[?]Inister Admits Loss And

[?]ditor-General's Charges

Inefficiency In Papua-Ng

Unwillingness cf capable officials to serve in Papua-New Guinea was eason for waste and inefficiency in Territory projects, said the Australian leral Minister of Works (Mr. Kent Hughes) when replying in Parliament barges of maladministration of his department’s projects in Papua-New inea.

UTICISM contained in the 11954-55 report of the Auditor feeneral is at several points ilar to criticism levelled Ernes against certain depart ital activities in other Pacific nd territories, notably Fiji and Item Samoa. he Auditor-General (Mr. J. phy) said: “The seriousness of lack of adequate accounting and trol over public funds in Papua f New Guinea cannot be too ugly emphasised.” he report states that although ►expenditure had been reduced day-labour projects, the position Id not be considered satisfactory, his included: Lack of adequate design and [ard planning, and faulty cost nation; Insufficient supervision of work fogress and over-expenditure of Is: Performance of additional work put authority, and failure to ess cost variations promptly [to guard incorrect work and

payments.

E report stated that economic development and the demand for administrative facilities in [Guinea and Papua had out ped the Administration both ibney and manpower, rears of accounting and other lously reported unsatisfactory ires had not been adjusted, he inadequacy of storage [ties and excessive stocks again ributed to substantial losses by jioration,” it continued, adding: bntly £3,000 worth of rice was binned as unfit, due to bad ge” e report stated that the Rung unsatisfactory features aoned in last year’s report still ed; adequate control of payment of s to natives; failure to account Irticles manufactured by native

trainees and copra produced in native school grounds; unsatis factory accounting at agricultural establishments.

Varying charges for hospitals and medical fees and some overtime payments to customs officers for private work were being met from public funds, it added.

WHEN making his reply at Canberra, the Minister of Works said that good men were unwilling to work in the Territory because they often missed promotions when they returned to Australia.

He said his department was well aware of the laxity of control in the Territory, and was taking steps to remedy it. Because of the wide ramifications of the department, mistakes had to occur, as neither he nor his officers were perfect.

The Auditor-General’s report, said Mr. Kent Hughes, only con firmed the reports of his officers who had made an inspection 12 months ago.