HC Deb 25 June 1968 vol 767 cc226-8
23. Sir T. Beamish

asked the Chancellor of the Exchequer if he will amend the Exchange Control Regulations to prevent payments in foreign currency to convicted British traitors or their agents; and if he will give details of all sums known to have been so paid in the past.

27. Mr. Roebuck

asked the Chancellor of the Exchequer whether he will take steps, by legislation or otherwise, to ensure that persons living abroad do not benefit financially from the results of criminal activities in this country, for instance, by the receipt of royalties from writings describing their alleged exploits.

Mr. Harold Lever

I do not think it would be right for the Treasury to seek to operate through exchange control a moral censorship. Nor would it be practicable; the attempt would involve individual scrutiny by the Bank of England of the thousands of payments to non-residents generally for literary work or other current purposes on the chance of picking out the few considered objectionable. The delays imposed on perfectly legitimate transactions would be intolerable.

Sir T. Beamish

What kind of logic or morals are involved when one has to go through the inquisition of a means test before a fiver can be sent to an impoverished aunt living abroad, whereas there is no difficulty whatever in sending several thousand pounds to a convicted British traitor living abroad?

Mr. Lever

The payments to which the hon. Gentleman takes exception, which are not attractive to any right hon. or hon. Member, are covered by a general permission. The only way of dealing with this matter to the hon. Gentleman's satisfaction would be to abolish the general permission or, within it, to search through tens of thousands of applications in the hope of finding the odd one that was a payment of this kind.

Mr. Roebuck

Is my hon. Friend aware that his reply is not as satisfactory as his letter to me on this subject on 5th June last? Is he aware that many millions of honest taxpayers in this country get very angry indeed when they read about such things as £10,000 tax-free going to spies? Will my hon. Friend look at this question again?

Mr. Lever

My hon. Friend must not talk as though these payments are made to spies for spying. These payments are made under a general permission for literary and newspaper payments to be made. The only way in which I could control them would be to abolish this general permission and scrutinise each of the tens of thousands of applications individually, and the honest taxpayer would resent paying the cost of that far more than the dissatisfaction he feels at the money going to these thoroughly unworthy people.

Mr. Biggs-Davison

Is it really so difficult to pick out these very few cases? Thank goodness we do not have more than one or two traitors.

Mr. Lever

It is not a question of the number of traitors; it is the number of applications falling within this class. They amount to tens of thousands. It is not merely difficult, it is virtually impossible for me to pick out the two or three payments which are made per annum on this basis and segregate them from the others.

Mr. Arthur Lewis

Is it not a simple matter for the Chancellor to introduce a provision into the Finance Bill saying that no convicted criminal shall have money sent to him abroad?

Mr. Lever

I am afraid that when my hon. Friend has reflected on his simplist proposition he will not find that it commends the unanimous assent that he would suppose.