BUDGET SECRETS

Waikato Times, Volume 119, Issue 19885, 14 May 1936, Page 7

BUDGET SECRETS

WAS THERE A LEAKAGE? EVIDENCE BEFORE TRIBUNAL. £20,000 FOR ME THOMAS' "LIFE." L'nlted Press Assn—Else. Tel. Cbpyright. (Received May 11, 11.45 am.) LONDON, May 13. Al the Budget leakage inquiry Sll‘ Maurice Uwycr, First Parliamentary counsel to the Treasury, said he dill not know of the income—tux increase till the morning of the Budget. There was no leakage in his department. Alfred Bates, rcvzilled, said that when he lllitde the insurance deals he did not possess information as to the contents of the Budget. He had ham :1 friend of .\lr J. H Thomas for more than '2O years, and played golf with him during Easter. .\lr Thomas did not disclose anything about the contents of

the Budget. His only business transv action with .\lr Thomas was an otter of £20,000 for exclusive rights to Mr ’l'homas‘ autobiography. .\lr Thomas replied that he had had other offers of substantial sum-S, but \\'as influenced by the fact that Mr Dates \\'as pre—pared to make an instant advance on the autobiography. "it you can get a house in your district on which my wife is keen, and there is a clear understanding that does not prevent me from writing,“ said .\lr Thomas, “I will accept your terms.“ Purchase of a House. » .\lr Bates said he purchased the house and wrote to .\lr Thomas on April 6 stating that the purchase and legal costs amounted to £15,100. The draft he sent to .\lr Thomas was signed on April 8, “ llereby acknowledge that Bates paid out to me £15,100, in reduction oi" the sum payable to me for the rights to my autobiography." implying to the Judge, Bates said he had never assisted Mr Thomas to place sums on tho lurl‘. .\lr Thomas .was to receive £20,000 for writing the story of his life, plus half the proills beyond $120,000, the prolits to so to Mrs Thomas it‘ Mr Thomas died. \Vitness said he had not yet received an instalment of the book, but believed it was in preparation The Judge: “ Apparently .\lr Thomas asked you to complete the purchase 01‘ the house for £15,000 on the security of the hiogrnpliy‘f” Bates mNJL‘d assent. "Is It Now. a Risk?" The Judge: “Is not that a Con—siderable risk? he may die before completion." Bates: “ llis wife and family would supply the data." The Judge: “ Do you think a biography oi' .\lr Thomas by his wife and family would make a profit of over £20,000?" Bates: " Considcrahly more.“ Bates said that. in making insurance deals he hid his identity to get better rates, using in this connection his knowledge of betting transactions. Five different names appeared in the policies. Sir Warren Fisher, Secretary to the Treasury and head of the Civil Ser\'ii:L: described the procedure adopted for safeguarding rmilidential informa—tion. 'i‘he Jif‘ill'tlls was adjourned.