1134
THE NEW ZEALAND GAZETTE.
[No. 48

The foregoing accounts have been examined and found correct subject to the following remarks:—

1. The “Customs,” “Railways,” and “Territorial Revenue” receipts are not now examined by the Audit Office.
2. The Audit Office is unable satisfactorily to verify the receipts of gold revenue, through the failure of the Mines Department to comply with a requisition for a certified statement of the amounts collectible as such revenue.
3. The “Advances in the hands of officers of the Government” include payments to the amount of £8,816 15s. 3d., though the accounts of the same were received at the Treasury before the close of the year.
4. The Deposit Accounts, in “The balance at beginning of quarter,” include the sum of £5,657 10s. 6d. which, being part of all moneys received for the repurchase by the Bank of New Zealand of its preferred shares, as provided by section 8 of “The Bank of New Zealand and Banking Act, 1895,” should have been transferred to “The Bank of New Zealand and Banking Act, 1895,” Account, and paid to the Public Trustee.
5. The “Statement of the receipts and expenditure of the Government Accident Insurance Loan Account” is not satisfactory. On that account there were the following transactions which are not entered, and for the entry of which no requisition has been received from the Treasury:—
   (a.) £1,000, being the sum raised by the Governor in Council as a temporary advance from the Government Insurance Office on the security of the debentures created for £2,000; and
   (b.) £1,000, being the sum so raised, which was placed to the credit of the Government Accident Insurance Account.
6. The Treasury Cashier, out of moneys issued to him by way of imprest under votes, made four advances to other officers for unauthorised expenditure, though in each case the application had neither been passed by the Audit Office nor returned to it with any reply to its objection to the proposal to charge the required advance to a vote.

J. K. WARBURTON,
Controller and Auditor-General.

The following remarks may be added in explanation of the comments made by the Audit Office as above:—

1. The usual comment: In accordance with law, the heads of revenue named are not now, and have not been for some years past, examined by the Audit Office.
2. The usual comment: It is sufficient to state that the law does not require the statement.
3. These outstandings are known to be unavoidable, and the Audit Office has previously admitted it.
4. The Solicitor-General was consulted, and gave his opinion that it was unnecessary to pay over to the Public Trustee more than the £500,000 of repurchase money.
5. This is a matter concerning the Accident Insurance Branch of the Government Life Insurance Department alone. So far as the Treasury is concerned, the facts are that £2,000 of debentures were issued to the Insurance Department, and this amount has to be included in the Public Accounts as a liability of the public debt.
6. The officers alluded to were the Commander of the Forces and other military officers who were ordered to visit Australia in connection with the Commonwealth and military business. The Audit Office is in error in stating that no replies were made to the objections raised.

R. J. SEDDON,
Colonial Treasurer.