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Confidence 'in shreds' as Water directors sacked

THE LATEST scandal to hit Northern Ireland Water has left public confidence in shreds the Consumer Council said yesterday.

Speaking as details emerged around the sacking of Chairman Chris Mellor and non-executive directors John Ballard, Ruth Thompson and Declan Gormley, Consumer Council Chief Executive Antoinette McKeown said consumers were demanding and had a right to answers.

The extraordinary move by Regional Development Minister Conor Murphy follows a damning report which alleges the awarding of contracts without proper tendering procedures.

It comes two years after the departure in May 2008 of the then Chief Executive Katharine Bryan after errors lead to a 33m shortfall in forecast revenues.

It also emerged yesterday that a further internal probe will now examine whether senior staff at NIW should face disciplinary action after confirmation that major contracts were awarded without competitive tendering.

A member of the Assembly Public Accounts committee and a former chair of the Assembly’s Audit Committee, MLA John Dallat said the situation was “embarrassing and disgusting”.

“I think all the parties will be quite disturbed that this nonsense is still going on, whatever it is, but clearly it is serious.”

Ms McKeown said the move was essential if public confidence was to be restored.

“They need to know that they are getting the best possible value for their money and the reality is now they don't know,” she said.

“On their behalf the Consumer Council wants to scrutinise the full detail of the report into this investigation so that we can begin to restore consumer confidence which will be in shreds.”

Mr Murphy said: “I intend to take firm action to fully address the recommendations within the report and have asked the NIW chief executive to work alongside my department in putting in place an action plan to do this.”

Northern Ireland Water was formed in 2007 as a semi-public body out of the then water service, but concerns over its financial dealings have dogged the organisation.

Yesterday Chief Executive Laurence MacKenzie signalled the report would improve controls in the organisation.

“The review has now issued its report, the minister has considered its findings, and he has now taken steps to implement its recommendations. This is my responsibility and one that I take extremely seriously.”


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Wednesday 30 May 2012

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