After receiving the money, the said Richard McKelvie stated that he did not wish all the money, 5l. 10s. being all that he required. Accordingly the balance was re-lodged.

A few days later, Richard McKelvie again called at the Bank and stated that he wished to lodge the money in his own name, that Mary Ralph was dead, and then it transpired that she had died on 4th September, two days before the above mentioned withdrawal.

After considering the facts, the Arbiter sent a form of declaration to be signed by the next of kin and asked the Bank to obtain the necessary signatures.

The father and two daughters called at the Bank, and with them also called Mrs. Mary Ralph or McKelvie, wife of Richard McKelvie, and mother of the deceased girl. It transpired at this meeting that the name of the deceased daughter was Bridget McKelvie and not Mary; the said Mary McKelvie stated that the money in the account did not belong to her deceased daughter, but to her, and as she could not write she had sent the girl to the bank with instructions to deposit the money in her maiden name.

In view of the conflicting evidence, the Arbiter held a Proof in Glasgow.

At that Proof conclusive evidence was given that although the account was taken in name of Mary Ralph, it was really the property of Mrs. Mary Ralph or McKelvie; that she carried on a hawking business and that it was from this source that the money was saved, but because she was most anxious to keep the existence of the money a secret she had instructed her daughter to deposit it in the Bank in her, the mother's, maiden name.

The other members of the family agreed that it was impossible for Bridget to have saved the money, and corroborated the mother's story. Award made that the money belonged to the mother, and for a new account to be opened in her name.

Treasury fee and expenses of Proof paid out of the account.

Deposits, Withdrawal of.

Alleged fraudulent withdrawal.

Falkirk & Counties Savings Bank. Mrs. Marion Prentice. 201. 13s. 2d.

Award, 3rd May.

The depositor claimed the sum of 10l. which she alleged was fraudulently withdrawn from her account in December 1926.

The Bank stated that at the date mentioned a withdrawal took place for 101. and an order purporting to be signed by the depositor, and duly witnessed, was produced to the Bank along with the bank pass book and the money paid, the witness, a Mary Stewart, signing the bank cash book for the money.

The Bank refused to admit that the signature was forged, as alleged, and after considerable correspondence, and interviews between the Bank, the depositor and the Police, the claim was referred to the Arbiter.

A Proof was allowed and held in Falkirk on 21st April 1927. An Agent appeared on behalf of the depositor. The Bank were also presented.

The depositor stated that on the night of 2nd December she discovered that her bank pass book was missing, and although she and her husband made a thorough search they failed to find it. The day after she called at the Bank and informed the teller of the loss of the book. The depositor stated that on being shown the withdrawal form for 101. and the receipt she there and then denied that the signature was hers, and that she knew nothing about the transaction. She thereafter reported the case to the Police.

The depositor admitted that she was in the habit of sending a messenger to the bank with a withdrawal form, and that on the occasion prior to the withdrawal of 101. in question she had authorised a Mrs. Beattie, a friend of hers, and who had at one time lodged in the house, to withdraw money for her. The forms used on both occasions were almost identical.

The depositor denied any knowledge of Mary Stewart.

The husband of the depositor was also examined and cross-examined, and he firmly averred that the signature for the withdrawal was not his wife's.

Other witnesses gave evidence as to the handwriting of the depositor. A handwriting expert was also called and gave his opinion that the writing was not that of the depositor.

The Actuary of the Bank was examined and gave information as to the method adopted by the Bank in connection with withdrawals of money. He was of opinion that the signature was very similar and was of opinion that an authorised withdrawal had been made.

On a review of the evidence adduced, the Arbiter formed the opinion that the withdrawal form for the 10l. was not signed by the depositor, but was a forgery and that accordingly she was entitled to have the amount credited to her account.

The Arbiter made a very lengthy Note on the subject of withdrawals from accounts by third parties, and arrived at the decision that there was room for considerable amendment in the Acts and Regulations so as to make it clear not only to the Banks but to depositors what methods. they should adopt in the case of an ordinary withdrawal.

The Arbiter found that there was no provision in the Savings Bank Acts and Regulations as to withdrawals excepting in special cases, and there was nothing as to the procedure to be adopted in the case of ordinary withdrawals; that being left to the rules of each bank.

In the Rules of the Falkirk & District Savings Bank there was a provision that the appointment of a third party to withdraw money on behalf of a depositor should be made in the form prescribed by the Committee or made by letter or order signed in the presence of a "credible witness." In this case it did not appear that the witness came under the definition of a credible witness as defined in the draft Suggestive Rules prepared for the guidance and reference of Savings Banks.

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From use and wont it appeared to be understood by some officers that the production of a pass book alone was sufficient warrant for paying the money over to the person presenting the book. The Arbiter found nothing to support this proposition.

