24.
Although the arrears of $93 million as at 30 June 1985 represented an increase over the previous year, part of the increase stemmed from the additional penalty and higher court costs imposed under amending legislation introduced in April 1984 upon offenders who had not paid and had not disputed the penalty within the prescribed period. The collection rate of fixed penalties imposed in the financial year 1984-85 showed an improvement over the previous year and there was a significant reduction in the number of cases referred to the Courts. This trend indicated that the amending legislation introduced in April 1984 was having its intended effect. Difficulties are still being experienced in collecting the arrears which accumulated prior to the introduction of the amending legislation and it is likely that a high proportion of the $60 million outstanding in this respect as at 30 June 1985 will eventually have to be written off.
25.
Heads 7, 8 and 11 - Revenue from Properties and Investments, Land Transactions and Fees and Charges (Director of Lands). In their Sixth Report issued in December 1983 the Public Accounts Committee stated that they were deeply disturbed that errors, omissions and oversights of magnitude in the assessment and collection of revenue relating to land transactions, involving the potential or actual loss of many millions of dollars, continued to be brought up in audit in spite of the Committee's strictures on the subject over the previous five years.
The Committee went on to recommend that the Director of Accounting Services should carry out a full-scale review of the procedures relating to the assessment and collection of revenue from properties and investments, land transactions and connected fees and charges, for which the Director of Lands is responsible, with a view to establishing a sound system of internal control and to issuing a manual of guidance for officers concerned with each step of the procedures.
26.
In their follow up evidence to the Public Accounts Committee at the Committee's hearing held in November 1984, the Director of Lands and the Director of Accounting Services gave a full account of the progress which had been made on the Public Accounts Committee's recommendations, as recorded in the Seventh Report of the Committee. The Public Accounts Committee noted in their Seventh Report what had been achieved up to October 1984 and expressed the wish that they be kept informed of the progress in completing and implementing all the necessary reviews relating to both collection and assessment procedures. The Administration has subsequently supplied the Committee with periodic reports on the further progress which has since been made. A summary of the position to date is set out below for ease of reference.