Whiston looking to bounce back after iSoft trial ‘nightmare’

THE former chief executive of iSoft, the IT supplier to the health sector, has spoken of his relief after the end of a “seven-year nightmare”, following the collapse of the legal proceedings against him and three ex-colleagues.

Tim Whiston, 45, from Lymm, said the investigation and two trials brought by the Financial Services Authority and its successor the Financial Conduct Authority, has taken a heavy toll on him.

The one-time youngest chief executive in the FTSE 250 told TheBusinessDesk.com that he now wants to rebuild his reputation in business, but accepts it won’t be easy.

“The last seven years have been a complete and utter nightmare, quite horrendous. My personal and professional reputation has been left in tatters.

“Right from the outset I was keen to establish my innocence but from the moment the investigation was kicked-off we had no right to reply, no opportunity to set the record straight.”

Mr Whiston, iSoft’s former FD and then chief executive was accused along with former commercial director Steve Graham and another former FD, John Whelan. Former chief executive and chairman Patrick Cryne, was also charged, but never stood trial due to ill-health.

The prosecution alleged that the men conspired to make misleading financial statements to the market about the financial results of the one-time high-flying company between 2003 and 2006.

The prosecution case related to a €54.3m order with the Irish health service for a new IT system and hinged on the date the contract was signed and when the revenue was booked.

Mr Whiston said he harboured concerns at an early stage over the FSA’s evidence gathering process, which had now been vindicated, after fresh evidence was disclosed at the “11th hour” in the proceedings, causing the trial to collapse.

Mr Whiston says although he is “45 going on 60” his health has not suffered to the same degree as that of Mr Cryne: “I have not seen Patrick for a while, since one of the earlier court hearings, but he was a shadow of his former self then.

“I am lucky in terms of my health, but only time will tell if I am able to restore my reputation in business as my professional career all but ended in 2006 when the legal process began.”

iSoft’s roots began in KPMG’s consulting arm in 1994. Mr Cryne and his management team led a private equity-backed buyout in 1998 ahead of listing on first the OFEX and then main list of the London Stock Market.

The value of the group rocketed as new contracts were won, and the business opened a development centre in India and a plush international headquarters near Manchester Airport.

Software problems, order delays and accounting issues then caused a string of profit warnings and after several rounds of job cuts and high level resignations the business effectively put itself up for sale. It was acquired first by Australian firm IBA Health and then by the US group CSC in 2011.

Click here to sign up to receive our new South West business news...
Close