DR. MACMAMARA (Camberwell, N.)I beg to ask the Secretary of State for War whether he can say to what use the £470,000 balance standing to the credit of the Natal Field Force canteens, as described by Lieutenant-Colonel H. O. Morgan before the Royal Commission on the South African War, has been put; whether this sum has been applied in part or in full to the establishment of South African garrison institutes; whether these institutes are now being conducted, as stated by Colonel Morgan, as canteens conducted by a civilian personnel; what War Office supervision, if any, there is over their business transactions; what War Office audit, if any, there is of their accounts; and to what purposes are their profits, if any, applied.
§ THE SECRETARY OF STATE FOR WAR (Mr. ARNOLD-FORSTER,) Belfast, W.The Army canteens, during the South African War, were started without any assistance from public funds, and the profits accruing there from have been applied for the benefit of the Army in South Africa, after providing for a gratuity to regiments leaving the country. The alleged credit of the Natal Field Force canteens consisted of a considerable amount of stock as well as cash. At the conclusion of the war, the 59 full price was not realised owing to deterioration arising from the goods being stored in the open and the enormous mass of stock thrown suddenly upon the market at the close of the campaign. In round figures, the following sums have been distributed out of the profits of the Field Force canteens—
There still remains an amount of the most unsaleable portion of the Field Force canteen stock, valued, with a heavy reduction for deterioration, at £33,000. Whatever sum may be realised out of this has been placed at the disposal of the General Officer Commanding South Africa, to be expended for the benefit of the soldier, in the establishment of dairies, laundries, etc., and in the better equipment of recreation rooms. The canteens in South Africa are now run in connection with the South African Garrison Institutes, the headquarters of which are in Pretoria, and the profits are applied for the benefit of the troops in South Africa. The institutes are managed by a Board of Directors, composed of officers, one of whom is appointed managing director. The board is assisted by a general manager and a chief accountant, who are civilians. The remainder of the staff are civilians, as serving soldiers are not permitted to be employed in canteens. The accounts are audited by a chartered accountant. There is no War Office audit and the full responsibility for the management of the institutes rests with the General Officer Commanding, as is the case in this country and in the Colonies.
£ Leaving grants to regiments 111,000 Building Soldiers' Institute, Pretoria 40,000 Working Capital, South African Garrison Institutes 70,000 Building officers' clubs, etc 33,000 Total £254,000