§ 55. Mr. Thorntonasked the President of the Beard of Trade if, in view of the Comptroller and Auditor General's Report, dated 25th January, 1961, he will institute an inquiry into the 5,000 looms unaccounted for in the Weaving Reorganisation Scheme and which may involve as much as £250,000 of Treasury funds and funds raised by levy authorised by Parliament.
§ Mr. N. MacphersonNo, Sir. The Cotton Board has administered the Weaving Reorganisation Scheme strictly in accordance with the Order as approved by Parliament and compensation has been paid only for looms actually scrapped under the Scheme. My right hon. Friend does not accept the view that there has been payment of compensation without a corresponding effective elimination of capacity.
§ Mr. ThorntonIn view of the uncertainty created by the Comptroller and Auditor General's Report, would it not be in the interests of the special committee of the Cotton Board, which I am sure has done a difficult job with great 304 efficiency, that there should be an inquiry into this matter?
§ Mr. MacphersonI do not think there is any uncertainty. It was known that there were some looms in store at the time when the scheme was made, but the scheme did not provide for compensation for looms in store. Some of the looms have perhaps been brought into operation because of the upsurge in demand. The Board of Trade's accounting officer is to appear before the Public Accounts Committee on 2nd March, and there will be an opportunity of going further into the matter then.
§ Mr. ThorntonIn view of the cases which I have called to the Parliamentary Secretary's attention, is it not necessary to have an investigation now, because, I repeat, a doubt emerges from the Comptroller and Auditor General's Report.
§ Mr. MacphersonAs I say, I think that there will be an opportunity of clearing up this doubt on 2nd March.