TRAVELLING ALLOWANCES.

Manawatu Herald, Volume XXIX, Issue 3777, 21 November 1907, Page 3

TRAVELLING ALLOWANCES.

Mr Shannon’s Case. Parliamentary Committee’s Finding. The Extension of the Commerce Committee, to whom was referred some time ago the matter of travelling allowances received by the Customs expert (Mr Shannon), presented their report thereon to the House on Monday. The report stated that the evidence showed that Mr Shannon was engaged by the Atkinson Go vernment under an agreement dated 30th October, 1888, and signed by the Hon. G. Fisher as Commissioner of Trade and Customs, which contains terms as follows: “You will be allowed pay at a rate of from November Ist next, until 30th June, 1889, together with travelling allowance at a rate of 30s a day whilst travelling on public service, including your stay in Wellington, and you will receive one-fourth share of all net proceeds of seizures and penalties recovered directly through your action.’’

Under the agreement, Mr Shannon claims that he was entitled to 30s a day all the year round ; that this was intended to augment his salary and, according to his evidence, he has dravvn ,£1340 a year. This amount represents ,£BOO a year salary, and 30s a day allowances for every day of the year, including Sundays. In addition, he has drawn for fines.

The Chairman of the Committee (Mr T. MacKenzie) moved that the report lie on the table. Mr Laurenson said the report showed clearly what the agreement was. He believed that it would pay the Government to inquire into the pay, travelling allowances, and emoluments of every officer in the Civil Service. He thanked the Premier for having, for the first time in the history of Parliament, provided a nominal roll. Mr Massey regretted that the inquiry had not been a general one into the whole question of travelling allowances. If it had been, there would have been revelations.

The Premier, referring to a complaint by Mr Taurenson that, on the nominal roll, officials’ names appeared in two places with distinct salaries attached, said that the head of the Department often had charge of another Department and his salary was rightly charged to both Departments. There was nothing suspicious about that. The item appeared on the Estimates and if the two amounts were Inmped together the officials would have no difficulty in getting the total salary passed without opposition. The only alternative to this practice of officials exercising dual capacity would be to appoint a second officer to take charge of the minor Department at a greatly reduced cost to the country. He thought Mr Massey was mistaken in asserting that a general inquiry into the question of travelling allowances would have revealed anything reprehensible. Mr Hogg said that during the 19 years of his service Mr Shannon had drawn ,£25,593, of which no less than ,£10,393 was for travelling allowances. Mr Davey said there was no justification for paying Mr Shannon under the guise of allowances. He did not think the agreement was ever intended to mean that Mr Shannon was to receive travelling allowances on those days during the week ends.

Mr Barela}- deprecated suggestions that Mr Shannon had acted very wrongly. Mr Poole asserted that Mr Shannon had, despite the obligation imposed on him by the agreement to give his whole time to the Government’s service, valued stock in an establishment when he should have beeu working for the Government. The Hon T. Duncan said tha Mr Shannon was no beggar at the time of his appointment. He had saved the country ,£40,000 a year. Mr T. MacKenzie : “Rot! Absolute rot!” Mr Duncan : “I’ll show you whether it’s rot or not.” He had heard no complaint of incompetence on Mr Shannon’s part. Mr MacKenzie: “You were never about in the commercial world.” Mr Fisher said that the Customs expert was an expert in laud and stock as well. What was to hinder him from making valuations in these in his own time ? Mr Poland supported Mr Laurenson’s proposal to set itp a Commission to inquire into the Civil Service. The cost of carrying on the business of the country had risen £1 9s 2d per head of the population in recent years. Mr Herries said a point bad been overlooked, viz., that this sort of thing could go on unknown to the Minister of the Department concerned. He did not blame the Minister but the sj^stem. Mr T. MacKenzie, in reply, detailed the evidence given to Mr Shannon as to the circumstances

surrounding his appointment. The agreement made by the late Sir Harry Atkinson with Mr Shannon was that he should get ,£BOO a year and travelling allowance during the time he was absolutely absent on Government business, yet he had lifted 30s a day every day in the year, Sundays included, for travelling allowances. There had never been a grosser scandal in connection with the drawing of public money than this case was. Mr Shannon -aid that the fact was known by everyone, but it was not. Mr Shannon’s statement that he had saved the colony a year for 18 years in connection with one firm alone had been enquired into, and all that Mr Shannon could adduce in proof of it was that he bad received from an informer copies of duplicate invoices from reputable firms at home. The report was then tabled.