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Governance at North Glasgow College 'was unacceptable' | Governance at North Glasgow College 'was unacceptable' |
(about 14 hours later) | |
The governance at a former college in Glasgow has been branded "unacceptable" by a committee of MSPs. | The governance at a former college in Glasgow has been branded "unacceptable" by a committee of MSPs. |
North Glasgow College lacked openness and transparency, according to Holyrood's public audit committee. | North Glasgow College lacked openness and transparency, according to Holyrood's public audit committee. |
It says the college's remuneration committee was unaware of its responsibilities and decisions on pay-offs fell short of the required standard. | It says the college's remuneration committee was unaware of its responsibilities and decisions on pay-offs fell short of the required standard. |
Principal Ronnie Knox received a pay-off of more than £310,000. | Principal Ronnie Knox received a pay-off of more than £310,000. |
John Gray, his vice-principal, received around £160,000. | John Gray, his vice-principal, received around £160,000. |
The college merged with two others in 2013 to create Glasgow Kelvin College. | The college merged with two others in 2013 to create Glasgow Kelvin College. |
The committee's report follows criticism by the public spending watchdog Audit Scotland. | The committee's report follows criticism by the public spending watchdog Audit Scotland. |
'Seeking assurances' | 'Seeking assurances' |
The committee is seeking assurances from the Scottish government and Scottish Funding Council that action has been taken to strengthen governance procedures. | The committee is seeking assurances from the Scottish government and Scottish Funding Council that action has been taken to strengthen governance procedures. |
Public audit committee convener Paul Martin said: "The Auditor General reported that she found a lack of transparency around the process of agreeing staff severance arrangements at North Glasgow College. | Public audit committee convener Paul Martin said: "The Auditor General reported that she found a lack of transparency around the process of agreeing staff severance arrangements at North Glasgow College. |
"It was clear to the committee that there were concerning levels of ignorance amongst those in decision-making roles about the proper process for agreeing severance deals. | "It was clear to the committee that there were concerning levels of ignorance amongst those in decision-making roles about the proper process for agreeing severance deals. |
"We find it unacceptable that there was no audit trail of the remuneration committee's decision-making being reported to the college board. | "We find it unacceptable that there was no audit trail of the remuneration committee's decision-making being reported to the college board. |
"While we note that there was no finding of fraud or illegality, the evident poor governance and the lack of openness and transparency in the decision-making process are serious concerns. | "While we note that there was no finding of fraud or illegality, the evident poor governance and the lack of openness and transparency in the decision-making process are serious concerns. |
"The college seemed to be unaware of its responsibilities in respect of governance around severance." | "The college seemed to be unaware of its responsibilities in respect of governance around severance." |
Severance payments | Severance payments |
Last week, Education Secretary Angela Constance announced a taskforce to look at the quality and resilience of college governance. | Last week, Education Secretary Angela Constance announced a taskforce to look at the quality and resilience of college governance. |
North Glasgow College disappeared as a distinct institution as part of a major shake-up of the college system. | North Glasgow College disappeared as a distinct institution as part of a major shake-up of the college system. |
Colleges across the country gradually merged into 20 so-called "regional supercolleges". | Colleges across the country gradually merged into 20 so-called "regional supercolleges". |
In the process, staff numbers fell by 9% nationally - mostly through voluntary redundancies and early retirements. | In the process, staff numbers fell by 9% nationally - mostly through voluntary redundancies and early retirements. |
Two former colleges are accused of displaying "significant shortcomings" in their severance arrangements process - North College Glasgow and Coatbridge College. | Two former colleges are accused of displaying "significant shortcomings" in their severance arrangements process - North College Glasgow and Coatbridge College. |
Senior staff at the former Coatbridge College were accused of colluding to give themselves overly generous severance payments before a merger. | Senior staff at the former Coatbridge College were accused of colluding to give themselves overly generous severance payments before a merger. |
The committee previously heard how £849,842 was paid to seven staff there. | The committee previously heard how £849,842 was paid to seven staff there. |
The committee's inquiry into Coatbridge College is continuing. | The committee's inquiry into Coatbridge College is continuing. |
The committee recently said more information was needed before the shake-up of colleges nationally could be judged a success. | The committee recently said more information was needed before the shake-up of colleges nationally could be judged a success. |
Financial controls | Financial controls |
A Scottish government spokesman said: "We acknowledge the public audit committee's report into the governance failings at North Glasgow College. | A Scottish government spokesman said: "We acknowledge the public audit committee's report into the governance failings at North Glasgow College. |
"As ministers have already made clear, we expect that high standards are met when decisions are taken involving public money. | "As ministers have already made clear, we expect that high standards are met when decisions are taken involving public money. |
"As the report highlights, these events took place prior to stronger financial controls coming into effect across the sector. | "As the report highlights, these events took place prior to stronger financial controls coming into effect across the sector. |
"Today, colleges are required to comply with processes set out in the Scottish Public Finance Manual and must seek approval of settlement and severance arrangements from the Scottish Funding Council. | "Today, colleges are required to comply with processes set out in the Scottish Public Finance Manual and must seek approval of settlement and severance arrangements from the Scottish Funding Council. |
"We will, in partnership with the Scottish Funding Council, consider carefully the findings of this report." | "We will, in partnership with the Scottish Funding Council, consider carefully the findings of this report." |
Glasgow Kelvin College said it noted the findings of the report relating to the governance and financial stewardship of North Glasgow College. | |
Principal of Glasgow Kelvin College, Alan Sherry, said: "We would reaffirm that the college has in place the highest standards of governance to ensure transparency, accountability and best value in its use of public funds." |
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