§ Mr. MitchellTo ask the President of the Board of Trade if she will establish an inquiry into the auditing of Resort Hotels plc. [6059]
§ Mr. Ian McCartneyResort Hotels plc collapsed in 1994 with substantial debts. The managing director of Resort Hotels, Mr. Robert Philip Feld, was found guilty on 1 April 1997 of fraud and forgery and was jailed for eight years; the audit of the accounts was referred to during his trial. Under Part II of the Companies Act 1989 the Recognised Supervisory Bodies (RSBs), are responsible for dealing with complaints against registered auditors. In the case of Resort Hotels the responsible RSB is the Institute of Chartered Accountants of England and Wales who are inquiring into the auditing of Resort Hotels in the light of Mr. Feld's trial. I shall write to my right hon. Friend when I hear the outcome of their inquiries.