The Dame has received an urgent message from her friend-an ex cllr of disrepute and failed ex financial journalist. He has asked whether the Dame has seen the Design Museum accounts and understood how generous that local Patron of the Arts(on the back of our money) Pooter Cockell has been to the Design Museum.
Sir Cockell has decided that residents should lend money to the Design Museum on a basis that makes the eyes water with envy. Cockell is planning to lend OUR money- £2.6m of it- unsecured at a fairly nominal 3%. Astonishing when front line services are being hacked to pieces.
But as a person most familiar with the situation has said 'The Legal and Finance departments in the Town Hall have had their arms twisted by Cllrs Cockell/Moylan. Smart senior officers are dead against the unsecured loan to the Museum.
They know that when the loan gets written off they will take the rap.
The other interesting area which the Dame will be exploring is the role of Cllr Danny Boy Moylan. For those of you who thought his influence had waned....think again...and be very worried......
When this guy sticks his nose in the welfare of residents' goes off the agenda. Those who doubt should remember his conniving/bullying on Sloane Square. Moylan's only interest will be to serve those who he thinks important.
But as a person most familiar with the situation has said 'The Legal and Finance departments in the Town Hall have had their arms twisted by Cllrs Cockell/Moylan. Smart senior officers are dead against the unsecured loan to the Museum.
They know that when the loan gets written off they will take the rap.
The other interesting area which the Dame will be exploring is the role of Cllr Danny Boy Moylan. For those of you who thought his influence had waned....think again...and be very worried......
When this guy sticks his nose in the welfare of residents' goes off the agenda. Those who doubt should remember his conniving/bullying on Sloane Square. Moylan's only interest will be to serve those who he thinks important.
Left: Conran cocking a snook at Cockell
No wonder that old fox, Conran is laughing his head off.
He was even bold enough to say that his cash is not guaranteed and, some say, laughed at how fawning Cockell was in his presence.
More interesting are the Design Museum accounts.....
.....An expert says....
"The latest filed are to March 2010. They have been prepared on a 'going concern' basis and unless they have raised a lot of money for the new museum there is no way that the Rotten Borough should be lending them money. The surplus is small, and they desperately need income. No doubt why they want a change of the operating hours to let them have lots of late night events to raise money. No so much a prestigious design museum, more a night club and with so much owed to the Council, they will not be able to say no to any late night events that the Trustees want to impose on residents."
The Dame is no accountant. Fortunately she has teams of those to look after her billions. But she is going to ask Mr Holgate to 'take a look' or anyone else with a forensic accounting skill.
The Dame feels another Holland Park Opera and Chelsea Care moment coming on....
Weasel words have been strung together to find a basis for the loan. A Lord Goldsmith/Iraq moment
Breathtaking
Weasel words have been strung together to find a basis for the loan. A Lord Goldsmith/Iraq moment
Breathtaking
This is an insult to all those of us suffering economic hardship. How dare this silly little man pretend that the Council-OUR council is a bank and lend money in this way. No commercial organisation would dare do so.And for Conservative councillors to allow him to do so beggars belief
ReplyDeleteThe Cabinet is being led by the nose by Cllr Cockell - who is out of his depth in financial matters. And business matters.
ReplyDeleteHe failed as a businessman and sole trader on his own account. But the availability of £ millions of taxpayer funds to play with is just too much of a temptation for this ego driven person who needs to make a splash
There can be absolutely no justification for making this loan. No security and the borrower is a "man of straw". Kiss the money good bye now
The Legal and Finance departments in the Town Hall have had their arms twisted by Cllr Cockell. They are dead against the unsecured loan to the Museum.
ReplyDeleteWeasel words have been strung together to find a basis for the loan. A Lord Goldsmith/Iraq moment
Breathtaking
Lord Philimore wants to sell his land around the Commonwealth Institute for a huge amount of money so that the developer can build £8 million flats and make a huge profit.
ReplyDeleteThe flats will be bought by hugely wealthy persons.
K&C have served up the Design Museum as a pawn and hostage to occupy the Institute and preserve it. Its the "price" of permission from the Planning Committee to build the flats.
Well the Council should continue to play hardball. Its what businessmen do. If the rich guys want their cash flows and their residential development, they need to stump up the £2.6m shortfall. Otherwise, no deal. Its chicken feed and they will come through.
Of course £2.6m is NOT chicken feed to hard pressed council tax payers.
But muddled councillors and out of their depth officers do not understand business dynamics
I smell a rat. Planning Committe strong arms the developer and landowner to include the Design Museum in their money making venture and then the Council uses council tax to subsidise the transaction.
ReplyDeleteThis is the kind of thing that happens in Nigeria. It has no place in Kensington and Chelsea
Using council tax to make unsecured loans at a pathetic rate of interest is a scandal.
ReplyDeleteMy bank loan costs me 11%. Would the council be good enough to lend to me at 3%? I will gaurantee it
Let understand how Daniel Moylan is involved in all this. He has developed a central role and it needs exposing. Come on Dame...I think you know what he has been up to
ReplyDeleteMoylan of course was the champion of the Design Museum idea. The project has his finger prints all over it.
ReplyDeleteThe Planning Committee decision was a close call. The Kensington Society and Edwardes Square Association of Residents made powerful arguments against the proposal. But they were swept aside.
The chickens have already started to come home to roost
This one is tricky
ReplyDeleteCome on Officer.......tell!!!
ReplyDeleteDame, why is the Museum unable to secure the loan on commercial terms from a bank? Which leads to the second problem. The paper to Cabinet seeking approval of the transaction makes interesting reading. It cites section 2 of the Local Government Act as the basis for approval of the loan. The justification is not well made and the decision is clearly open to legal challenge. The Cabinet should kick this one straight into touch.
ReplyDeleteThe Design Museum was promoted as the S106 project to avoid the need to build affordable housing as part of the Commonwealth Institute development - yet affordable housing is needed far more for the well-being of Borough residents [how else can our children afford to live near and care for their ageing relatives?] than a museum.
ReplyDeleteFunny-Money, you make an important point.
ReplyDeleteIf the Council has waved the obligation for the Developer to build affordable housing as part of the project, the DEVELOPER HAS SAVED £ millions!!
They should be strong armed to put up the money that the Design Museum needs. This is a profit making venture - it has no place in the council tax coffer. Subsidy to the rich from the battered tax payer.
Another incompetent and vanity driven project from Cllr Cockell. How much longer will Conservative councillors put up with this person?