On 24 July 1978, Bill Grayden resigned from the Ministry after pleading guilty to two charges of unlawful assault on police officers, and one of unlawful damage to a police car. Ray O'Connor was appointed as Acting Minister covering all three of Grayden's portfolios and was formally sworn in by the Governor on 7 August 1978. Ray Young was promoted to the Ministry. A number of significant portfolio changes occurred on 25 August 1978, resulting from a split within the NCP leading to half of its MP's, along with its state president, forming a breakaway National Party. Both of the NCP Ministers stayed with the original party.
