Showing posts with label rip-off. Show all posts
Showing posts with label rip-off. Show all posts

Tuesday 25 September 2012

Clive Heaphy spoke out on Brent school victims of IT scams

Yesterday I tweeted about Brent schools being featured on Panorama's 'Reading, Writing and Rip-offs' last night. This was based on a circular from the council to headteachers.

In fact Brent weren't mentioned as such but Brent schools have had similar experiences, although not as expensive as some reported.

Clive Heaphy  Brent Director of Finance (since suspended while allegations of gross misconduct are investigated) spoke to the Times Educational Supplement about it earlier this year and reported on this blog LINK
Furness Primary is being sued by a finance company for £301,083 plus interest calculated at £14,579 in April and still rising. But Brent Council said the equipment involved was worth just £9,150 when it was sold off by the finance company in February.

Kensal Rise Primary is being sued by the same company for £287,000. Both schools have made counterclaims for money they say they have already paid “in error” - £805,000 in the case of Kensal Rise. The same school has also received a more recent claim from a second finance company for £253,000.


Brent says schools have been tempted into such deals by offers of up to £15,000 “cash back” a quarter from equipment suppliers that make initial lease repayments appear more favourable than the real long-term cost. Clive Heaphy, the authority’s finance director, said that primary heads were not always “business savvy” and cannot always “see through” such offers.
Given the political disagreement about academies Heaphy was very clear with his warning:
 “Inevitably there is a recipe there for difficult times ahead and potentially for some mismanagement issues and possibly some fraud issues,” he told TES, adding that increased autonomy for local authority schools had already made it much harder for town halls to guard against them misusing public money.

“I still retain personal accountability for schools’ finances and yet I see less and less data and have fewer and fewer levers to be able to do anything about it,” Mr Heaphy said. “There is very little action in reality you can take.”

On academies he said: “The only watchdog over them is the Department for Education itself. We have no relationship with them, but who does?”