. .. .. 160,918 0 0 16,676,000 0 0 Treasury Bills— Public Works Fund —General Purposes Account— To mature: Various .. .. .. . 5,375,000 0 0 Main Highways Account— To mature: Various .. .. .. .. .. 600,000 0 0 State Forests Account— To mature: Various .. .. .. .. .. 50,000 0 0 6,025,000 0 0 Securities issued in renewal of Loans— Stock—• Ordinary Revenue Account—Reserve Bank of New Zealand —- To mature 15th December, 1958 .. .. .. .. 250,000 0 0 Public Works Fund —General Purposes Account — To mature 31st May, 1958 .. .. .. .. 200,000 0 0 To mature 15th March, 1959 .. .. .. .. 618,000 0 0 State Coal-mines Account—■ To mature 15th December, 1958 .. .. .. .. 416 13 4 1,068,416 13 4 Treasury Bills —■ Public Works Fund —General Purposes Account— To mature: Various .. .. .. .. .. 35,324,450 0 0 Public Works Fund—Electric Supply Account— To mature: Various .. .. .. .. .. 75,000 0 0 Main Highways Account— To mature: Various .. .. .. .. .. 4,475,000 0 0 State Forests Account— To mature: Various .. .. .. .. .. 550,000 0 0 War Expenses Account— To mature: Various .. .. .. .. 300,000 0 0 —40,724,450 0 0 Securities issued to cover costs, charges, and expenses of paying off and renewing loans— Treasury Bills-— Public Works Fund—General Purposes Account— To mature: Various .. .. .. .. .. .. 95,550 0 0 Section 15, — Securities issued in conversion of loans—• Stock— Public Works Fund—General Purposes Account— To mature 30th November, 1948 .. .. .. .. 2,575,000 0 0 To mature 15th June, 1955 .. .. .. .. 96,538 6 2 To mature 15th August, 1957 .. .. .. .. 695,559 4 3 To mature 31st May, 1958 .. .. .. .. 1,800,000 0 0 Main Highways Account— To mature 30th November, 1948 .. .. .. .. 25,000 0 0 To mature 31st May, 1958 .. .. .. .. 50,000 0 0 State Forests AccountTo mature 31st May, 1958 .. .. .. .. 50,000 0 0 5,292,097 10 5 Carried forward .. .. .. .. .. .. 69,881,514 3 9

B.—l [Pt. ll].

PUBLIC ACCOUNTS, 1939-1940.

STATEMENT of the RECEIPTS of LOANS REDEMPTION ACCOUNT —continued.

