Appendix E.

REPORT OF THE SUPERINTENDENT OF IMPORTS

AND EXPORTS FOR THE YEAR 1930.

I.—LIQUOR.

1. The net revenue collected, including licence fees, was $1,897,990.19 Chinese spirit showed an increase of $139,552.00. Licence fees in respect of Chinese spirit shops have decreased, chiefly as the result of the closing of several shops which had been dealing in illicit spirits on a large scale.

During the months of June and December there were very heavy withdrawals of spirit from bond due to rumours of an increase in the rates of the duty. This affected more especially foreign spirit.

2. Distilleries.—Frauds on the part of distilleries continued on a large scale. Eight were convicted, and many of these subsequently closed. In most cases information led to a surprise raid by the Monopoly Analyst, who, as the result of an improved technique based on long experience, was enabled to gather conclusive evidence of what was going on. In several cases it was proved that the control exercised over distilleries was not strict enough and steps have been taken to remedy this fault.

(b) The distillery regulations passed in 1927 have again proved their efficacy, and there is no doubt that provided they are enforced conscientiously and strictly cases of fraud on the revenue will be rare.

(c) One distillery which had been unsuccessfully prosecuted on two previous occasions was detected in the possession of forged duty-paid labels and a numbering machine set to give impressions of the serial numbers of the labels in use at the distillery. Examination of their books proved that false statements had been made for a long time as to the amount of molasses received on the premises, and that large quantities of spirits of wine had been smuggled in. Two or three separate sets of books were kept, but although these were not all made up-to-date it was possible to estimate with fair accuracy that the combined set of frauds had cost the revenue some seventy thousand dollars in less than a year. The licensee absconded sooner than face the court for the third time. The distillery was abandoned, but part of the loss to the revenue was recovered by distraint.

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