This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/scotland/glasgow_and_west/8103850.stm
The article has changed 3 times. There is an RSS feed of changes available.
Version 0 | Version 1 |
---|---|
Probe call over council land deal | Probe call over council land deal |
(about 21 hours later) | |
A council is set to launch an internal inquiry amid fears that millions of pounds have been lost through insider trading over a land deal. | A council is set to launch an internal inquiry amid fears that millions of pounds have been lost through insider trading over a land deal. |
North Lanarkshire Council sold 84 acres of land near Cumbernauld. | North Lanarkshire Council sold 84 acres of land near Cumbernauld. |
But the day after the new owners assumed control, the land was rezoned for housing, causing its value to soar. | But the day after the new owners assumed control, the land was rezoned for housing, causing its value to soar. |
In a confidential report obtained by BBC Scotland, the council said there had been a lack of transparency over property deals it had conducted. | In a confidential report obtained by BBC Scotland, the council said there had been a lack of transparency over property deals it had conducted. |
The land involved in the controversial deal, which lies close to Palacerigg Country Park, was originally zoned for leisure use and currently has a golf driving range and nine hole course on it. | The land involved in the controversial deal, which lies close to Palacerigg Country Park, was originally zoned for leisure use and currently has a golf driving range and nine hole course on it. |
A company called Multi Link Leisure had been leasing it from the council under an agreement that included an option to buy. | A company called Multi Link Leisure had been leasing it from the council under an agreement that included an option to buy. |
This review should be carried out as a matter of urgency Internal council report | |
The company opted to exercise the right to buy on 8 October 2008 - before the land was rezoned for housing under the council's Local Plan the following day. | The company opted to exercise the right to buy on 8 October 2008 - before the land was rezoned for housing under the council's Local Plan the following day. |
BBC Scotland understands the value of the land is now estimated at between £5m and £10m. | BBC Scotland understands the value of the land is now estimated at between £5m and £10m. |
The affair led to fears that someone in the council may have passed information informing Multi Link Leisure that the land was about to rezoned. | The affair led to fears that someone in the council may have passed information informing Multi Link Leisure that the land was about to rezoned. |
The deal is now at the centre of a legal battle after the council attempted to either have it struck down or renegotiated. | The deal is now at the centre of a legal battle after the council attempted to either have it struck down or renegotiated. |
As a result of the Palacerigg deal, the council commissioned a review group to look at number of other land deals involving the council. | As a result of the Palacerigg deal, the council commissioned a review group to look at number of other land deals involving the council. |
Legal action | |
The review group's report said: "Concerns were raised about the ability to identify a clear audit trail for some decisions and recommendations being made and which officers were involved at each stage". | The review group's report said: "Concerns were raised about the ability to identify a clear audit trail for some decisions and recommendations being made and which officers were involved at each stage". |
It also called for a review of both the people and procedures involved in the Property Services Department, and added: "This review should be carried out as a matter of urgency". | It also called for a review of both the people and procedures involved in the Property Services Department, and added: "This review should be carried out as a matter of urgency". |
A spokesman for North Lanarkshire Council said it would be "inappropriate to comment" because of the ongoing legal action. | A spokesman for North Lanarkshire Council said it would be "inappropriate to comment" because of the ongoing legal action. |
Multi Link Leisure, which has their registered office at a lawyer's firm on Douglas Street in Glasgow, did not respond to telephone calls or e-mails from BBC Scotland. | Multi Link Leisure, which has their registered office at a lawyer's firm on Douglas Street in Glasgow, did not respond to telephone calls or e-mails from BBC Scotland. |