HC Deb 25 February 1991 vol 186 cc321-2W
Mr. Campbell-Savours

To ask the Secretary of State for the Environment how many contracts have been extended by the Crown Suppliers in breach of EC/GATT regulations.

Mr. Yeo

Some contracts appear prima facie to fall into this category, but the question of whether breaches have actually occurred can be conclusively established only by the European Court of Justice.

Mr. Campbell-Savours

To ask the Secretary of State for the Environment what restrictions exist, or he has placed, on the freedom of TCS board members to work for any of the companies which have been the beneficiaries of contract extensions in breach of EC/GATT regulations.

Mr. Yeo

The general rules applying to the acceptance of outside appointments by civil servants after retirement provide adequate safeguards against any suspicion of impropriety. In particular the assent of the Department is required before any non-industrial staff member may accept an offer of employment by a company with which they have been directly or indirectly involved.

Mr. Campbell-Savours

To ask the Secretary of State for the Environment at which board meetings in 1990 the Crown Suppliers sanctioned a number of contract extensions in breach of EC/GATT regulations.

Mr. Yeo

Although in the course of considering future business, the question of extending contracts was discussed, at no point did the TCS main board sanction extensions in breach of EC/GATT regulations.

Mr. Campbell-Savours

To ask the Secretary of State for the Environment what legal advice was obtained by his Department during 1989 concerning possible breaches of EC/GATT purchasing regulations by TCS.

Mr. Yeo

In July 1989 the Department of the Environment provided legal advice that negotiated procedures were permitted by the EC/GATT regulations on certain grounds which did not include difficulties arising from privatisation. The legal adviser also pointed out the requirement to draw up a written report of any negotiated procedure.

In September 1989 the legal adviser responded to a draft report relying on reasons of urgency of supply, or incompatibility or disproportionate technical difficulties resulting from a change in supplier. His advice was that none of the considerations given for further contract extensions could be justified under the EC directive.

No legal advice was sought by the Department from any other source.

Mr. Campbell-Savours

To ask the Secretary of State for the Environment (1) whether the payments made to the personnel director of the Crown Suppliers included moneys additional to the baseline statutory requirements on termination of his employment with the Crown Suppliers;

(2) whether payments made to the business director of building management, Property Services Agency, included moneys additional to the baseline statutory requirements on termination of his contract with the Property Services Agency.

Mr. Yeo

Crown servants are excluded from certain parts of employment legislation providing for baseline statutory payments on termination of employment.