Conservatives call for Investigation into Seven Sisters NDC 13/04/05

Conservative Parliamentary Candidate William MacDougall has today called for an independent forensic accountant to investigate the Seven Sisters New Deal for Communities ("The Bridge").  This supports a petition of November 2004 signed by over 600 local residents to the Deputy Prime Minister questioning the accounts of the NDC.

On 4 April, the Conservative Shadow Minister for London, Mark Field, asked in Parliament about the dismissal of two elected NDC board members who had raised similar questions about the accounts.
MacDougall explained: "The Minister's response to Mark Field's question was inadequate.  I am not personally aware of any irregularities, but I think there is a clear requirement for an independent investigation to satisfy ocal concerns as expressed in the petition."

Local concerns include:

- The sacking of two elected members - Joyce Oyeyi-Effiong and Ibi Campbell - by the NDC last Autumn.  They allege they were ousted from the board for raising too many financial questions.

- £5,000,000 that was transferred from the last three years of NDC programme into the current three years i.e. 2004 to 2007, apparently without full discussion by the Board.

- £800,000 that was allocated to Chestnut Sure Start in 2002/2003 - a project that fell through with monies apparently not accounted for.

- A £259,600 Business Audit commissioned to the Haringey Chamber of Commerce in 2002, but apparently no report produced to date, the matter was closed, and papers filed away.

- £337,638 spent over two years to Kurdish/Turkish Group for Advocacy project, apparently without proper reporting.

- £113,750 for Media Training for people recovering from mental illness, apparently without proper reporting. £48,000 is recorded spent to produce 3 leaflets, no trainee has been seen, no jobs provided.  According to the monitoring Agency, the project had no manager for a year.

- £50,000 towards Haringey-wide Credit Union, apparently without proper reporting.

- £80,000 towards training board members, so far, only £8,000 has been spent on one training at Middlesex University in 2003.  No further training was arranged up to 2004.

- £110,000 NDC paid in 2004 to PCT for rent in the Laurels health centre.

- £3.8m to buy the Laurels health centre "on behalf of the Community".  But the NDC Board apparently never saw the Head Lease or Memo of Agreement despite persistent requests from board members.

- Since 2001, no audited accounts have been shown to the Board.  The community and board members have asked for this, but nothing apparently has been done.

- Finally, the seven year budget was sent to GOL on 3 December 2003 apparently without approval by the Board.

Note also that it was recently reported (e.g. Private Eye 1087) that a Tower Hamlet Councillor appeared in Bow Street Magistrate's Court on 9th of March 2005 accused of stealing £240,000 from a Stepney-based regeneration organisation Youth Action Scheme, of which he was the Chairman.  That came to light because of an investigation by an external independent Forensic Accountant, rather than by the Audit Commission.

ENDS

Note to Editors:

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Hansard, 4 Apr 2005 : Column 1146W

New Deal for Communities (North London)
Mr. Mark Field: To ask the Deputy Prime Minister what action has been taken to respond to the petition submitted to his Department in November 2004 by local residents regarding the New Deal for Communities project in the Seven Sisters area of North London; and if he will make a statement. [223319]

Yvette Cooper: The petition, on behalf of two expelled Partnership Board Members, has been carefully considered and the Office of the Deputy Prime Minister remains satisfied that the expulsions were handled fairly.
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