H.—22.

VIII. LOSS OF SHIPS BY ENEMY ACTION. During the year advice was received of the loss of certain ships through the operations of enemy raiders in the Pacific and the consequent detention of the passengers and crews thereof. Unfortunately, some fatal casualties occurred as a result of the enemy operations. The Internal Affairs Department was called upon to handle those aspects of the matter which concerned passengers belonging to the Dominion and members of the mercantile marine who signed 011 in this country. This involved in the first place the despatch of telegraphic and other advice to the next-of-kin or near relatives in every case informing them of the circumstances. Subsequently, when information was received of the landing of survivors on Emirau Island, messages were despatched to the next-of-kin of the survivors informing them, of the position. Messages of condolence were also forwarded to the next-of-kin of those persons who lost their lives. The New Zealand survivors were landed in Australia, and, in consultation with the Commonwealth authorities, New Zealand Trade Commissioner in Sydney, and the shipping companies affected, arrangements were made for them all to be supplied with necessary clothes, lodging, money, and with medical and hospital treatment in certain cases. Arrangements were made in Australia for the repatriation to New Zealand of the survivors who were desirous of returning here, and several parties of them arrived at different times. Officers of the Department met them 011 arrival in order to attend to their general welfare, and this action was much appreciated by the survivors. The Government, with the aid of certain voluntary assistance, provided the liecessary transport, accommodation, and meals at the port of arrival and the subsequent transport of the survivors to their destination. These facilities were arranged by the departmental officers concerned. IX. PHYSICAL WELFARE AND RECREATION. During the past year there has been considerable expansion of the activities of the Department in this field, particularly directed towards the physical training of the Home Guard and the Women's War Service Auxiliary. To cope with, this new development some new male officers were appointed, and then, together with existing male officers, were given a fortnight's concentrated training in Wellington. The Department's responsibility is to train group physical-training leaders, who in turn instruct the various Home Guard units. The women Physical Welfare Officers are also active with the Women's War Service Auxiliary. Although the above duties necessarily take up most of the working time of men and women officers, they are also continuing to give helpful service in the promotion of various recreational activities, and the range of the Department's service for the community other than for war purposes is seen in the following summary of the principal activities : The conduct of physical-training classes for business men ; recreation camps ; sports coaching, especially for beginners ; the conduct of demonstrations and assisting with a' comprehensive scheme for the recruitment of pupils leaving school into physical activities ; the promotion of new recreation bodies ; advice and assistance to private recreation organizations ; experimental work in general education for the healthful use of leisure time. X. PATRIOTIC PURPOSES. A. Patriotic Purposes Branch. Six meetings of the National Patriotic Council, an advisory body which advises the Hon. the Minister of Internal Affairs, the National Patriotic Fund Board, and the eleven Provincial Patriotic Councils in regard to all patriotic matters, were held during the year, and two conferences of the National Patriotic Council, National Patriotic Fund Board, and the Provincial Patriotic Councils were also held. The Secretary of the National Patriotic Fund Board and the National Patriotic Council are members of the Department of Internal Affairs, which is charged with the duty of administering the regulations to the satisfaction of the Audit Department. In addition, the Department is responsible for forwarding all knitted gifts and gift parcels from the Dominion to men of the armed Forces overseas. The patriotic funds are not in any way administered, or expended by the Government, but by the elected representatives of public bodies in their district and by the National Patriotic Fund Board. The Patriotic Purposes Regulations, as amended from time to time to meet the exigencies of an expanding organization, have worked smoothly and efficiently, and it is evident that they are being more widely understood and are fulfilling the purposes for which they were designed. The administration expenses of the National Patriotic Fund Board for the year ended 30th September, 1940, were 0-15 per cent, of donations, and the average percentage of administration expenses to donations throughout New Zealand was 0-7 per cent. With the increase in the number of men being sent overseas, it is anticipated that this Branch will be called upon to expend its activities during the forthcoming year. B. Raffles for Patriotic Purposes. Under clause 38 of the Patriotic Purposes Emergency Regulations 1939, permission was given to raffle gifts of real or personal property for the funds of either the National or any Provincial Patriotic Council, and a special system of licensing of these raffles was instituted in May, 1940. Between that date and 31st March, 1941, 481 licenses were issued by the Department. For the first three months of this period all patriotic raffles were licensed directly by the Department, but owing to the increase in the number of small local raffles, secretaries of Provincial. Patriotic Councils and their zone secretaries were permitted to authorize raffles where the prize did not exceed £5. Strict control is maintained over all raffles for patriotic purposes, so as to guarantee that all the moneys find their way ultimately into the funds of the Patriotic Council concerned.

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