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THE CHINA MAIL.

MONDAY, NOVEMBER 20, 1918.

INTIMATIONS

SECOND

51 RUSSIAN INTERNAL

HUTTING CONTRACTS.

MORE "LIGHT ON SIR 3. JÄÄKSON'S. OFFER.

FOR 3-PER CENT.

SHORT TERMED LOAN HIS FIRM'S SURPRISE DEMAND OF 1918 FOR ROUBLES 3,000,000,000

THE Subscription to the above LOAN Subotic to sharevember to 28th Decenaber, 1919.

The price of Inuo is 95 per coşă. The Loan is enurely free of Income

Tax and other taxations.

Many weeks ago was published a report of the Commitses ol.....Publia · Accounts

which throw a good deal of light upon the Army and Navy expenditure during the first year of the war. Prominence was given in the report to the cost of hatting, for the training of troops in England, and the story was told of a large contractor || who offered to build huts at cost pnce. and afterwards, while the work we in Conpars are payable ball foarly on the band and the orders given to him were 44th April`and 14th October,

consequently increased demanded" commission.

-The Loan is redeemable at par on 14th October, 1928, without option for the Ruslan Government to convert it at an cariler date,

15

As Interest on the shore loan runs from 14th October, the interest accrued on date of subscription must be tale inte consideration and is to be added to the price of l

·

The so-Asiatin Bank la Hongkong is ready accept applications for the above named Loan.

"..

Special favourable rates will be quoted for Russian Exabange.

Payment may also be made in Roubles. Applications will be wired to Petrograd free of telegraphic charges and comimis-

Sion.

40 per sems. only of the cost of tha Bonds may be paid an application, the balance to be paid en receipt of the

Bonds.

The Bank is also ready to give a facility to subscribers in the shape of advances against the scrips.

GE TISDALL

Manager

RUSSO-ASIATIC BANK, Hongkong, Nor. 7, 1916.

NEW

1393

What doubt there was as to the identity: of the contractor was dissolved when Sir John Jackson, on behalf of his firm, Sir 3. Jackson, Limited, defended hiu, setion, and declared that though the commission paid was £130,000 on an expenditure of nearly £4,000,000, this was only about a

fourth of the usual contractor's charges.

The Blue Book containing the avidasco, on which the Committee founded their. report has since been issued, and we give below soma of the principal passages from it with reference to the hutting coa tracte. It may be added that a few days after the report kas published Mr. Forster, on behalf of the War Office, apnounced that Sir John Jackson, Ltd., { pane had consented to a reduction of their commission from 5 to 4 per cent.

WITHOUT PROFIT.

"

Scott

Major-General Sir George Moncrieff was the principal witness in this matter. He related that on August 7th, three days after the declarating of war, the contractor made an offer to Lord Kitchener to carry out anywhere any work which might be entrusted to him, placing his firm unreservedly at the dis. posal of the War Ofes, and promising that if he was given a tres hand he would do the work without praft, "on the Basis of pure patriotism," His offer vis cardially accepted, and on August 23rd RECORDS. bo started work in one ph, the large

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STLIMPOPON (SEBATTIK)

COAL

97 THE Undersigned having been appointed

As for the COWIE HARBOUR

OBAL CO., LTD., are prepared to queta prices for best quality. SILIMPOPON COAL trimmed into Bunker at SEBAT- TIK SANDAKAN (British Korth Bornes

HILIMPOPON COAL comparse favour- ably with the better grades of JapaneBD Coal and gives good asli on a very moderate consumption.

Steamers calling st SABATTIK or SANDAKAN exclusively for 8ILIMPO- PON COAL (either cargo or Bankara) sxempt from payment of all Pori charges.

At Sobaltik Steamers are berthed along- side the Company's wharf where there is a minimum "depth of 27 to 28 feet at low

3pking Tidee. Water

Charts of Sibuke Bay (Sebattik Har- bour). Prices and all other information concerning the Port can be be on application to the Agent

-

1027

hutted camps..

