2. Mr. Hobosonasked the First Lord of the Admiralty if he will make arrangements whereby R.N. ratings can receive their pay and leave allowance on demobilisation by means of money orders in lieu of crossed cheques.
Mr. DugdaleWhile it is possible that issue of crossed cheques can well cause some inconvenience to R.N. ratings, the Admiralty has, in fact, received few complaints. As my hon. Friend will realise, it would be impracticable to effect a change at this precise moment, when demobilisation is at its height, owing to the great pressure of work on the Admiralty accounts staff. I am, however, considering, as a result of my hon. Friend's Question, whether later in the year, when the pressure of work is less, the Amiralty can adopt the system of payment by money order which he has suggested.
Mr. SilvermanCan my hon. Friend say what is the legal authority for compelling men who probably have no banking account to accept payment by means of a crossed cheque; and why is it thought that ratings will find it easier to cash cheques than for the authorities to make other arrangements?
Mr. DugdaleAs regards the first question, I am afraid I cannot say the legal authority. As regards the second question, I have found this system to be that which is taking place in the Admiralty, and, quite frankly, I personally would like to see another system. However, the change cannot be effected during the very great pressure of work that is now engag- 1132 ing the Department as the result of demobilisation.
§ Captain Sir Peter MacdonaldWhy could not they be paid with open cheques instead of crossed cheques?
Mr. DugdaleBecause it would be extremely unsafe. They might well get lost and be cashed by somebody else.
§ Captain MarsdenHas the hon. Gentleman considered the method of payment used in the United States to both naval and Merchant Service ratings, namely, by travellers' cheques of small denomination?