HC Deb 20 October 1915 vol 74 cc1806-7W
Sir A. MARKHAM

asked the Financial Secretary to the War Office if he will say the approximate price His Majesty's Government have allowed to the armament firms in this country for fuses made under the Krupp patents which expired in July 1914; whether the makers of fuses have added, with the consent of the Ordnance Department, a royalty charge of approximately 9d. per fuse to the price they have charged the Government?

Mr. FORSTER

It would be contrary to the understanding with contractors to give these prices, but in this case they are inclusive prices, and no doubt cover all the cost of production, including royalties or similar payments. The consent of the Ordnance Department was neither asked nor given to any addition to the price such as is suggested. The whole question raised by the agreement between the firms named and Messrs. Krupp and the destination of the so-called royalty is before the Law Officers, but neither of the British firms could expect either to pay the money to Krupp's under the present circumstances, or to credit it to themselves by way of extra profit.

Sir A. MARKHAM

asked the Financial Secretary to the War Office whether the Law Officers of the Crown have yet arrived at any decision whether the arrangement made by the Coventry Ordnance Works and Messrs. Vickers to continue to make royalty payments to Messrs. Krupp's for fuses for His Majesty's Government, though the said Krupp patent has expired, is legal?

Mr. FORSTER

No, Sir; the question is still under the consideration of the Law Officers.