The

"Three Caftles" Cigarettes

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Manufactured from the FINEST MATURED VIRGINIA LEAF, and therefore a delight to the heavy smoker without the slightest fear of any disagreeable after effects.

SAVE THE COUPONS. THEY ARE VALUABLE.

be arcessive on work up to £100,000, but we are strongly of opinion that in __the_coan_of_larger amounts a smaller i commission is suficient, and that the rate of cermission should diminish rapidly as the expenditure increases, "Then the fact is, Sir George, that this agent really was permitted to ave what I most describe as a bogus offer to do something for a time for nothing,"in order to secure himself free from com- petition in the payment of a very full commissica ? ****

The question: was pus by Sir Henry Craik, and Sir George replied: Yes. I do not altogether think that it was a bagus offer.

And that was permitted by the Financial Secretary and his assistant?-It was permitted by the Financial Secretary.

COULDN'T STOP.

Sir George was asked why, when the contractor said he would co-ga on doing it "for love," the tenders were not put cut again to other people,

The idea seemed so good that Sir George Font an officer round to a lot of other contractors, saking them whether they would come to the aid of the Government | in this national emergency. One of the fitung-guve their services for nothing, and there were others who neked only for the payment of certain frea. A firm of

The negotiations with him took some Canadian engineers approached him, and little time, and we could not stop, was said they would do the work for nothing.the reply. We asked him if he would and they had done magnificent work. go on with other work, and he said yes, When the war had been going on about he would; and then he raised the question a month, Sir George got a letter from the original contractor, saying that if he was anked to do more than the three works arranged for he must ask for a 5 per cent,

commission..

UNFAIR TO OTHERS.

In reply, Sir George wrote :-

On the strength of your original pro posal I recommanded to the Army Council that your patriotic offer of assistance should be accepted. But

when it means a question of payment

on & percentage basis it ceases to be on the same footing, and I feel I cannot recommend it in the same way.

about the percentage"

undertaken by you se the request of the

INTIMATIONS

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War Office lates than the works you MITSUBISHI GOSHIKWAISHA |

originally undertook to carry cab free of charge.

(2-)-An allowance to meet estab. lishment charges and offes expensen of 1 per cent on the total expenditure in the case of services originally under. taken by you free of charge, and the same in the case of services afterwards undertaken." -

(Mitsubishi Co.) COAL DEPARTMENT.

SOLE PROPRIETORS OF

TAKASHIMA OCHI, MUTARE,

KISHIDARE, YOSHINOYAN

At this time the capital expenditure 2030, NAMAZUTA, SATO,KANADA, was only a million and a half, and Major SHOWNEW, KAMIYAMADA, BIBAI Baker said he did not himself believe that&OYUBARI COLLIERIES 70 2 it would grow, or he would have con- sidered the question of a diminishing percentage. He knew it by May, and then used every endeavour to try to persuade the "principal agent to abate

his claims.

Five per cent, with 1 per cent, for etablishment charges, having been paid to one contractor. Majar Baker thought it would have been an impossible position to pay one and rob to pay any of the others. All had to be treated alike. He did not think it was in naressonable rate of pay on work of that kind. If there had been open competition they would not have get it on anything like those terma." If they had had to take the lowest | It was Major Harold Baker, M.P., the of competitive tenders they would have Financial Secretary of the War Office, lost two months in the hutting, which who, at a later sitting of the Committee, was of vital importance, and at the end continued the story of the contract after very likely would have had to pay more it passed out of Sir George Scott-Moc. because of the abnormal risks which all crieff's hands. A day after the contractor these contractora, would have been certain

pearl that he should work for a fee and had returned & fat negative to the pro. to try to cover. not on a percentage basis, he was writing, **Indo not feel that this is a business Committee, took a different view.

