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Hostile exchanges at Audit Committee

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jacob williamsCouncil’s Director of Development’s, presentation to Monday’s (Sept 22) Extraordinary Audit Committee has raised considerably more questions about grants scandal in Pembroke Dock than it answered. The thrust of Dr Jones’ lengthy address to the committee was, essentially, that where – in his words – “the irregularity” had occurred it was the fault of everyone but him or his department. Doctor Jones began by blaming the Welsh European Funding Office (WEFO) for approving a manual for the Commercial Property Grants Scheme that had “weaknesses”. His European Manager, Gwyn Evans, had written the manual, but any problems with it were clearly WEFO’s fault. And if WEFO weren’t at fault then there were all sorts of other compelling reasons (or possibly excuses) that Dr Jones could offer up. In public session, Dr Jones alleged that issues that had arisen with the Pembroke and Pembroke Dock grants schemes were all to do with the activities of one developer exploiting “loopholes” in the system. Further and in addition, Dr Jones averred that some problems had arisen because of increased workload and staffing shortages. On the one hand Dr Jones pointed out that the number of staff and projects for which he and his department had risen and on the other he pointed out that staff shortages had caused problems to arise. The failure, to replace a key manager and plan adequately for one member of staff’s maternity leave, were offered up as reasons why problems had arisen in project management.

DEPARTMENT UNDERSTAFFED’ At one point, Dr Jones sought to demonstrate that whereas there were once 18 members of staff under the Head of Regeneration (a manager’s post), he now had 94 members of staff as Director of Development (a director’s post). Any sympathy most members of the Committee might have felt for the £130k+ a year Dr Jones was somewhat moderated by the fact that the overwhelming majority of those “new” posts are actually contractors engaged with the Council’s partners – such as the Futureworks initiative organised in concert with the DWP. In a thinly veiled attempt to put pressure on councillors, he three times said that it was up to councillors to decide whether they wanted the benefit of grant-aided investment in Pembrokeshire and were willing to make funds available to ensure that grants could be administered properly. Of course, Dr Jones never admitted any problems existed before – whether in staffing levels, workload or administrative burden. On the contrary, before the same Committee in January Dr Jones asserted confidently that any issues uncovered would be trivial in nature. Back in January, Dr Jones had claimed that any problems with the grants would amount to the equivalent of a few bread rolls a day lost from the canteen. As it happens, using only the figures before the Audit Committee that would mean that – at 15p per bread roll – something like 900,000 bread rolls over a calendar year, or nearly 2,500 a day h a d gone walk about on Dr Jones’ watch. But he did not apologise. He expressed “disappointment”. As a display of patronising chutzpah before the Audit Committee, it was only equalled by the continued protestations of European Manager Gwyn Evans that whatever had gone wrong it was nothing to do with him. In all of these protestations, Dr Jones and Mr Evans were dealt with in soothing and understanding tones by the newly-elected Chair of the Audit Committee, Peter Jones. Formerly of Morgan Cole Solicitors and presently legal counsel to Swansea University and Chair of Swansea Bay Futures, Mr Jones’ role appeared to be less to encourage rigorous scrutiny and investigation than to accept everything the Committee were told by officers at face value. In the absence of the Head of Legal Services, Huw Miller, and the Council’s own Monitoring Officer, Laurence Harding – it appeared that Mr Jones’ appointment was – at times – particularly fortuitous, due to his extensive legal experience heading a major law firm.

JONES THE LEGAL EAGLE Prepared to deploy his undoubtedly deep legal knowledge when it was most advantageous to the culture which allows £125,000 to be treated like loose change lost behind a sofa cushion, Mr Jones managed to appear to contradict two senior officers (Kerry MacDermott and Jon Haswell). Both of whom agreed with Cllr Jacob Williams that key documents and correspondence relating to negotiations between the Council and Mr Cathal McCosker (Dr Steven Jones’ ‘lone gunman’) could be examined by councillors on the Audit Committee as of right. That is not to say that everything was plain sailing. The Chair was visibly narked and exasperated by the efforts of Cllr Jacob Williams to extract even the merest scintilla of an apology from Dr Jones or Mr Evans. On the basis that evidence is literally ‘that which can be seen’, Mr Jones appeared impatient when Cllr Williams continued to point out that the problem was not necessarily the old procedural manual but the failure to adhere to it. Cllr Williams continued to press on in the teeth of the Chair’s rising impatience with his wish to actually hold someone to account for the repeated and manifest failings of the Council’s Development Directorate and Regeneration Unit. Cllr Williams pointed out that the Council’s own manual provided that bank statements should have been produced to show expenditure had been incurred. Offering a legal opinion based on his professional practice, Mr Jones disagreed. What Mr Jones’ keen legal mind did not pick up on, however, was that the procedural manual was a document produced by Pembrokeshire County Council for its own use. It was only approved by WEFO. The manual’s author was before the committee. Going increasing red at the back of his neck, Gwyn Evans failed to explain why he had included something in the original manual that he and his department had no intention of enforcing. He ventured to say that it would not be practical. And the Chair nodded sagely; but Mr Evans could not or did not explain that if his own procedural manual was impractical why he did not realise that and change it to reflect practicalities before any issues arose.

