A MORE robust due diligence process for the awarding of council grants has been approved, following the Asons Solicitors scandal.
Bolton Council’s procedure for issuing grants, particularly under emergency powers, has come in for severe criticism since the revelations over its decision to give £300,000 to the law firm last year.
A report into the new process, agreed by the council’s cabinet yesterday, says there will now be a ‘clear audit trail of new diligence’ for each grant issued.
It adds: “The 2017/19 financial strategy places an even keener focus upon the development of our council tax and business rates income to reduce the level of cuts required from services.
“It is therefore imperative that we work with reputable, commercially sound companies who can help us achieve the ambition for Bolton.”
The council’s emergency powers procedure can now only be used with the agreement of either the chief executive or borough solicitor. Under the new grant application process, applicants will fill in a ‘Register of Commercial Interest’ form and then, if no concerns arise, a further ‘Grant Funding/Loan Application’ form.
Tory Leader, Cllr David Greenhalgh, said: "Obviously these new guidelines are welcome, but clearly prompted by the toxic decision to award Asons Solicitors £300,000 of Bolton taxpayers' money."
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