SINGAPORE TELEPHONE BOARD'S 1956 ANNUAL REPORT (Publication of fuller report)

Mr Lee Kuan Yew asked the Minister for Communications and Works why the Singapore Telephone Board's Annual Report for the year 1956 does not give more relevant information about the operations of the Board and its financial position for the year 1956, and whether he will take steps to see that a fuller report for 1956 is published.

Mr Francis Thomas: As pointed out in paragraph 14 of the S.T.B. Report under the heading 'Finance' the amount to be paid for the undertaking has not yet been agreed and consequently it is not possible to prepare comprehensive accounts which would give reliable information about the financial position of the Board. The hon. Member will appreciate that the actual cost of the undertaking is an essential basic factor in the light of which other accounting figures must be interpreted. I do not think that the Board should publish accounts from which this basic factor is omitted as they might be extremely misleading.

If the hon. Member will indicate to me what non-financial information he desires about the operations of the Board in 1956, I will see whether I can get it for him from the Board. Under the Ordinance however it is not within my power to send back to the Board its Report with instructions that it should be amplified.

The hon. Member will note that the Report in question is for 1956. If he will let me know what he considers should be in the 1957 Report, I can consider it and give what I think are suitable directions to the Board with regard to its 1957 Report. I hope in any case that it may be possible for the 1957 Report to give an indication of some of the financial aspects of the Board's operations.

Mr Lee Kuan Yew: Does the Minister for Transport and Communications understand that this House is at least entitled to as much information on the operations of the Board as any shareholder of a private company is entitled to, on the operations of a private limited company?

Mr Francis Thomas: I would in general agree to that proposition, Mr Speaker, but it does not alter the fact that if the price is not finalised, you cannot finalise your basic accounts.

Mr Lee Kuan Yew: He agreed with my first proposition; does he of not agree that the Report as published gives us no information whatsoever as to the operational expenses of the Board for the year in question?

Mr Francis Thomas: I would refer the hon. Member to my first answer to the question. The 1957 Report will be available in the not so distant future and we can consider what should be in that Report.

Mr Lee Kuan Yew: We are now discussing the 1956 Report and what I would like to know from the Minister is why were the operational accounts excluded from this Report? Surely, apart from the question of the compensation to be paid to the O.T.E.C. and the price on capital which is to be paid as compensation, we ought to know just how much was spent in that year?

Mr Francis Thomas: I must again refer the hon. Member to my first remarks. Accounts which were published showing only the operational workings of the year might be extremely misleading not only to the public in Singapore and to Members of this House but even conceivably to the arbitration tribunal.