30

£ s. d. £ s. d. Brought forward .. .. .. .. .. 69,881,514 3 9 New Zealand Loans Act, 1932 —continued. Section 15—continued. Securities issued to cover costs, charges, and expenses of conversion— Stock — Public Works Fund —General Purposes Account — To mature 30th November, 1948 .. .. .. .. 12,100 0 0 To mature 15th June, 1955 .. .. .. .. 3,461 13 10 To mature 15th August, 1957 .. .. .. .. 4,440 15 9 To mature 31st May, 1958 .. .. .. .. .. 72,075 10 5 92,078 0 0 Main Highways Account — To mature 31st May, 1958 .. .. .. .. . . .. 2,083 6 8 State Forests Account— To mature 31st May, 1958 .. .. .. ,. .. 761 8 5 Section 40 (6), — Ordinary Stock issued in replacement of Death Duty Stock— Ordinary Revenue Account —War Expenses— To mature 15th March, 1943 .. .. .. .. 5,250 0 0 To mature 15th May, 1952 .. .. .. .. .. 250 0 0 Public Works Fund —General Purposes Account— To mature 15th June, 1955 .. .. .. .. .. 1,510 0 0 Public Works Fund —Electric Supply Account — To mature 15th November, 1941 .. .. .. .. 3,435 0 0 Main Highways Account— To mature 15th April, 1949 .. .. .. .. .. 505 0 0 10,950 0 0 Section 57, — Stock issued in exchange for Debentures — Ordinary Revenue Account —State Advances— To mature 15th September, 1947 .. .. ., .. 500 0 0 Ordinary Revenue Account—War Expenses— To mature 15th July, 1941 .. . . .. .. .. 600 0 0 Public Works Fund—General Purposes Account — To mature 15th November, 1941 .. .. .. .. 750 0 0 To mature 15th February, 1946 .. .. .. .. 11,440 0 0 To mature 15th April, 1949 .. .. .. .. .. 7,040 0 0 To mature 15th June, 1955 .. .. .. .. .. 7,055 0 0 To mature 15th January, 1957 .. .. .. .. 3,900 0 0 31,285 0 0 Stock issued in exchange for Death Duty Stock— Ordinary Revenue Account —War Expenses— To mature 15th March, 1943 .. .. .. .. .. 150 0 0 To mature 15th May, 1952 .. .. .. .. .. 150 0 0 300 0 0 Section 63, — Stock issued in replacement of lost Debentures— Public Works Fund —General Purposes Account— To mature 15th February, 1946 .. .. .. .. .. 100 0 0 New Zealand Debt Conversion Act, 1932-33: — Section 12, — Securities issued in conversion—• Stock— Ordinary Revenue Account—War Expenses— To mature 15th March, 1943 .. .. .. .. 100 0 0 Public Works Fund—General Purposes Account— To mature 15th March, 1943 .. .. .. .. 5 0 0 Public Works Fund—Electric Supply Account— To mature 15th February, 1946 .. .. .. .. 50 0 0 155 0 0 Section 16, —■ Ordinary Stock issued in replacement of Tax-free Stock— Ordinary Revenue Account —War Expenses— To mature 15th March, 1943 .. .. .. .. 4,019,235 0 0 To mature 15th May, 1952 .. .. .. .. .. 2,244,545 0 0 6,263,780 0 0 Death Duty Stock issued in replacement of Tax-free Death Duty Stock— Ordinary Revenue Account—War Expenses— To mature 15th March, 1943 .. .. .. .. .. 5,170 0 0 To mature 15th May, 1952 .. .. .. .. .. 51 , 500 0 0 59,670 0 0 Carried forward .. .. .. .. . . .. 76,342,676 18 10

B.—l [Pt. 111.

PUBLIC ACCOUNTS, 1939-194 0.

STATEMENT of the RECEIPTS of LOANS REDEMPTION ACCOUNT—continued.

31

£ s. d. £ s. d. Brought forward .. .. .. .. .. .. 76,342,676 18 10 Public Revenues Act, 1926, Section 135 :— Subsection (2), — Amount received on account of New Zealand's share of German reparations .. .. .. .. .. .. .. .. 1,335 8 9 Subsection (4), — Repayment of capital moneys advanced under Repatriation Act, 1918.. 3,759 10 8 Amount transferred from Ordinary Revenue Account for redemption of General Purposes Account securities .. .. .. .. 252,331 7 7 Amount received from sales of national-endowment lands under Section 4 (5), Swamp Drainage Amendment Act, 1926 .. .. 400 14 10 Amount transferred from Main Highways Account for redemption of securities .. .. .. .. .. .. .. 223,860 0 0 Amount received for redemption of State Advances securities .. 1,838 3 6 Amount received from the British Phosphate Commission for redemption of Nauru and Ocean Islands securities .. .. .. 33,435 14 6 Amount received from Samoan Loan Sinking Fund for the redemption of securities issued in respect of Samoan Loan Suspense Account .. 5,130 0 0 Amount of mining advances repaid, to be applied for redemption of securities .. .. .. .. .. .. .. 360 14 0 Amount transferred from Land for Settlements Account for redemption of securities .. .. .. .. .. .. .. 3,206 0 0 524,322 5 1 Finance Act (No. 2), 1939, Section 3 :— Subsection (1), — Amount transferred from State Coal-mines Account for redemption of securities .. .. .. .. .. .. .. 5,500 0 0 Subsection (4), — Balance of State Coal-mines Sinking Fund transferred .. .. 2 3 8 5,502 3 8 New Zealand Loans Act, 1932, Section 14 :— Interest on overdue instalments of 1940-45 London Loan .. .. 0 17 5 Interest on temporary investments of 1940-45 London Loan receipts .. 72,462 15 8 72,463 13 1 Total .. .. .. .. .. .. .. £76,946,300 9 5

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-1 94 0.

