§ Mr. Dalyellasked the Secretary of State for Defence what financial payment his Department is making to Mr. Jim Smith following disclosures by him to the Department which led to £400,000 excess profits being recovered by the Department in respect of defence contracts placed with his then employer; and if he will make a statement.
§ Mr. Norman LamontThe recovery by the Ministry of Defence of a sum of £421,000 followed from post costing of contracts initiated by the Ministry as part of its normal procedures and as the result also of information provided by the company concerned. No question of any payment to Mr. Smith arises. On the general question of rewards to informants, I have nothing to add to the Treasury minute (Cmnd. 9638) in reply to the 25th report from the Committee of Public Accounts, Session 1984–85, or to the evidence given to the Committee of Public 215W Accounts by Ministry of Defence officials in open session on 18 November 1985. The minutes of evidence are to be published shortly.
§ Mr. Dalyellasked the Secretary of State for Defence if he will place in the Library copies of communications exchanged between Mr. Jim Smith and his Department in relation to excess profits charged by Aish Ltd. on defence contracts; and if he will make a statement.
§ Mr. Norman LamontI am prepared to place in the Library copies of communications exchanged with Mr. J. Smith about additional profits secured by Aish and Company on defence contracts, provided that the hon. Member is satisfied that Mr. Smith would have no objection to publication of this correspondence.