§ Ms HarmanTo ask the Secretary of State for Employment if he will list the total assets available to South Thames TEC prior to it going into receivership.
§ Mr. PaiceThis is a matter for the receiver. A list of South Thames training and enterprise council's assets and liabilities is still in the process of being drawn up.
§ Ms HarmanTo ask the Secretary of State for Employment for what reasons his Department is asserting preferential creditor status with regard to the receivership of South Thames TEC.
§ Mr. PaiceThe Department is not a preferential creditor with regard to South Thames training and enterprise council. The Department is a secured creditor as a result of the debenture with the TEC. Where, as in the case of South Thames TEC, public money is at risk, the Department has a duty to protect it. Were secured creditor status to be waived, this would not be possible. The debenture provides for a relationship between the Department and the administrative receiver which enables it, consistent with the receiver's legal responsibilities, to influence the management of the contract with the Department so as to minimise the disruption caused by the receivership to individuals on Government programmes within the South Thames TEC area.
§ Ms HarmanTo ask the Secretary of State for Employment how much of the South Thames TEC assets will go to his Department as preferential creditor; and how much will go to the training providers owed money by the TEC.
§ Mr. PaiceThe receiver is currently still in the process of drawing up a list of South Thames training and enterprise council's assets and liabilities. Until this is known, I am not in a position to make a statement about the division of assets between the Department and other creditors.