§ Q12. Mr. Thorpeasked the Prime Minister whether he is aware that in a recent case a Government Department claimed that they owed £10,000 to an 205W electrical contracting company for work carried out on airfields, and that after the bankruptcy of the firm and the death of its managing director it was discovered that the Department in fact owed the sum of £130,000; and what steps he will take to ensure that firms carrying out work for Government Departments receive proper payment and rapid clearance on completion of contracts.
§ The Prime MinisterI am aware of the facts of the particular case, which are that differences between what the firm claimed it was owed and what the Department could substantiate were settled, and the majority of the money paid, before bankruptcy. The managing director died five years after the bankruptcy.
All Government Departments are well aware of the importance of paying sums due promptly.