Sir Henry Craik, a member of the

affair in the ordinary way at all; we must

want to bring this clearly out-that the

in every way.**

*INA CLEST STICK.""

do the best we can from patriotic feelings principal agent did have you' in a cleft Major Bakar added I mention that stick by having got the position through because I should like the Committee to what an a previous occasion, I called his The reason of this is that, in a roaber understand that, although we knew that bogus offer to do this without remunera of business profit, we should be the patriotic offer had best withdrawn / tion ?! I would not like to adopt Joer ;

you 13 opportunity which is denied to others. We have received offers from other eminent engineers. We have accepted one of these on the same. non-profit terms as those hitherto arranged with yourself.

I have no

I and Sir Charles Harris and the other phrase, Sir Henry; he was in a strong people who were dealing with this matter why should we not call & spade a

position, certainly!!

were again faced with a reiteration of

spade?" Baked Sir Henry, This was a patriotic protestations.

man who, by a pretended patrictio offer. I venture to say that under all the circumstances we doubt there would accept those terms, mistrusting them. The principal sġous is/could dictate terms to you, and he then hnd no reason for got himself into such a position that he but even if they did not there are

a person of very considerable standing in said: Either I stop. or you must many who would be glad to tender if the commercial world, who has had dis on with the payment I demand Was It ware a question of a substantial not | tiuctions which are quite well-own to not that the position? You' have the profit without risk. If we now siter members of this Committee, and if you advantage of me in being able to state the terms arranged with you, is will could trust anyone I think you could your private opinion to the Committee,"

wae Major Baker's reply, I

place is in a position open to the "severest critciem,

trust him."

There is much interesting matter on the Elue-book concerning the hurting rangements as the beginning of the

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As the principal agent of the contractor The "Firm" was seked, to accept insisted on working sa a percentage basis foe rather than a percentage, bat Sir John the War

Office were faced with the Jackson refused, and the matter was then question whether or not they could dis

The design of huta which worked ROK IST MITAL and BARD BRADLEY & CO. LTD., handed over to the Financial Branch of pense with him... za

out at about £15 per man was originally WABE MERCHANTS, Whole Agenta Cowie Harbour Coal | the War Office to deal with.

"It was perfectly clear we could not adopted. That covered everything, includ and Retall Ironmongers. Pig Iron and Foundry Coke Importers. General Store. Company, Limited.

AN INQUIRY.

ing recreation rooms, dining rooms, batha, znepera and Shipahandlers Nos. $5 and get rid of him. He was practically

itting there, starting to work, and any cookhouses, and so forth. Then came a 37, HG Loor B, (End Strest, west Sir George, in his evidence, stated that, at his invitation a committee of the delay in the erection of the huts would order to exercise the most stringent of Central Market) Taiephone No, stor Institute of Civil Engineers had visited a bear visited, I think, with the economy, and by cutting off avery possible. Hongkong September 4, 1913.

severe displeasure, not merely by Lord comfort the estimats was go down ta

210 a man.”. stood it for a moment, but by the general Cabinet, that the Canadian troope com

"It was decided, however, by the public, too. It seemed clear to us that in ing to Salisbury Plain should have accom A commission of 4 or 5 per cent / the public interest we had to avail omodation en the higher scale, but that i selves of the services of the principal all other troops must be content with the

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HISTORY OF UNION CHURCH

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all the large hatted camps and reports on the work. They also passed judgment on the question of percentage to

tractors. In these term

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However, no sooner had the huta which cut down the amenities of lite We proceeded, during the to the lowest extreme" been built than next two moutha; by letter and interview complaints cams pouring in. It was sald and every sort of persuasion we could in various places and repeated in the apply, to endeavor to bring him to anch House of Commons that the men ware terms so we thought reasonable. Finally being housed more like beats than men, October 8th, I saw him mywell, and and gradually very nearly the whole of the it was clear that we could get no further extria which had been out of wate at that stage, and we arranged feme provisionally took from him the last he would agree to that he should have tert very similar to thees which were finally pas to the Treasury i

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After that It was agreed by sverybody

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