Monday 28 March 2022

Failed bid to 'de-list' historic Hawick gates

EXCLUSIVE by DOUG COLLIE

A dispute which followed Historic Environment Scotland's recent decision to grant listed status to Victorian gates at the entrance to a Borders country estate has provoked "acrimonious exchanges" between supporters and opponents of the listing.

But a planning appeal to have 'C' listed status removed from the gates and gate piers at Linden Park, near Hawick, with a view to having the architectural feature moved on road safety grounds has been thrown out by a Scottish Government planning reporter.

The application to add the gates to Scotland's catalogue of listed structures was made during 2020 by the highly respected Hawick Archaeological Society [HAS]. But even the society came under fire from objectors for allegedly making 'basic errors' in its submission during the appeal process.

In its listing entry in January of this year Historic Environment Scotland [HES] stated: "The Linden Park gates and gate piers are a rare example of a high-quality bespoke design for gates in the later 19th century that remain largely in their current form. Although the organic design may have involved the adaption of typical estate railings the result is an early example of gates which show the emergence of handcrafted bespoke design and foretelling the Arts and Crafts movement which in the 1880s was still in its early development. 

"Built in 1885, a pair of stone gate piers with two decorative iron gate piers, and pairs of wide gates and pedestrian gates between them. The structures were built as the main entrance gateway to the former Linden Park Estate and are set back from the A698 road northeast of Hawick. It is likely they were designed by the architect of the house and estate ancillaries, John Guthrie."

The site of the former Linden House and its surroundings is now occupied by ten private houses served by a narrow road leading from the gates. Some of the residents praised HES for protecting the structures while others condemned the move.

Soon after the listing a formal appeal was lodged with the Scottish Planning & Environmental Appeals Division by Linden Park's newest resident John Moran.

His written contribution to the appeal said: "The gates at the entrance to Linden Park were built at the end of the 19th century before the present modern A698 existed. This road has substantially changed since then and is now a 60mph main trunk road. This entrance is also on a sharp curve in the road which doesn't give the modern required visual splays necessary according to Road Safety & Traffic Management Roads at Scottish Borders Council.

"In other words the entrance would fail planning in the modern age. On a site visit the Council Road Safety Officer stated: 'In terms of the gates themselves, while aesthetically pleasing, these do narrow the available carriageway width and removing these would be considered an improvement to the access. Without the gates, there would be suitable width for two vehicles to negotiate the junction safely, side by side preventing any potential for backing up on to the public road and larger articulated vehicles or those used by the emergency services would find it easier to negotiate.'

"So at present two vehicles can not negotiate the junction safely. By listing the gates HES has made it virtually impossible to remove the gates to improve public safety and have in their own words not taken public safety into account as they state in a reply to an objection that it is not a factor in their decision. I refute that position and contend that they should take public safety into account before making a listing. I strongly object to this listing and lodge this appeal against it."

HAS president Brian Tait's submission against the de-listing application described the reasons for the appeal as "rather bizarre".

According to Mr Tait the gates by local architect John Guthrie, a founder member of HAS "are well worth the C Listing applied to them. Scottish Border Council thought they should have had an even higher listing and the Society would have been delighted if it had been B listed. The gates are about 136 years old and the Stone Gate Posts featured, hydro- electric lighting from the dammed Trow Burn, possibly the first of its kind in Scotland."

Local backing for the listing also came from Linden Park householder Jean Muir. She told the appeals division: "In view of the rigorous investigation undertaken by HES resulting in their welcome conclusion to award ‘C’ grade listing to the historic Linden Park Gates, I find it disingenuous of the relative incomer, John Moran, to attempt to overturn this.

"However, it has come to light that there is a hidden agenda. Getting the gates delisted paves the way to achieving his initial intention of removing them, something that he can already do under their now ‘C’ listing, but only IF they are deemed a safety hazard. This he is attempting to prove, using criteria with which most residents and many outsiders disagree."

There were similar sentiments from fellow Fenwick Park resident Hamish Brandon who wrote: "I have resided at Linden Park for over 40 years and these beautiful gates are an extremely important part of Linden Parks history. More importantly, I note Mr Moran's appeal is centred around road safety… In my opinion, removing the gates will actually result in a much more dangerous exit onto the A698. It is my belief that the true reason Mr Moran does not want these gates to be listed is he wishes to have them removed/moved, which would be a travesty to the history of Linden Park."

A view not shared by Tom West, whose home occupies the site of the former Linden Park House.

Mr West's submission claimed: "I wish to say here that this whole process has severely disturbed what was previously a community living together well with what I believe people would describe as good neighbourly relationships. 

"I personally find it extremely sad that the failure by Hawick Archaeological Society (HAS) to consult with residents before submitting the listing application has caused this current situation. If opinions had been aired and discussed prior to the application I believe there would have, with the additional time and before the formal process began, been a great deal more understanding and tolerance and this would have prevented some of the acrimonious exchanges contained in your case correspondence. Everybody should be entitled to their viewpoint without this stirring up of enmity between neighbours."

