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Chairman quits crisis-hit NHS Tayside Chairman quits crisis-hit NHS Tayside
(35 minutes later)
The chairman of NHS Tayside has stood down after the health board was put in "special measures". The chairman of NHS Tayside has stood down after the health board was put in "special measures" by the government.
Health Secretary Shona Robison welcomed the resignation of Prof John Connell, describing it as the "right decision".Health Secretary Shona Robison welcomed the resignation of Prof John Connell, describing it as the "right decision".
Concerns had been raised about the use of an endowment fund to pay for IT improvements. She had earlier taken the unusual step of calling on him to step down in order to "restore public confidence".
NHS Tayside has a significant funding gap, and has received emergency loans from the Scottish government. The health board has been struggling to keep within spending limits for a number of years and new allegations of financial concerns emerged this week.
'Laid bare'
It was claimed the health board used cash from an charitable endowment fund to "retrospectively" cover expenses including new computer systems in 2014.
Politicians said there was an "apparent misuse" of funds but the health board insisted it was "appropriate".
Last month, NHS Tayside's financial director retired as it was revealed the health board's funding gap was widening.
The board received a £33m "brokerage" loan from the Scottish government last year and was due to receive a further £4m before 1 April.
The Scottish government was told NHS Tayside's finances were likely to deteriorate further.
The health secretary said: "Issues over past few weeks have laid bare the extent of the problems facing NHS Tayside and the minutes of a meeting of trustees in 2014 outline, in detail, the approval of the use of endowment funds by the chief executive.
"It has become clear to me that the current structure of the board cannot deliver the improvements required to return to a sustainable position, while continuing to deliver safe and effective services to patients."
Ms Robison also described the position of NHS Tayside chief executive, Lesley McLay, as "untenable".
Prof Connell has previously said that the board at NHS Tayside inherited a difficult situation and that he had only taken up his role two and a half years ago.
In a statement about his resignation, Prof Connell said it had been "an absolute privilege" to lead NHS Tayside.
He said: "I have always maintained a focus on safe patient care and ensuring staff are supported to deliver that at all times.
"I am very pleased that this has not been compromised during a difficult financial period."
Prof Connell said NHS Tayside was "on the correct course to transform its services".