A “DISAPPOINTED” Slough Conservative leader criticised an investigation into the purchase of the council’s £41m headquarters ‘for not going far enough’.
Cllr Dexter Smith (Con: Colnbrook with Poyle) told external auditors Grant Thornton that their report did not delve too deep into how the council purchased Observatory House in Windsor Road.
Grant Thornton highlighted ‘significant failings in governance’ and transparency in buying the building in 2018 as leading councillors did not have enough information or financial risks to inform their decision nor was the cabinet given alternative options to consider.
A local elector demanded a public interest report to be produced on the purchase and to apply to the court as an unlawful item of account. However, the auditors decided not to uphold this but implemented statutory recommendations for the council to change its processes when dealing with large-scale acquisitions.
READ MORE: 'Significant failings' found in Slough Council's £41m HQ purchase
Speaking on Wednesday, February 22, Julie Masci from Grant Thornton said they have concluded the matter won’t be taking it forward nor they won’t be interviewing the two senior officers, now resigned, and the lead member mentioned in the report.
They used information from the minutes of the confidential meetings, which are not public, to inform their decision.
Cllr Smith said: “I am somewhat disappointed that it appears [the investigation] is not going further and I think it’s important to dwell on the fact that this was the largest purchase of a single asset the council has ever made.
“As the auditors have found, there was little or no attempt to check value for money in making that purchase and that matter was never resolved by the full council. It was resolved by the cabinet.
“I find it difficult given the fact the auditors are saying they disclaimed their opinion because of a lack of material evidence available but they can be so conclusive to say that this inquiry shouldn’t be taken forward.”
The chairman of the audit and corporate governance committee, Cllr Paul Kelly (Con: Haymill & Lynch Hill) criticised the report for mentioning the two senior officers and lead councillor several times but takes no action against them.
READ MORE: Serious errors in Slough Council's 2018/19 accounts unprecedented
He said: “I can’t see anything in the audit that actually gives any action points to what’s going to be done next because it will happen again and taxpayers and councillors will pay the price.
“I would like to see a further investigation into what has happened here, why it was allowed to happen, and what are we going to do to stop it from happening in the future because this is taxpayers’ money, not ours.
“We need to do something about it, and I don’t think [Grant Thornton’s] report goes far enough in that investigation.”
Paul Dossett from Grant Thornton’s reemphasised that they have issued a statutory recommendation for the council to change its processes.
He said: “We are not necessarily pursuing these particular matters but the fact we’ve given statutory recommendations around the whole Observatory House acquisition suggestions we are taking it seriously and we expect the council to respond seriously and take appropriate action as a result of this issue.”
Meanwhile, Cllr Wayne Strutton (Con: Haymill & Lynch Hill) said he only saw one valuation of Observatory House despite being told the council conducted more than one valuation of the property.
Cllr Harjinder Gahir (Lab: Wexham Lea) said the committee “was doubting” Grant Thornton’s report. But Cllr Kelly said they are accepting the report, but they are questioning it as it is their duty.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here