§ Mr. A. Lewis
asked the Secretary of State for Industry, Trade and Regional Development (1) why he granted a £235,000 loan to the private company Pitch Fibre Pipes; what conditions were attached to that loan; what were the agreed interest rates; what are the financial resources and assets of this company; and whether he will make a statement;
(2) why the private company Pitch Fibre Pipes, to which his Department have granted a £235,000 loan, were not advised to raise this money through the normal money market procedure;
(3) whether, before deciding on the grant of a £235,000 loan to the private 238W company Pitch Fibre Pipes Ltd., he ascertained who the controlling interests are who own 9,000 of the shares under a nominee company.
Mr. D. Price
A loan of £235,000 was offered to Pitch Fibre Pipes Ltd. in accordance with Section 4 of the Local Employment Act, 1960, for the purpose of providing additional employment in West Hartlepool, which lies within a development district. This offer was made on the recommendation of the Board of Trade Advisory Committee following a full investigation into the circumstances of the Company. I cannot disclose details of this investigation, nor of the terms and conditions attached to the loan offer, which are confidential.