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Q.---Nrell. then, this occasion where you handed it to the General Man- ager when Mr. Whittaker was pres- 'ent. just explain that. A.--Nrel1, if I remember rightly, on that occasion le had phoned down for a. certain amount of money; either that or he 9had come down and told me. hind Seen Mr. Smith in Bank. "Did Mr. Mason tell you that he wanted any of this money for Mr. Smith?" A.---ua I stated before, he said it was going back through the Provincial Treasurer.. After a, vigorous exchange be- tween Mr. Currie. Mr. Doherty and Chairman. Finlayson as to Mr. Cur- rie's right to ask questions on. Mr. Calvert's opinions. during which Mr. Finlayson laid it down plainly that he was running the c'ommittee and would have it conducted properly, Mr. Currie asked: Q.---were there any circumstances which led you to believe that this money did not go to the Province? Witness said he had never CS- postulated about the way things were being done at the bank. "He wayxunning the bank." he said. Q.---And who was the Provincial Treaaurer't A.--Hon. Peter Smith. Q.---So that Mr. Mason told you this money was going back to the Provincial Treasury through Mr. Smith? A.--Yem oMee at the time. I believe Mr. Whittaker was not there. He was alone. Q.---Did you ever hand it to the General Manager in his own oMee't A.---q don't think I did. I don't recollect having done so. _ . - A.--wen, Tt was tile" instriucrtiibvri "6f the General Manager. Q.---ahrhat did he say when he phoned down, do you recollect? A. ---What he usually said was he wanted to make an extra payment ot 1 per cent. and told me the amount. Q.--For the Province of Ontario? A.-.lor the Province of Ontario. Mr. Calvert remembered three or four occasions when Mr. Smith was in the bank; on onn of which he brought a party in and introduced him and wanted to get some small ttnancial accommodation for him, 12.---on other occasions did you see Mr. Smith in the bank? A.--At least two other occasions 1 have known that he was in the bank; had seen him coming in or going out of or hidden account? A.--n was paid l in the manner I have described. i Q.---Mrhere did Richardson's go'.'; A.--Direct to Mr. Richardson. Q.---) you expect one would go one way and the other another?; Didn't you think it strange he had , ty tttyy legals to pay this interest?'! Q.--Had to pay it to whom? A.--- He said it went back to the Prov- ince through the Provincial Treas- urer. Q.---Why didn't you? A.--My in.. structions were to charge it to our interest account. J. A. Currie cross-examined on the same point as to conversations and instructions from Mason regarding the debit slips covering the various amounts. __ Q.--Went back to the Province. through the Provincial Treasurer? A.----), air. Q.--Aro you satisfied that money went back to tho Province? A.---" cannot swear to that. sir. Ct.--What did you do for 1h» rest of the Envy-{wt acmunt'.' A.--tt was naid in the regular way. Regular Way Not Followed. Q.--Have you ever made an can-try in the bank 'books against the Prov- ince for this? A.-No, sir. "ia.LL..At" the time any of these pay- ment were made? A.--les, pin A_ the bank. "i-Li'ridt. for? A.---Mty said he had to pay it. _ - - - Q.---1rhiar was credited to the ac- count of the Province? A.--uNo, sun. Q,---in other words, it was a latent "ii.L--ssrhat did he say? A.---He told me that he wanted the 1 per cent. on the account. A Q.---What was the regular wav." A.--Their account was credlt~ed with it. Caivrelan "ro. ' ' "It became immediately evident, Io ttpulse war? me," he said, "that other matters '5 credit;d 'were going to come under investiga- ition, and I ftlt that it was only to the ac- proper and right that the late Pro- A.---uNo a, Jvlncxal Treasurer should appear be- . iil'tiiiii fore the committee after all of the was a. " {investigations which were to be in- l,v,et,u,rey?,' had been completed, so to _-_........:A (I thsat ho mini-u» and..." I . . other sources. the matter has pro- gressed to the point now where it is indicated that criminal action is in- evitable and is desirable and will be started. The matter will be pro- 2eeded with in the courts. "In view of that I feel that the investigation before the courts will be thorough. It will be impartial. The ends of justice will be served. And in view ot that I Just wanted to tell the committee that I have thought it only right to announce to the committee that, in view of these criminal proceedings in the courts, it is not my intention to subpoena the late Provincial Try urer" "I withdrew my motion, which had not been put to the committee, with the intention of calling the late Pro.. vincial Treasurer later. when the in- vwstigation had. proceeded to the point where we felt that the matters which were likely to be investigated had been investigated. "In the meantime the matters under investigation and the evidence adduced indicate that the charges are very much more Marin": 1hon T are very much more serious than I had any expectation or, and, from what has been said by the Prime Minister and has been indicated from 7 -'---_.r.. vngU LU I": m- vestlgated had been completed, so that he might fairly bugiven an op- portunity to reply and answer any accusatioqs that had been made. _ Mr. Doherty's statemnnt at thes commencement of the session came as a, surprise to committeemen gem erally. A few weeks ago, he said. he had had a motion prepared for the appearance of the former Pro- vincial Treasurer. l Mr. McKeown referred to apparent ; payment dn March 1, 1922. of $4,000, ire Province of Ontario interest. '. Q.--On March l, exhibit 101 'ietrtatrlishea the payment of $4,000 :interest re Province of Ontario ac- .' Q.--And he never said a." the time git was going to the Treasury? A.--- gNo. sir. l Q.--You are not making charges. 'You had your own idea, about that? A.---iruat as he told me. It went to jthe Treasury. count, and the "paid" would indi- cate that on that date the General Manager had an appointment with the Hon. Peter? A.--lcas, sir. Mr. McCrea---Now, these payments of f per cent. interest on the Province of Ontario deposits never went into the Province of Ontario account in the Home Bank? A.-- No. sir. lion. Manning Doherty ems."- exmnincd both Miss Virtue and Mr. Calvert after their examinations by Mr. Price and elicited from both the statement that. so far as their ner- sonai knowledge went. they could' not swear that the various commis- Rion amounts drawn by Mr. Mason even went beyond Mr. Mason's hands. Mr. Daherty Surprises Committee. Q.--You thought if that monny was going to the Treasury it should be passed in the regular way, did you not? A.--well, I would 5rott0P- times. but he didn't always say it was 'toingt back to the Treasury. He. said that at the start. Q.--Did you Inter it was lost rm the way up from the bank to the Treasury here? A.--, don't like to make inferences under oath. I cannot answer that. sir. - WV __-'. Payment in Currency Suspicious. The Chairman-Mr. Currie has asked you if there were any circum- stances surrounding the transaction that appeared suspicious. A.-98rell. tho payment in 005318 might be so considered. Q.---You know very well that there were. Tell us what you thought was wrong about the transaction. A.--. were. .--a cannot say. sir, that there