Part 3: Folkestone & Hythe District Council Financial Irregularities
In this final piece (for now) we look at at very specific part of the time line in the P & R potential £1.5 million pound fraud which came about as a result of failings of previous management and poor governance at the subsidiary, of Bilby Plc. Poor management and poor governance of East Kent Housing (EKH) by the four Councils, who own EKH, has also been substantiated.
In Feb/March 2018, EKH employed a Chartered Surveyor who was tasked to discover if evidence of overcharging by P & R had happened. His report strongly suggested that it had.
In May 2018, East Kent Audit Partnership began an audit on East Kent Housing management of the contracts they managed for Canterbury, Dover, Folkestone & Hythe and Thanet Councils. This was released in Oct 2018 to each of the Councils. However, the first draft in July 2018, was discussed with EKH former Chief Exec Deborah Upton and former Director of Property Services, Mark Anderson, to agree factual accuracy. This report made it clear that overcharging was more likely than not, intentional rather than error.
In early July 2018, Folkestone & Hythe District Council’s robust financial systems did not identify the overcharging in 2017/18. We know the Council did not have robust financial systems as it was impossible for the Council to discover overcharging. We know this because the Council stated:
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The Council does not hold a list of all overpayments and I am therefore not able to provide it to you. We have explored the available routes but we neither hold this information nor are able to generate it.
Keep pushing as you’re heading in the right direction
There are clearly some very serious irregularities in the management of this contract. At what point do the police become involved, or are all the parties desperate to prevent that from happening?
I think the questions need to be more specific, why did Ms “I’m an important lawyer and director of governance at Christchurch university” Upton not call the police , after all this is the third social housing provider that she has been in charge of where fraud and overcharging has been discovered.
She certainly should have had the experience and expertise to recognise fraud when she sees it let alone be told about it from multiple sources!
And more importantly why on gods earth have the four chief exec’s and sec 151 officers not called the police to investigate her, after all we are talking about millions of pounds of PUBLIC MONEY !!!
These are very valid questions to pose. I wonder if the lack of police involvement stems from (and I am happy to be proved wrong) the involvement of the insurers representing the 4 councils and East Kent Housing. I don’t know who the insurers are and the link below to Zurich is explanatory only. However, if the 4 Councils/East Kent Housing have taken out insurance cover to protect themselves against e.g. fraud or the failure of a supply chain partner then the insurers will assume responsibility for dealing with any potential claims. It may be worth Shepway Vox submitting FOI requests to each authority and East Kent Housing asking for details of their insurance coverage.
https://www.zurich.co.uk/municipal/en-gb/insurance-products/local-authorities