HL Deb 05 December 1974 vol 355 cc294-6
Lord SAINSBURY

My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

The Question was as follows:

To ask Her Majesty's Government whether they can confirm reports that £250,000 of British aid to Grenada, earmarked for such specific projects as the extension of the airport, and the construction of bridges, roads and primary schools, has been diverted to other purposes by the Prime Minister of Grenada including payments to his personal police force.

Baroness LLEWELYN-DAVIES of HASTOE

My Lords, the Grenada Government were recently unable to pay certain bills for development projects, although aid funds to cover these projects had been advanced by Her Majesty's Government. I am however glad to inform noble Lords that the Grenada Government have now agreed to repay these funds.

Lord SAINSBURY

My Lords, while thanking my noble friend for that Answer, may I ask whether she would not agree that in 1962 when Mr. Gairy was the Chief Minister of the Island he had to be deposed for misappropriation of public funds, and a Treasury representative had to be sent out—I put it that way—to clean up the books? Secondly, does she not feel that the advice which we were given locally, that Gairy would change the colour of his spots when he was granted independence, has proved wrong?

Baroness LLEWELYN-DAVIES of HASTOE

My Lords, I am not an expert on leopards, but, nevertheless, I am of course fully aware—as were Her Majesty's Government at the time of independence—of the White Paper of 1962, which investigated the financial situation of that time. I am quite sure that noble Lords will be relieved to know that a different form of paying aid funds will now apply to Grenada—and to other countries—whereby advances are replaced by reimbursing certified claims.

The Earl of ONSLOW

My Lords, would the noble Baroness answer the last part of the Question about payment to the personal police force? Were Her Majesty's Government aware of this matter and, if so, for how long? How can they ensure that this money does not again go to abuses of a similar kind?

Baroness LLEWELYN-DAVIES of HASTOE

My Lords, I think I have explained that under the new system there will not be abuses. We have no precise information about the particular application of these funds to the "police force", but again noble Lords will be delighted to know that, on Mr. Gairy's assurance, the "police force" has now been disbanded.

The Earl of ONSLOW

My Lords, what is Mr. Gairy's assurance worth?

Lord PANNELL

My Lords, is the noble Baroness aware that when she refers to the Government, or when questions refer to the Government, the reference is not to this Government but to the previous Government?

Lord REIGATE

My Lords, is the noble Baroness aware that, as someone who first knew Mr. Gairy in 1953, none of these facts come as any great surprise to me? Could she say exactly what type of official control in the Island there is to ensure that monies are not spent as quite obviously they have been in the past?

Baroness LLEWELYN-DAVIES of HASTOE

My Lords, there will now be two different kinds of accounts, one in the Island which will be supervised by our people from Barbados, and secondly contractors in this country will be paid here.

Lord BROCKWAY

My Lords, is the Minister aware that, uniquely in this case, many of us opposed independence because of the private Police State run by the Prime Minister? Do not the facts since show that we were correct in that opposition and in welcoming the Government's intention to revise a system in which aid is declared? Have the Government any more reason today to believe the Prime Minister than they had when independence was granted?

Baroness LLEWELYN-DAVIES of HASTOE

My Lords, it must indeed have been a unique occasion for my noble friend to have opposed independence—and I may add, so did the present Government who were then in opposition. Independence was in fact granted by the Party opposite even though we voted against it. Nevertheless, I think we must remember that we all have at heart the welfare of the people of Grenada, and that we must continue to give aid to what is a lovely and potentially prosperous Island.