§ SIR HENRY WILLOUGHBYsaid, he wished to ask the Under Secretary of State for War, If any sum or sums of money are to be paid to the Elswick Ordnance Company under any indenture or agreement; and if any sum or sums of money are to be paid, out of what funds will the payment be made, and by what authority?
THE MARQUESS OF HARTINGTONsaid, in reply, that in consequence of its being found that adequate employment could not be advantageously given to the Elswick Ordnance Company, Sir George Lewis determined to put an end to the Contract between the Government and the Company. It was referred to valuers to state what sum should be paid for compensation, and they sent in an award amounting to £85,000, of which £65,000 was not disputed, and £20,000 was doubtful; the valuer on the part of the company claiming it on account of depreciation of plant, &c., the other valuer objecting to the validity of such claim altogether. Sir George Lewis obtained the sanction of the Treasury for the payment of the £65,000 out of the Vote of last year; and as to the £20,000 negotiations fallowed, and the result was that £65,000 had been paid, with the sanction of the Treasury, out of the Estimates of last year, and the Government had taken plant and stores to the amount of £20,000. The total amount which had been and would be paid was £85,000, the Government receiving full value for £20,000 of that sum. The £20,000 remained to be paid out of the present year's Estimate.