ARMY STORES

Wairarapa Times-Age, 14 August 1941, Page 4

ARMY STORES

THE AL’DITOR=GENERAL’S CRITICISM REPLY TO MR HAMILTON. INQUIRY INTO IMPROVEMENT OF METHODS. (Bv Telegraph—Press Association.) WELLINGTON, This Day. “Inquiries are being made with a view to improving the method and strengthening the check on the handling of Army stores,’’ said Mr Hamilton, a member of the War Cabinet, during the debate on the Finance Bill in the House of Representatives yesterday. Mr Hamilton referred to criticism by the Auditor-General in his annual report to Parliament of certain unsatisfactory methods in handling army stores. Another point of criticism raised by the Auditor-General was that a cash balance of £4,428,548 brought forward into the War Expenses Account at March 31, 1941, was not sufficient to meet commitments already entered into with the Imperial Government, but not yet come to charge, Mr Hamilton said. It was necessary to take note of the comments of the Auditor-General. “As far as the statement goes it may be correct, but is it a legitimate criticism?” Mr Hamilton said. I greatly doubt it. Our public accounts as a rule record only receipts and payments, without noting outstanding assets or liabilities. ’ Mr Hamilton said he wished to point out that much of the expenditure had been made on defence equipment in New Zealand. This was a valuable, and, if necessary, a realisable asset. Furthermore, an amount of £3,647,992 had been provided for amortisation of debt. This was a pretty good sinking fund. , , __ , “The war debt incurred to March 31 1941, amounted to £21,238,537,” Mr Hamilton said. “The sinking fund provision for that period is, theiefore, over 17 per cent.”