STATEMENT of the DISBURSEMENTS of LOANS REDEMPTION ACCOUNT for the YEAR ended 31st March, 1940.

32

£ s. d. £ s. d. New Zealand Loans Act, 1932 Section 14, — Securities converted—Debentures— Public Works Fund—General Purposes Account—• To mature 31st March, 1940 .. .. .. .. 4,000 0 0 To mature 15th June, 1940 .. .. .. .. 1,000,000 0 0 1,004,000 0 0 StockOrdinary Revenue Account —Miscellaneous— To mature 1st January, 1940 .. .. .. .. 2,594,721 0 7 Ordinary Revenue Account—Naval Defence Act — To mature 1st January, 1940 .. .. .. .. 365,251 13 11 Ordinary Revenue Account—Reserve Bank of New Zealand — To mature 1st April, 1946 .. .. .. .. .. 27,118 15 0 To mature 15th December, 1958 .. .. .. .. 250,000 0 0 Ordinary Revenue Account—State Advances Corporation of New Zealand— To mature 1st April, 1946 .. .. .. .. .. 6,392 0 0 Ordinary Revenue Account—State Advances — To mature 1st January, 1940 .. .. .. .. 1,032,364 14 2 Public Works Fund —General Purposes Account— To mature 1st January, 1940 .. .. .. .. 10,329,312 5 5 To mature 15th August, 1957 .. .. .. .. 600,000 0 0 To mature 15th December, 1958 .. .. .. .. 2,662,000 0 0 Bank of New Zealand Shares Account— To mature 1st January, 1940 .. .. .. .. 500,000 0 0 Land for Settlements Account— To mature 1st January, 1940 .. .. .. .. 1,017,432 5 11 Land for Settlements Account—Cheviot Estate— To mature 1st January, 1940 .. .. .. .. 160,918 0 0 19,545,510 15 0 Treasury Bills —• Public Works Fund —General Purposes Account— To mature: Various .. .. .. .. .. 1,500,000 0 0 Main Highways Account— To mature: Various .. .. .. .. .. 600,000 0 0 State Forests Account—To mature: Various .. .. .. .. .. 50,000 0 0 2,150,000 0 0 Loans renewed at maturity— Stock — Ordinary Revenue Account—Reserve Bank of New Zealand—To mature 15th May, 1939 .. .. .. .. 250,000 0 0 Public Works Fund—General Purposes Account — To mature 1st January, 1940 .. .. .. .. 1,007,450 0 0 State Coal-mines Account— To mature 1st January, 1940 .. .. .. .. 416 13 4 : 1,257,866 13 4 Treasury Bills— Publio Works Fund—General Purposes Account—To mature: Various .. .. .. .. .. 35,135,000 0 0 Public Works Fund —Electric Supply Account — To mature: Various .. .. .. .. .. 75,000 0 0 Main Highways Account — To mature: Various .. .. .. .. .. 4,475,000 0 0 State Forests Account — To mature: Various .. .. .. .. .. 550,000 0 0 War Expenses Account— To mature: Various .. .. .. .. .. 300,000 0 0 40,535,000 0 0 Section 15, — Securities converted— Stock — Public Works Fund—General Purposes Account— To mature 15th December, 1958 .. .. .. .. .. 992,097 10 5 Treasury Bills— Public Works Fund —General Purposes Account—• To mature: Various .. .. .. .. .. 4,175,000 0 0 Main Highways Account—To mature: Various .. .. .. .. .. 75,000 0 0 State Forests Account— To mature: Various .. .. .. .. .. 50,000 0 0 4,300,000 0 0 Premiums on conversion— Public Works Fund—General Purposes Account .. .. .. 92,078 0 0 Main Highways Account .. .. .. .. .. 2,083 6 8 State Forests Account.. .. .. .. .. .. 761 8 5 94,922 15 1 Carried forward .. .. .. .. .. .. 69,879,397 13 10

B.—l [Ft. [I]

PUBLIC ACCOUNTS, 1939- 1 940.