The Arbiter further went on to suggest the form of document which should be signed in the case of the withdrawal by third parties. The Treasury fee and expenses of proof were paid out of the deposits.

11. Public Auditors.

Ten Public Auditors were removed from the List on death, 10 on resignation, 1 through failure to render a return of audits, 1 as a result of inefficient audits and 5 on removal from or ceasing to practise in the district for which they were appointed. In addition, 23 were removed from the List as no audits had been conducted by them for some years. The number of auditors included in the List for 1928 was 1,164. The average number of societies per Public Auditor of those required by statute to employ the services of a Public Auditor was 5.3 for England and Wales and 4.4 for Scotland.

The following table is compiled from the Returns made by Public Auditors and gives comparative particulars of audit work performed during the years 1926 and 1927 :—

† Disregarding quarterly or half-yearly audits.

Section 1 of the table relates to societies registered under the Industrial and Provident Societies Acts; section 2 to Societies and Branches registered under the the Friendly Societies Act (excluding Collecting Societies) and section 3 to Collecting Societies.

The fees shown in the last column are exclusive of additional charges in respect of travelling expenses or work done for the society outside the scope of the statutory audit. The average fees charged for the audit of a society were section 1, 187.; section 2, 87.; and section 3, 351. On an average each auditor received about 1007. in respect of his appoint

ment.

During the year more than 200 applications were made for appointment. In 46 of these the applicants had not the requisite qualification for appointment; in 28 they had not been in practice with the requisite qualifications for a sufficient period; and in 25 the names were noted for appointment when suitable vacancies arise. In the remaining cases, where the applicants were not recommended for appointment, the localities in which they practise were considered to be adequately served by Public Auditors already on the List.

12. Private Bills.

Reports on the following Private Bills were made to the Treasury and transmitted to the Lord Chairman and Chairman of Ways and Means :

Liverpool Corporation Bill.

Chelsea Borough Council (Superannuation and Pensions) Bill.
Southern Railway (Superannuation Fund) Bill.

Tyne Improvement Bill.

Scarborough Gas Company (Consolidation) Bill.

Yorkshire Electric Power Bill.

Wessex Electricity Bill.

Scottish Insurance Companies (Superannuation Fund) Provisional
Order.

Edinburgh Chartered Accountants Annuity &c. Fund, Provisional
Order.

13. Statutes and Statutory Regulations.

(A) The Trade Disputes and Trade Unions Act, 1927.

(17 & 18 Geo. 5. c. 22).

This Act amends the law relating to trade disputes and trade unions and, in particular, by section 4, the provisions of the Trade Union Act, 1913, as to the political fund; and by section 5 imposes certain conditions on organisations of which established civil servants may be members. Section 4 is as follows:

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4.—(1) It shall not be lawful to require any member of a trade union to make any contribution to the political fund of a trade union unless he has at some time after the commencement of this Act and before he is first after the thirty-first day of December, nineteen hundred and twenty-seven, required to make such a contribution delivered at the head office or some branch office of the trade union, notice in writing in the form set out in the First Schedule to this Act of his willingness to contribute to that fund and has not withdrawn the notice in manner hereinafter provided; and every member of a trade union who has not delivered such a notice as aforesaid, or who, having delivered such a notice, has withdrawn it in manner hereinafter provided, shall be deemed for the purposes of the Trade Union Act, 1913, to be a member who is exempt from the obligation to contribute to the political fund of the union, and references in that Act to a member who is so exempt shall be construed accordingly :

Provided that, if at any time a member of a trade union who has delivered such a notice as aforesaid gives notice of withdrawal thereof, delivered at the head office or at any branch office of the trade union, he shall be deemed for the purposes of this subsection to have withdrawn the notice as from the first day of January next after the delivery of the notice of withdrawal.

For the purposes of this subsection, a notice may be delivered personally or by any authorised agent and any notice shall be deemed to have been delivered at the head or a branch office of a trade union if it has been sent by post properly addressed to that office.

(2) All contributions to the political fund of a trade union from members of the trade union who are liable to contribute to that fund shall be levied and made separately from any contributions to the other funds of the trade union and no assets of the trade union, other than the amount raised by such a separate levy as aforesaid, shall be carried to that fund, and no assets of a trade union other than those forming part of the political fund shall be directly or indirectly applied or charged in furtherance of any political object to which section three of the Trade Union Act, 1913, applies; and any charge in contravention of this subsection shall be void.

(3) All rules of a trade union made and approved in accordance with the requirements of section three of the Trade Union Act, 1913, shall be amended so as to conform to the requirements of this Act, and as so amended shall be approved by the Registrar of Friendly Societies (in this Act referred to as "the Registrar ")