WASTE IN PUBLIC EXPENDITURE

Dominion, Volume 12, Issue 271, 12 August 1919, Page 7

WASTE IN PUBLIC EXPENDITURE

CHARGES op profiteering on CONTRACTS. London, August 9. The Select Committee on Public Expenditure has completed its third report, whioh .deals with the closing stages of tho war. It is understood that it reveals grave wastefulness and suggests flagrant cases of profiteering which deserve prosecution.

Cabinet is investigating tho entira position, and it is anticipated (hat revised estimates for the fighting services will 1m submitted, showing considerable reductions.

Sir John Hunter, Administrator of Works, testified that ho discovered a conspiracy of Government men and contractors in connection with the aerodromes contract and had four people arrested. They were liberated after four months on bail, the Lord Advocate, who declined to prosccute, having declared that there was no i vidence of their applying moneys to their own use, and that the prosecution woild reveal apparent inefficiency and absence of control on the part, of the Air Ministry's local representatives. Sir John Hunter protested against such a view, and subsequently vainly urged the Lord Advocate to reconsider his decision. Sir John Hunter emphasises that timesheets were falsified, and wages were paid to non-existent persons. The committee expressed regret at the Lord Advocate's attitude, and in its report adds: "When cases nf negligence or fraud aro discovered, action should bo taken against the offenders, regardless of whether they are officials of the Department or not."—Aus.-N.Z. Cablo A«sn.

BRITAIN'S, FINANCIAL PROSPECTS

CAMPAIGN AGAINST STATE'S EXPENDITURE. .

London, August 9. Mr. Austen Chamberlain's disclosures <ts to thv serious llnanciai situation have resulted in a widespread protest by members of the House of Commons against tho Government's expenditure.— Aus.-N.Z. Cable Assn.

(Rec. August 11, 5.5 p.m.)