STATEMENT of the DISBURSEMENTS of LOANS REDEMPTION ACCOUNT—continued.

33

£ s. d. £ s. d. Brought forward .. .. .. .. .. .. 69,879,397 13 10 New Zealand Loans Act, 1932 —continued. Section 40 ( 6 ), — Death Duty Stock replaced by Ordinary Stock— Ordinary Revenue Account —War Expenses— To mature 15th March, 1943 .. .. .. .. 5,250 0 0 To mature 15th May, 1952 .. .. . . .. .. 250 0 0 Public Works Fund —General Purposes Account— To mature 15th June, 1955 .. .. .. .. .. 1,510 0 0 Public Works Fund —Electric Supply Account— To mature 15th November, 1941 .. .. .. .. 3,435 0 0 Main Highways Account — To mature 15th April, 1949 .. .. .. .. .. 505 0 0 10,950 0 0 Section 57, — Securities exchanged for Ordinary Stock— Debentures— Ordinary Revenue Account—State Advances— To mature 15th September, 1947 .. .. .. .. 500 0 0 Ordinary Revenue Account —War Expenses— To mature 15th July, 1941 .. .. . . . . 600 0 0 Public Works Fund—General Purposes Account— To mature 15th November, 1941 .. .. .. .. 750 0 0 To mature 15th February, 1946 .. .. .. .. 11,440 0 0 To mature 15th April, 1949 .. .. .. .. 7,040 0 0 To mature 15th June, 1955 .. .. .. .. 7,055 0 0 To mature 15th January, 1957 .. .. .. .. 3,900 0 0 31,285 0 0 Death Duty Stock— Ordinary Revenue Account—War Expenses— To mature 15th March, 1943 .. .. .. .. 150 0 0 To mature 15th May, 1952 .. .. .. .. 150 0 0 300 0 0 Section 58,— Securities redeemed before maturity— Debentures— Public Works Fund —General Purposes Account—• To mature 31st March, 1940 .. .. .. .. .. 1,000 0 0 Stock — Ordinary Revenue Account—Nauru and Ocean Islands Account— To mature 15th January, 1957 .. .. .. .. 33,445 0 0 Public Works Fund—General Purposes Account— To mature 15th March, 1943 .. .. .. .. 5 0 0 Land for Settlements Account— To mature 15th December, 1958 .. .. .. .. 3,206 0 0 Main Highways Account— To mature 30th November, 1948 ... .. .. .. 200 0 0 Samoan Loan Suspense Account— To mature 15th December, 1958 .. .. .. .. 5,130 0 0 41,986 0 0 Securities redeemed at maturity— Stock— Public Works Fund—General Purposes Account — To mature 1st January, 1940 .. .. .. .. .. 164,623 18 0 Death Duty Stock matured under Section 40 (3) — Public Works Fund—General Purposes Account — To mature 15th November, 1941 .. .. . . .. 800 0 0 Main Highways Account— To mature 15th February, 1946 .. .. .. .. 1,615 0 0 To mature 15th April, 1949 .. .. .. .. 1,470 0 0 To mature 15th June, 1955 .. .. .. .. 1,470 0 0 To mature 15th January, 1957 .. .. .. .. 1,265 0 0 6,620 0 0 Section 61,— Charges and expenses of raising loans — Issues in renewal and conversion— Ordinary Revenue Account—Miscellaneous .. .. .. 49,035 5 0 Ordinary Revenue Account—State Advances .. .. .. 17,102 56 Public Works Fund —General Purposes Account .. .. 6,326 2 7 72,463 13 1 Charges and expenses of raising loans — Issues in renewal and conversion— Finance Act, 1932, Section 55 — Exchango on remittances beyond New Zealand—Public Works Fund—General Purposes Account .. .. .. 95,550 0 0 Section 63, — Debentures lost and replaced by Stock— Public Works Fund —General Purposes Account —- To mature 15th February, 1946 .. .. .. .. .. 100 0 0 Carried forward .. .. .. .. .. .. 70,304,276 4 11

B.—l [PT. 111.

