§ 60. Mr. de ROTHSCHILDasked the Chancellor of the Exchequer whether his attention has been called to the case of Riach v. the Lord Advocate, in which it was proved that an agreement had been entered into whereby an informer was to receive from the Treasury or the Commissioners of Inland Revenue 10 per cent. of any sums recovered in consequence of information as to tax evasion which might be supplied by him; that £250 had actually been paid to him under that agreement; and whether that agreement was authorised or condoned by the Treasury?
§ Mr. P. SNOWDENThe hon. Member is under a misapprehension. The alleged agreement, to which he refers, was not proved; indeed, the existence of any such agreement was explicitly denied on behalf of the Crown. The reward of £250 was paid by the Commissioners of Inland Revenue, ex gratia, on the authority of the Treasury, under the powers conferred by Section 32 of the Inland Revenue Regulation Act, 1890.
§ Mr. HORE-BELISHAWill the right hon. Gentleman say what the reward was paid for: and if there is any case in 2267 which the Treasury does employ informers to get information in connection with Income Tax?
§ Mr. SNOWDENThe grant was given on account of information supplied to the Commissioners of Inland Revenue, and the authority was the authority I have already stated. The hon. and gallant Member for Southport (Sir G. Dalrymple-White) has also a question down on this matter which I am going to answer.
§ Mr. HORE-BELISHAAre we to understand that the Government encourage private persons to give information upon these matters?
§ Mr. SNOWDENWell, the sum was a very large one indeed.
§ Mr. McSHANEIs it also true that one of these people received a knighthood?
§ Mr. THORNEIs it not the duty of everybody to give information if the Revenue is being "done"?
§ Mr. HORE-BELISHAAnd to be paid for it?
§ 61. Lieut.-Colonel Sir GODFREY DALRYMPLE-WHITEasked the Chancellor of the Exchequer whether his attention has been called to the case of Riach v. the Commissioners of Inland Revenue, tried last week in the Court of Session, Edinburgh, where evidence was given of the Treasury granting rewards to informers for notifying to it cases of evasion of Income Tax and other taxes; and whether he proposes to stop the continuance of such a practice?
§ Mr. P. SNOWDENThe case to which the hon. and gallant Member refers has come to my notice. Rewards given to informers are granted under statutory powers, conferred by Section 32 of the Inland Revenue Regulation Act, 1890. I am not aware of any adequate grounds for proposing any alteration of the law in this matter.
§ Mr. HORE-BELISHAHow much have the Treasury expended on common informers in this matter?
§ Mr. SNOWDENObviously, I cannot give a reply to a question of that kind.
§ Mr. McSHANEMay I ask whether it is true in this case that a proprietor of this firm was granted a knighthood?