CO129-419 - Individuals - 1914 — Page 183

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Further advances, nine (9) in all, which brought

the period up to May 1911, were eventually made by r Chatham owing to the Contractor's plausible letters to him until a total sum of $ 31.675.26 was paid.

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About the time these advances were drawing to a close Mr. Chatham was anxious to pay the Contractor more money, and at an interview I had with Mr. Chatham 14 connection with a Statement prepared by me about that date, he even suggested to me, "Can't you make it more?" which I declined to do.

I would here state that the matter of advances was only referred twice to me, and it can never be said that I in any way approved of the system, quite the con- trary. Indeed, in certain cases the first intimation that I received was instructions by Mr. Chatham to prepare certificates for payment to the Contractor.

In view of the fact that the advances were first made in April 1910 to purchase timber it is interesting to note that, the sum of $ 31.675.26 was paid in order to obtain timber to the value of say, 5.000,00,further, all that the Contractor actually supplied out of the above total advance was twenty-seven (27) logs during the year 1810, for which he also received full value as for executed work, the remaining forty-one (41) logs supplied in 1910 were paid for by the Government upon delivery.

Again,*Mr. Chatham, during February 1911 arranged, unknown to me, for a further supply of sixty-seven (67) logs at a cost of $4.845.26, this being due to waste, theft and other matters incidental to the Chinese mind when no super- vision is exercised by the Contractor.