THE IMPREST SUPPLY SYSTEM

Ashburton Guardian, Volume IV, Issue 976, 22 June 1883, Page 2

THE IMPREST SUPPLY SYSTEM

Immediately after the House met yesterday afternoon j the Colonial Treasurer asked permission to lay on the table a memorandum from the Controller and Auditor-General, and to have it printed. That memorandum is a very important

document, and will assuredly be made the subject of a sharp attack on the Government, whose action it gravely impugns. The Controller says “I am unable to

sign this requisition without pointing Out that it involves a grave evasion of the law. It is not an, infraction of the law such that I should be justified in declining to issue the money, but it evades the clear intention of the Act. The 9th sec-, tion of the Public Revenues Act, 1882, provides for the expenditure for two months after the end of the financial year, authorising the Colonial Treasurer to issue and pay monies during such two months, but no longer. Subject to certain conditions the effect of the present requisition No 88, is to draw out on the 31st May, the last day on which I can consistently with the law", issue any money till Parliament meets, the sum of L 192,000 from the public account and place it as an imprest in the hands of the Paymaster-General so as to carry on the expenditure until the meeting of Parliament. If such a step can bo taken in an emergency arising from the Parliament not being called together within the time for which supplies are provided, I cannot but point out that the same course might be adopted by the Government at any time ar d for any purpose, and the whole expenditure of public moneys be changed from that of direct payment to one of imprest payment, and from one of proaudit to the old system of audit after payment —a system which it was the whole object of the Revenues Act to abolish. It is very true the law puts no specific limit to the issue of imprests, but they have hitherto been treated as exceptional and used where direct payment could not be made without inconvenience to the service; but the Aunit Office has always felt it its duty to remonstrate against the issue of moneys on imprest for payments which might have been made directly from the Treasury. I therefore feel that the issue of this money, which I have now power to refuse, discloses a mode in which the clear, intention of Parliament is being, and may be at any time, evaded and moneys expended in a manner which the Audit Office must have declined to sanction, had the claim been presented to it before the expenditure took place. As the point is one seriously affecting the manner in which the duties of the Controller and Auditor-General are to be fulfilled, I have the honor respectfully to request that this memo., together with the requisition to which it relates, may be laid before Parliament as soon as it meets. — Jas. Edw. Fitzgerald.

“May 31st, 1883. P.S.—I should also point out that when the Paymaster submits his vouchers for credit, and it appears by the receipts that payments have been made before the meeting of Parliament, it may be the duty of the Audit Office to refuse to recognise such payment, or to relieve the Paymaster-General without the express sanction of Parliament, on the ground that the law expressly forbids not only the issue but also "the payment of moneys after the 31st May. J. E, FitzGerald.”

To th s is appended the following note : The paper shall be laid before Parliament, as requested. Taos. Dick.” This memo, has excited a remarkable degree of interest, and is the talk of the day. It is likely to elicit considerable

discussion at the earliest opportaliity. iThe Opposition-are chuckling a good deal oyer it, and contemplate using it as a great handle.

[by telegraph.] Wellington, To-day. Immediately on the House meeting, Mr Montgomery intimated his intention of tnoving a vote of censure on the Govern-, ment in' connection with the Controller General's memo. on. the L 190,000 imprest, and asked Major Atkinson to bring on Committee of Supply at once in order to Enable this to be done. Major Atkinson replied that he would bring on Supply aa the first order of the day immediately preliminary business was transacted.