Government ‘likely’ to take control of Liverpool City Council

Liverpool Town Hall

Liverpool City Council could be taken under the control of the Government this week following several arrests over corruption allegations.

Communities Secretary Robert Jenrick sent a government inspector into the council last December following the arrest of the then city mayor, Joe Anderson, on December 4, on suspicion of conspiracy to commit bribery and witness intimidation.

He was arrested along with four other men as part of the Merseyside Police Operation Aloft investigation into property deals within the City of Liverpool area. All are on police bail.

The previous December, the council’s director of regeneration, Nick Kavanagh, was arrested on suspicion of fraud.

No charges have been brought against anyone, but last December Mr Anderson stood down from his role and was administratively suspended by the Labour Party and last week he indicated that he was considering legal action against the police to clear his name.

As part of the Government’s investigation into the matter, it appointed Max Caller as inspector to scrutinise the council’s dealings following a demand by Mr Jenrick for details of all property plans from Liverpool City Council.

Mr Caller, who has investigated troubled authorities Northamptonshire County Council and Tower Hamlets, was tasked with looking at key departments and authority auditing and governance.

Mr Jenrick said at the time “given the seriousness of the issues identified through the police investigation”, he wanted “direct, independent assurance” that the council was compliant with all performance measures set by the Government.”

Mr Caller has now submitted his report, and it is reported that the Secretary of State is considering taking control of the council.

The Telegraph newspaper said, it is “likely” that Mr Jenrick will order commissioners to take over day-to-day operations because of a “damning indictment” of the council.

The findings of Mr Caller’s report are expected to be published this week.

Reacting to the reports, Maggie O’Carroll, founder and chief executive of established social enterprise The Women’s Organisation, which operates in Liverpool and Manchester, said, if true, the reports “represent an absolute failure in good goverance and leadership – a marked lack of honesty, accountability, ethical culture resulting in the deligitimisation of a whole system of local government”.

Maggie O’Carroll

She said: “Despite many who work within it actually adhering to the underpinning principles of good public service but are now implicated through no fault of their own in this shameful mess .

“Liverpool will come back from this as its people have always been its power and will continue to be. Those public servants who are committed to serving the city and its people honestly, collectively , creatively, effectively and transparently will play an important part in the renewal of the city and its reputation.

“Let the change be rapid , decisive and all encompassing and the transformation result in a more equitable , prosperous, healthy , green and clean where it’s local leadership is not a source of shame but of pride.”

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