PUBLIC ACCOUNTS, 1 9 39-1 940.

STATEMENTS of the DISBURSEMENTS of LOANS REDEMPTION ACCOUNT—continued.

34

£ s. d. £ s. d. Brought forward .. .. .. .. .. .. 70,304,276 4 11 New Zealand Debt Conversion Act, 1932-33 : — Section 12, — Securities converted — Debentures — Ordinary Revenue Account—War Expenses— To mature 20th April, 1939. . .. .. . . .. 100 0 0 Public Works Fund—General Purposes Account— To mature 15th December, 1940 .. .. .. .. 5 0 0 Public Works Fund—Electric Supply Account — To mature 1st February, .1936 .. .. .. . . 50 0 0 155 0 0 Section 16, — Tax-free Stock replaced by Ordinary Stock—Ordinary Revenue Account—War Expenses— To mature 15th March, 1943 .. .. .. .. .. 4,019,235 0 0 To mature 15th May, 1952 .. .. .. .. .. 2,244,545 0 0 6,263,780 0 0 Tax-free Death Duty Stock replaced by Death Duty Stock — Ordinary Revenue Account—War Expenses— To mature 15th March, 1943 .. .. .. .. .. 5,170 0 0 To mature 15th May, 1952 .. .. .. .. .. 54,500 0 0 59,670 0 0 Public Revenues Act, 1926, Section 135 :— Subsection (3), — Reparation moneys applied in redemption of securities— Securities redeemed at maturity— Death-duty Stock matured under Section 40 (3), New Zealand Loans Act, 1932 — Ordinary Revenue Account—War Expenses— To mature 15th May, 1952 .. .. .. .. 805 0 0 Miscellaneous war credits applied in redemption of securities — Securities redeemed before maturity— Stock— Ordinary Revenue Account—War Expenses— To mature 15th March, 1943 .. .. .. .. 100 0 0 Securities redeemed at maturity — Stock— Ordinary Revenue Account—War Expenses — To mature 20th April, 1939 .. .. .. .. 2,600 0 0 3,505 0 0 Total .. .. .. .. .. .. .. £76,631,386 4 11

B.—l [PT. IX].

PUBLIC ACCOUNTS, 1 939- 1 940. MAIN HIGHWAYS ACCOUNT.

STATEMENT of RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March, 1940.

STATE COAL-MINES ACCOUNT.

STATEMENT of RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March, 1940.

STATEMENT of DISBURSEMENTS of STATE COAL-MINES ACCOUNT for the YEAR ended 31st March, 1940.

35

£ 8 d Adjustment of subsidy on rates paid to local authorities under section 28, Finance Act, 1934 (No. 3), &c. .. .. .. .. .. .. .. 71 10 1 Sale of land and buildings .. .. .. .. .. .. .. . _ 30 0 0 £101 10 1

Sale of— £ s. d. plallt •• •• •• •• .. .. .. .. ! 201 1 9 Surplus and obsolete stores .. .. . . .. .. . . .. l(i 0 0 £217 1 9

| Gross. Credits. j Net. Vote:— £ s. d. £ s. d. £ B. d. State Coal-mines .. .. .. .. .. 352,091 7 8 2,384 3 5 349,707 4 3 ! Interest and other Charges on Loans and Capital Liability" :— New Zealand Loans Act, 1932, Section 24 (2), — Recoupment to Consolidated Fund of management charges on New Zealand Government securities .. 19 8 10 .. 19 8 10 Finance Act (No. 2), 1932, Section 5 (2), — Transfer to Consolidated Fund in respect of interest payable on capital liability .. .. .. 5,279 15 9 .. 5,279 15 9 New Zealand Loans Act, 1932, Section 61, — Charges and expenses of raising loans — Issues in renewal and conversion.. .. .. 618 0 .. 6180 Charges and expenses of raising loans— Issues in renewal and conversionFinance Act, 1932, Section 55— Exchange on remittances beyond New Zealand 103 15 5 .. 103 15 5 5,409 18 0 .. 5,409 18 0 Amortization of Debt :— Finance Act (No. 2), 1939, Section 3, — Transfer to Loans Redemption Account — Section 3 (1) (a) .. .. . . . 5,000 0 0 .. 5,000 0 0 Section 3 (1) (6) .. .. .. .. 500 0 0 .. 500 0 0 5,500 0 0 .. 5,500 0 0 £363,001 5 8 £2,384 3 5 £360,617 2 3

B.—l [PT. ll].