SAY SORRY TO STODDART Cllr Jacob Williams landed a telling blow by following up a point made earlier by Cllr Guy Woodham. Cllr Williams asked why all of the issues that Dr Jones now prayed in aid of his department had not been acknowledged before. Why, in particular, did Dr Jones persist in saying that nobody could have known what was wrong when clear evidence had been presented by Cllr Mike Stoddart at the time that something was amiss? Cllrs Woodham and Williams suggested that officers should apologise to Cllr Stoddart for the way they had previously dealt with his concerns. Councillor Williams went so far as to say that a systematic attempt had been made “to rubbish” the Hakin representative. Dr Jones pointedly declined to apologise and the Council’s European Manager, Gwyn Evans, remarkably said he stood by the content of a public FAQ document which had been shown to be factually incorrect. It was hard to determine whether either officer was intentionally or unintentionally patronising. If the word ‘sorry’ was in their minds, it was rapidly strangled before it could be uttered. Peter Jones, of course, would have been a stranger to the intricacies of the discussion before him. It did not matter how well briefed and prepared he was, the ins and outs of the grants scandal and the efforts of the Council to cover it up were not on his radar.

STODDART GETS A SAY In the teeth of Chair’s bemusement, Cllrs Woodham and Williams proposed that Cllr Stoddart address the meeting. Cllr John Allen Mirehouse gracelessly consented. Two officers, Kerry MacDermott and Jon Haswell, pointed out that as Cllr Stoddart had been invited to address the panel previously on this matter he should be asked to share his thoughts. Cllr Stoddart offered some constructive views on the way forward and agreed that the proposals in the new procedural manual and checklist proposed went some way to tackling concerns. Indeed, Cllr Stoddart seemed to have gained an ally in Jon Haswell, who agreed with him that a very basic amendment could resolve an issue which had plagued the whole grants scheme. Gwyn Evans disagreed. Peter Jones leapt in to Mr Evans’ defence. Mr Haswell was not deflected and persisted with his view. With the Chairman looking at his watch, the meeting ended shambolically and unsatisfactorily with a spat between Cllrs Mirehouse and Stoddart. Peter Jones, seemingly taking the position that the Audit Committee had no choice but to approve the documents before them, drew the meeting to a quick close at the behest of Cllrs Mirehouse and Tom Richards.

 

1 Comment

1 Comment

  1. tomos

    November 14, 2014 at 4:15 pm

    Why do these guys keep digging when they’re in a hole?

    BPJ is no longer there to protect them If they are imbeciles or incompetent, these cocky public servants should realise they now have to report correctly and properly TO US, perhaps they should apologise and hope the police aren’t investigating – are they still ?

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News

Fire crews at large house fire in Letterston as road closed

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Emergency services respond in Station Road area while firefighters tackle blaze

FIRE crews are dealing with a large house fire in the Station Road area of Letterston this afternoon (Apr 15), with the road currently closed off while emergency services remain at the scene.

The Herald understands firefighters are in attendance at the property and efforts to bring the blaze under control are ongoing.

Motorists are being urged to avoid the area while the incident is dealt with.

There is currently no official word on whether anyone has been injured.

The Herald has approached the emergency services for comment.

 

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Community

Police investigate reports of door-to-door salespeople in Milford Haven and Johnston

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Residents urged to stay alert as officers carry out patrols and work to establish whether the callers are legitimate

MILFORD HAVEN and Neyland Police said they are aware of concerns raised by residents following reports of door-to-door salespeople operating in the Milford Haven and Johnston area.

Local officers, together with neighbourhood policing and prevention teams, are working to establish the legitimacy of those involved and will be carrying out patrols while enquiries continue.

In the meantime, members of the public are being advised to familiarise themselves with crime prevention advice relating to unwanted visitors, which is available on the force’s website.

Anyone with information that could assist enquiries is asked to get in touch online, by email at [email protected], by direct message on social media, or by calling 101.

In an emergency, always dial 999.

Alternatively, information can be passed anonymously to the independent charity Crimestoppers by calling 0800 555 111 or visiting its website.

 

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Haverfordwest County AFC escapes winding-up order but ordered to pay costs

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Club avoided liquidation in case remained live until it came before a judge at the High Court in London

A WINDING-UP petition brought by HM Revenue & Customs against Haverfordwest County AFC Ltd reached the High Court in London before being dismissed on Wednesday (Apr 15).

The case was heard at 12:00pm at the Rolls Building.

Court officials later confirmed to The Herald that the petition had been dismissed, with the company ordered to pay costs.

While the dismissal means the club has avoided compulsory liquidation, the fact that the matter progressed to a High Court hearing – and resulted in a costs order against the company – underlines the seriousness of the proceedings.

Before the hearing, the club had repeatedly sought to downplay the issue. Last week, chairman Rob Edwards described the petition as “a non-story”, stating it related to “a VAT offset against PAYE that wasn’t recorded”. He insisted the matter had been rectified, that no debt was owed to HMRC, and that a request to withdraw the petition had already been submitted to the court.

High court costs bill: Chairman Rob Edwards

The club subsequently issued a statement claiming there was “no debt owed to HMRC” and that the petition “has been withdrawn by HMRC”.

However, HM Courts & Tribunals Service twice confirmed to The Herald prior to the hearing that the petition remained active and listed for 12:00pm on 15 April. The case remained listed until it came before the judge on Wednesday.

The imposition of a costs order is particularly notable.

It represents a formal court direction requiring Haverfordwest County AFC Ltd to meet the legal costs arising from the petition.

Thankfully, Haverfordwest County AFC has avoided the most severe outcome – a winding-up order that would have threatened the club’s future.

However, the High Court proceedings make clear that this was never a dormant or inconsequential entry on the court list. It was a live HMRC petition that required judicial attention at the Rolls Building and has now left the company with legal expenses to pay.

 

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