down two percent, Finance Minister the Hon. David Saul told the House during the budget debate on his Ministry yesterday. This is due to a downturn in imports, MPs heard.

But the department would still bring in about $127 million to Government coffers this year, he said.

National Liberal Party leader Mr. Gilbert Darrell said it was a disservice to residents that they had to open their parcels in public while a Customs officer inspected them.

"It can be embarrassing,'' he said. "Something needs to be done. I think it's a discourtesy to anybody who goes to the post office that their package can be opened in front of everybody.'' Turning to the Airport, he said St. George's was being shortchanged when it came to wharfage income. The Corporation of St. George's should be treated the same as that of Hamilton, he added.

Referring to recent infringements of customs regulations by a hotel, Mr.

Eugene Blakeney (PLP) called for businesses to be identified if they break the rules, as individuals were.

Mr. Phillip Smith (UBP) said the Corporation of St. George's should get at least $1 million a year to match the town's importance to Bermuda as a tourist centre. The corporation had a "very, very severe deficit'' and could not raise enough in taxes.

He called for tougher penalties for evaders of customs duties.

But Dr. Saul said penalties were quite severe: "I don't think anyone is getting away with anything there''.

On Mr. Darrell's point about St. George's, he said the town should not be mixed up with the parish. The Airport was being shared.

On opening parcels at post offices, he pointed out other customers are supposed to stand back.

Turning to the Post Office budget, Dr. Saul said income from stamp collectors had shrunk following the fall in tourism and a loss of interest due to the recession.

But the Post Office was effective and efficient and continued to pay its way.

Old PO boxes are being replaced, he said.

Shadow Finance Minister Mr. Eugene Cox brought up the recent controversy surrounding the Post Office's rejection of gombey stamp designs by artist Mr.

Graeme Outerbridge, the former NLP chairman.

"If we are promoting cultural tourism, then what better way to do this,'' he asked.

Confessing he was a philatelist himself, Dr. Saul outlined the role of the stamp design advisory committee, consisting of collectors and artists. A design has to look good, interest Bermudians, advertise the Island, and be profitable, he said.

Local people are encouraged to send in ideas and even designs, he said. "Some of them have turned out to be very fine stamps.'' Without naming Mr. Outerbridge, he said the artist had "taken it upon himself'' to design five gombey stamps. The committee thought a gombey would be a very good representation of the Island's culture, but did not think a whole series would be sensible, saleable or a success.

"His interest and his design have been acknowledged. They thanked him and then told him no thanks.'' It did not become anyone to go to the Press, say their idea had been turned down, and then add lots of innuendo.

Dr. Saul said a series of Bermudian culture stamps was planned for the near future, and one would unquestionably have a gombey design.

On matters of taste, he added, one man's meat was another man's poison. On the statistics department Mr. Cox asked what response researchers got from banks and other private institutions, which had been reluctant to give out information in the past.

He said "independent'' institutions like the Bermuda College should be allowed to evaluate research.

Mr. Darrell called for less secrecy from businesses, for example on top peoples' salaries.

Mr. Stuart Hayward (Ind) said all statistics should be standardised. Mr.

Blakeney said maybe laws were needed to enable the department to get information on wages.

Dr. Saul said census information was required by law. But much financial information was given in confidence, and not even he could see it.

Government does get "objective'' and highly-respected analysis, he said. And it got excellent co-operation from business on statistics.

On standardisation, he said Government was working on it.

After questions from Mr. Nelson Bascome (PLP) and Mr. David Dyer (UBP) on qualifications for social insurance benefits, Dr. Saul said if a lot of people were shown to be missing out, then laws could be changed.

Discussing the Tax Commissioner's Office, Dr. Saul joked that this department is the one to buy shares in.

He noted it only had a staff of 14; had revenue of $85.6 million and expenditure of only $729,000.

Dr. Saul noted that while hospital levy had increased from $47.5 million to $49.4 million, hotel occupancy taxes remained the same.

He added that the revenue estimate was down a bit due to the recession.

Mr. Cox asked Dr. Saul to explain its plan to review the tax system.

And he questioned what qualifications an outside expert helping with the review would have.

Mr. Darrell stressed that increases in hospital levy and hotel occupancy taxes put an additional burden on small businesses and ultimately the consumer.

Dr. Saul said while it was true increased taxes would affect small businesses and consumers, the western world was moving away from direct taxes to consumer-based taxes.

Responding to Mr. Cox, he said while Bermuda has some "very professional experts'' it is wise to have someone from the outside assisting in the review in order to give "that objective view''.

Dr. Saul said the Registrar of Companies was another highly professional Government department that finds itself earning revenue with a small employee base.

He said there are 15 staff. The department has a revenue of $26 million and most of that comes from international companies.

Dr. Saul said the department managed to reduce overtime and salaries through "higher levels of efficiency out of everyone''.

He also said the department's insurance advisory committee is able to screen all companies applying to do business in Bermuda and advise his Ministry whether it is worth having the company in Bermuda.

"Through that vetting we have been able to cut down on a number of companies coming to Bermuda which would not have done well,'' Dr. Saul said.

Occasionally outside consultants are need to help wind up international companies, such as Mentor.

But Mr. Cox questioned why Government allowed United Security Life to continue moving assets overseas even though the Trinidad-based company was failing.

And Mr. Cox read a letter from one of his Sandys North constituents who lost about $10,000 put aside for her son's education.

Mr. Cox said the widowed-mother was counting on getting that amount back in August 1992.

He suggested that Government should provide some kind of special scholarship for those who have found themselves in such situations due to the insurance company's collapse.

Dr. Saul , however, stressed that United Security Life was a "non-resident insurance undertaking'' and not a local company.

He said the Registrar of Companies was barred by law from getting involved until last spring when an application was made to the Supreme Court to amend the law.

"No money was sent out after we made an amendment to the law,'' he added.

MINISTRY OF FINANCE, 1993 994 ESTIMATES Ministry of Finance, 1993/4 estimates Ministry responsibility: "To supervise the economy of Bermuda generally and to provide overall financial management and control of all government activities.'' Budget estimate $41,502,000 (last year 39,699,000) Budget allocation Ministry of Finance HQ $884,000 Accountant General $19.615,000 Customs $6,572,000 Post Office $7,990,000 Statistics $932,000 Social Insurance $907,000 Tax Commissioner $729,000 Registrar of Companies $1,251,000 Rent Commissioner $174,000 Computer systems and services $2,448,000.