PETROL SCANDALS

Dominion, Volume 9, Issue 2745, 13 April 1916, Page 5

PETROL SCANDALS

' MR. GRIFFITH GIVES HIS EVIDENCE MORGAN'S COMMISSION - MINISTER ON HIS DEFENCE By Tolefrapli—Presa Aesociatlcm—Copyright Sydney, April 12. Morgan, in his evidence, mentioned 3 per cent, as his commission. He ■looked upon the matter as an ordinary commercial deal, and was out' to make as much as possible for himself. The whole thing would have been submitted to Cabinet, and in the event of "ilia pruning knife being used, he wanted: to ensure a substantial brokerage. He did not care if the world knew he received 10 or 16 per cent. He stated that. Mr. Black said that it would coma pretty-rough on him if the Government' took over the company, as he had made the New South Wales agenoy a pretty good thing for himself. ' j (Rec. April 12, 9.55 ; p!m.) ■ \ Sydney; 'April'l'2. : Before' the.' Petrol Commission, Mr.Griffith, Minister of Education being examined, said that he understood thai the charge was that, through his agents, ha had asked that a secret commission should be paid.to himself or to his colleagues by, a. ..company through whom he was doing business,' and that the charge was supported by strong, evidence, both oral and written. |He was absolutely unaware, that the brokerage asked tor was not to' bo shown in any document to go before Cabinet. The whole gravamen of the charge that it was to, be a .secret document, 'to be kept secret, in Australia, while satisfying the company's auditors in England. ■ -Had he known, that there was no charge of secrecy, but merely, the question of a sfneme - for open brokerage to be paid on a' contract, he would not have stood' down from' f his admihistrativij duties and abandoned his work in Parliament. . Giving, details of the scheme, he said that- he chose the best man he oould got to'make inquiries._ He told Reed . not to bother him with details, and, also, if a scheme was formulated, there .would* be a jjossibility'^of-a charge of corruption. against. the "Government by people interested. Sir. Keea introduced" "Mr.' 'Morgan; ; *" 'and after several interviews he (the Minister) appointed Mr. Morgan an agent, because •" fie impressed him as a man knowing all about'the oil business. Mr. Griffith declared that he would never bo a .party to getting a commission in connection with" a petrol proposal, nor .any other proposal in the wide world, nor was any other Minister. He had absolute ' confidcnco in Mr. Reed, who had 25 years' experience as a Departmental officer. Mr. Morgan had- r.o power to bind the Government. There was absolutely no agreement to pay him brokerage—he had merely been authorised to act as agent,.-not-as broker. He did not for a moment contemplate that Mr. Morgan should have asked for. commission from - the ; company. The Government would have paid .'for his services. Mr. Reed never men-, tioned the question of- brokerage' or commission. Beyond the casual reports made'by Mr. Reed as to. the progress of the negotiations ho (Mr. Griffith) was unaware of the: real- position of affairs until the interview in...which Mr.. Holman explained the charges.'