§ MR. O'SULLIVANasked Mr. Chancellor of the Exchequer, If the operation of racking the same parcel of spirits in bond has been repeated several times in the bonded warehouses at Belfast; and, if so, whether this repetition of opera- 1042 tions be in accordance with the Customs regulations on that subject; and, if the expense of the officers attending such operations are borne by the Government; and, if so, was that expense included in the thirteen thousand pounds which the Government admit was lost to the Revenue during the past year in one store alone?
§ THE CHANCELLOR OF THE EXCHEQUERThere is some little confusion between the operation of the Inland Revenue, I think, and the Customs. On the whole, it seems to me that it would be more convenient to the House, and to those who take an interest in this subject, that I should call upon the Chairman of the Board of Inland Revenue and the Chairman of the Customs to prepare a joint Report, stating exactly what has been done in this matter, and what is to be done. That Report will be prepared, and I shall be able to lay it on the Table of the House. I believe that, with reference to this particular question, there is no doubt that the operation of racking the same parcel of spirits in bond has been repeated several times in the bonded warehouses in Belfast, the object being, as stated by the operators, the improving and maturing of the whiskey. But as soon as it was discovered that the removal of the empty casks, after these racking operations, afforded the opportunity of abstracting the small quantity of spirit in the cask, and that a constant repetition of the process would eventually bring up the amount of duty thus lost to the revenue to a considerable sum, the Government placed themselves in communication with the Inland Revenue, and issued orders on the subject. With regard to the expense, I may say that the expense of the officers attending the operation in the warehouse during the legal hours of business is borne by the Crown, but after legal hours it is borne by the merchant. With regard to the £13,000, that belongs to the Inland Revenue, and the Government know nothing about it. I think it will be most convenient that we should have a general Report on the subject.