Agenda item

To receive any questions from members of the public and replies thereto.

The following members of the public had registered to ask questions:

 

Goff Welchman

 

My questions concern loans from this Council to 3 Rivers.

 

A friend of mine has had a very long career in banking with a major high street bank and in particular with business investments lending money to new start-ups. Having looked at it carefully, his view of 3Rivers was that if the original Directors with their lack of experience in the relevant field and with lack of any capital to invest themselves approached his bank without a proper business plan and asked for a loan every red flag in the lending world would have popped up and the request would have been rejected summarily. He also told me that if he had authorised loans to the tune of £23m to 3Rivers on behalf of his bank, he would have been fired. Therefore my questions are:

 

1.    How were the loans from Mid Devon District Council assessed?

2.    What checks and audits were in place?

3.    How were the loans approved and on whose authority?

4.    Were Councillors given the opportunity to review the loans and if not, why not?

5.    What were the repayment terms of each loan and was the commercial interest rate at the time charged on the loan?

 

 

Nick Quinn

 

RegardingAgenda Item8 –3 RiversSoft ClosurePlan…..

 

Question 1

This ‘Soft Closure Plan’report makes reference to Cabinet being informedof thepurchase, ortransfer, ofassets from3 Riversto theCouncil. Oneof the items was expenditure relating to a possible development of the Park Road Nursery site, which I believe was described as being “intellectual property” - please canyou tellme whatactually isthe “intellectualproperty” thatthe Councilintends to buy from 3 Rivers?

 

Response from the Cabinet Member for Finance

This included the architectural drawings associated with the new planning application.

 

Question1(a)

Bearingin mindthat theCouncil stillowns thePark RoadNursery site and has already obtained Planning permission for a development on it - why does this “intellectual property” have value to the Council?

 

Response from the Cabinet Member for Finance

It is possible that this might be re-sellable to any new purchaser.

 

Question2

Hasthe purchaseof theSt George’sCourt complex, bythe District Council, been completed yet?

 

Response from the Cabinet Member for Finance

Yes

 

Question2(a)

 

Ifso, onwhat datewas this completed?

 

Response from the Cabinet Member for Finance

21 March 2024

 

Question3

 

Hasthe purchaseof 42Banksia Close,by theDistrict Council,been completed yet?

 

Response from the Cabinet Member for Finance

No

 

Question3(a)

 

Ifso, onwhat datewas this completed?

 

 

Response from the Cabinet Member for Finance

N/a

 

Paul Elstone

 

Regarding Agenda Item 9 – Grant Thornton Interim Report 2022/23….

 

Question 1

Page 20 final paragraph says.

“The report set out the Judgement made by the Devon Audit Partnership is that the allegations were made on an incomplete understanding of the issues involved. The debate has however continued mistrust between officers, members and some members of the public continues.”   

 

Given the last sentence never truer words spoken.

 

I find it belittling for it to be suggested that former members of this Council and some members of the public did not understand the issues. I would also promptly add the allegations made as much as anything were about Officer, Member and Director  misconduct. This  opposed to criminal actions. Therefore, I will ask the following related questions.

 

Why was the Officer most widely associated with the allegations allowed to set the terms of reference and the very tight investigation timelines?

 

Question 2

Why were the full reasons behind Rivers paying nearly twice as much above the lands market valuation and for the “pig in the poke” Bampton site not investigated?

 

Question 3

Why was the Building Developer and who had an agreement with the landowner to buy the Bampton site and who had spent £80,000 on the development site planning works not interviewed?  A developer who has since needed to file for bankruptcy and in part due to these losses.

 

Question 4 

Why were  the full circumstances of a non-existent Ransom Strip not investigated and something  alleged had been used by 3 Rivers to destabilise the land-owners sale to the developer?

 

Question 5

Why was a former MDDC Planning Officer not interviewed and who knew of this building developer’s involvement and including of his offer to make a S106 payment of circa £400,000 re: Affordable Homes?  

 

Question 6

Why were conflicts of interest involving key persons involved in the land purchase and the landowner not investigated?

 

Question 7

Why was the Tiverton Town Clerk not interviewed and who identified the alleged theft of materials at St Georges Court?

 

Question 8

Why was the Town Clerk and supported by the current and previous Mayor not interviewed. This in respect of the attempts of Officers and Members to suppress any investigation into the alleged theft.

 

Question 9 

Why were Officers, Members and 3 Rivers Directors not interviewed and who provided 3 separate excuses for the removal of the materials?

 

Question 10

Why was the Manager of a Builders Merchant not interviewed after he raised major concerns about materials being signed out by persons not knowingly associated with 3 Rivers?

 

Question 11

Why were Builders Merchants sales receipts and signatories not checked?

 

Question 12

Why were 3 Rivers payment records to this Builders Merchant not checked?

 

Question 13

Will the Chair of Audit and with the support of this committee agree there is justifiable reason to open a full and independent investigation into the previously made allegations of misconduct or worse?

 

 

The Chairman informed the meeting that as their questions had not been received in advance of the meeting, written responses would be supplied to Mr Welchman and Mr Elstone within 10 working days and attached to the minutes of the meeting.