HC Deb 09 July 1918 vol 108 cc162-4
51. General CROFT

asked the Prime Minister whether the contracts for coal for the American troops in France were given to a British firm; what was the name of the firm; was the largest shareholder a member of the present Administration; and, if so, whether he will, in the interests of the country, take steps to prevent great international business transactions being carried on with financial advantage to a member of the Government?

Mr. BONAR LAW

I am informed that the firm of Harris and Dixon, without any solicitation whatsoever on their part, was appointed by the American authorities as agents to superintend the shipment of the coal as a result of the fullest inquiries, and previous long business connection. My right hon. Friend the Parliamentary Secretary to the Blockade Ministry had no knowledge whatever of the matter. Let me add that in my opinion to make suggestions which have no justification in fact, such as are contained in this question, is not only in the highest degree unfair to individuals, but is very detrimental to the public service.

General CROFT

Will the right hon. Gentleman give me an answer to the latter part of my question?

Mr. BONAR LAW

I have already given the answer. The answer shows that no one in the Government had anything whatever to do with this transaction, and, as I have said, to suggest suspicions of this kind without cause is very detrimental to the public interest.

Mr. PRINGLE

Is the right hon. Gentleman aware that early in the War an arrangement was made with all firms engaged in coal export in this country for the purpose of pooling the trade to our Allies, and a committee was appointed to represent the trade, for the purpose of distribution, and can the right hon. Gentleman give any explanation of why a firm that was outside that body, outside that trade, and not represented on that committee, was enabled to get this contract?

Mr. BONAR LAW

I have already given the explanation that the British Government had nothing whatever to do with the matter. The arrangements were made entirely by the American representatives, without any interference of any kind by my right hon. Friend.

General CROFT

Is it, in the opinion of the right hon. Gentleman, desirable for a member of the Government to remain a large shareholder of a company by which these great international business transactions are carried on?

Mr. BONAR LAW

I really do not know what my hon. Friend means. There are at present thousands of business men assisting the Government, many of them without receiving any reward of any kind. Does he suggest that a firm should be deprived of business which otherwise it would get because a member of the firm is serving his country?

Mr. PRINGLE

Is the right hon. Gentleman aware that at the time this transaction took place it caused discontent on the Committee which was specially appointed by the Government to deal with the question of trading with the Allies?

Mr. BONAR LAW

I know nothing about that at all, but I know that the arrangement was made by the American representatives, who were alone responsible.

Mr. WATT

Are we to understand that this company who got the contract had the capacity to supply at a lower price?

Mr. BONAR LAW

It is not a question of price. This contract was given on the basis of a commission, and I am informed by those concerned that it was given entirely on their own initiative, and without any representations by anyone connected with the British Government.