PUBLIC ACCOUNTS, 1939-194 0. STATE FORESTS ACCOUNT.

STATEMENT of RECOVERIES on ACCOUNT of EXPENDITURE of PREVIOUS YEARS, for the FINANCIAL YEAR ended 31st March. 1940. I £• s. (1. Sale of surplus and obsolete stores .. .. .. .. .. .. .. 243 11 8

STATEMENT of DISBURSEMENTS of STATE FORESTS ACCOUNT for the YEAR ended 31st March, 1940.

STATEMENT of TEMPORARY TRANSFERS between ACCOUNTS within the PUBLIC ACCOUNT in terms of Section 40 of the PUBLIC REVENUES ACT, 1926, during the FINANCIAL YEAR ended 31st March 1940.

B. C. Ashwin, Secretary to the Treasury. A. R. F. Mackay, M.Com. (N.Z.), Ph.D. (Lond.), Accountant to the Treasury. Examined and found correct. 29th July, 1940, Cyril G. Collins, Controller and Auditor-General, 30th July, 1940.

By Authority: E. V. Paul, Government Printer, Wellington.—l94o.

Price la. 3d. J

36

I Gross. j Credits. Net. Vote:— £ s. d. j £ s. d. £ a. d. State Forest Service .. .. .. .. 559,327 13 10 ! 6,254 6 11 553,073 6 11 Unauthorized expenditure— Services not provided for .. .. .. .. 704 9 11 i 93 15 11 610 14 0 560,032 3 9 ! 6,348 2 10 553,684 0 11 Interest and other Charges on Loans and Capital Liability New Zealand Loans Act, 1932, Scction 24 (2), — Recoupment to Consolidated Fund of management charges on New Zealand Government securities .. 266 3 6 .. 266 3 6 Public Revenues Act, 1926, Section 40,— Interest on temporary transfers from other accounts .. 1,319 3 6 j .. 1,31936 1,585 7 Oj .. 1,585 7 0 Forests Act, 1921-22, Section 39 (2): — Transfer to Consolidated Fund of National-endowment Revenue .. .. .. .. .. 14,415 15 9 14,415 15 9 Finance Act, 1936, Section 24 (1) Transfer to Working Railways Account .. .. 1,923 0 10 .. 1,923 0 10 Public Revenues Act, 1926, Section 40: — Temporary transfers from other accounts repaid .. 50,000 0 0 j .. 50,000 0 0 £627,956 7 4 ] £6,348 2 10 £621,608 4 6

I Balance Transfer to Transfer from „P ate . 0 ' Rate of outet^ d ' ng Amount of Repayment Amount Date Transfer. Interest, jj arc |, Transfer. due. repaid. repaid, 1939. Public Works Fund— PerCent. £ £ £ Electric Supply Account Ordinary Revenue Account.. .. 2 50,000 .. 27/3/40 50,000 27/3/40 .... 2 50,000 .. 29/3/40 50,000 29/3/40 .... 2 60,000 . . 30/3/40 60,000 30/3/40 „ 19/7/39 2 .. 50,000 18/7/40 „ Land for Settlements Account .. 2 50,000 .. 12/10/39 50,000 12/10/39 30/6/39 2 .. 25,000 29/6/40 29/9/39 2 .. 50,000 28/9/40 „ 12/10/39 2 .. 50,000 11/10/40 State Forests Account .. Ordinary Revenue Account . . .. 2 50,000 .. 30/3/40 50,000 30/3/40 >, ! Public Works Fund—General 5/12/39 2 .. 50,000 4/12/40 Purposes Account War Expenses Account .. „ 5/1/40 2 .. 200,000 4/1/41 £260,000 £425,000 £260,000