And Mr West continued: "If the President (of HAS) had done some basic research or consultation, he  would not have made such a basic error in his representation which is adding to the atmosphere of suspicion and distrust. The basic errors the HAS president has made combined with the lack of initial consultation and now the use of emotive language in his representation i.e. ‘Pathetic” to a Residents genuine concern for safety cause me personally to wonder about HAS’s standards and what reliance can be placed on the information they supply and what ends they will go to, to achieve their desired outcome of the listing."

In his decision notice issued on Friday planning reporter Stuart West said: "I am satisfied that a full and thorough assessment of the subjects’ architectural and historic interest has been undertaken as part of the designation process and I agree with Historic Environment Scotland’s conclusions. I do not find that historic interactions between third parties that are not responsible for the designation of the subjects are a material consideration in the assessment of this appeal. Drawing together all of the above I find that the architectural and historic interest of the subjects has been demonstrated and I consider that the listing should be maintained.

 

Wednesday 23 March 2022

Avocet executive's £170,000 tribunal award

by LESTER CROSS

The former project director of the deeply troubled Avocet Group of companies is the latest ex-staff member to bring a successful employment tribunal case against the business for illegal deduction of wages.

Avocet IP Ltd., which indulges in the activities of patent and copyright agents has been ordered by a tribunal judge to pay Iain Munro more than £177,000 for the serious breach of employment law which took place while he worked for Avocet between 2018 and 2020.

Although he was declared bankrupt last October, Avocet's ex-chairman Martin Frost remains listed as a director of Avocet IP Ltd, according to Companies House records. The other directors are Dr Bob Jennings and Eirlys Lloyd Company Services Ltd. 

The firm's registered address is at 120-124 Towngate, Leyland, near Preston which is also the offices of accountants RFM Preston Ltd. One of RFM's directors is Paul Newsham, formerly a board member of several Avocet companies.

There is currently an active proposal by the Companies House authorities to strike off Avocet IP Ltd. from the national register. The directors should have submitted annual accounts made up to December 31st 2020 by September 30th 2021, but they have yet to be lodged.

According to its last published accounts the business had fixed assets of £13 million and net current liabilities of £2.96 million. The ultimate controlling party is given as Avocet Natural Capital PLC, the group's parent company formerly chaired by Mr Frost.

Mr Munro's claim against Avocet IP was the subject of a hearing by a Manchester tribunal on March 14th before Judge Alan Johnson. The claimant was present but the respondents failed to appear.

A written judgment from the tribunal states: "The claimant was continuously employed by the respondent from 10 December 2018 until his effective date of termination on 20 November 2020 and did not transfer to Avocet Bio Solutions Plc in June 2019. (2) The complaint of unlawful deduction from wages contrary to section 23 Employment Rights Act 1996 was presented in time, is well founded and succeeds 

"(3) The respondent shall pay to the claimant in accordance with section 24 Employment Rights Act 1996 compensation in respect of his successful complaint in the gross sum of £177,313.57 (One Hundred and Seventy Seven Thousand, Three Hundred and Thirteen Pounds Fifty-Seven Pence)."

In addition, the judgment points out: "Note: At the date of the hearing, the Tribunal noted that the respondent company had its application to strike off the Companies House register (company number: 11112409), dated 30 November 2021, suspended following an objection made on 8 February 2022. Although the Notice of Suspension is not clear, it is understood that this suspension will typically remain in place for a period of 6 months until a date in August 2022, and it will then be lifted or extended should the claimant or another make an appropriate application."

Various Avocet companies have already contravened employment regulations in a number of ways, as we have reported previously.

Last year former company employees Tristan Jeffrey and Sarah Shotton were among a number of individuals who successfully petitioned the tribunal service. Despite strenuous efforts by court officials no-one from Avocet could be contacted prior to hearings being held.

We were told recently by both Mr Jeffrey and Ms Shotton that they had yet to receive any kind of payment from Avocet's management.

Mr Frost made reference to the Munro case in a "memo" sent to Avocet shareholders on Monday of this week. This followed the disclosure that a new company called Therapeus Ltd. was to become a director of Avocet Natural Capital. And that the directors of Therapeus would include Donald Macleod and Scott Thomson, both shareholders in Avocet.

In his 'memo' Mr Frost wrote: "On Saturday 19th March I met up with Mr. Donald MacLeod who along Mr. Scott Thompson are keen to drive on Avocet Natural Capital Limited’s distribution. On Sunday 20th March whilst having breakfast with the MacLeod family; Dr. Bob Jennings via a phone call advised Donald that due to ill health Bob had missed a tribunal deadline causing Mr. Iain Munro in absence to obtain a £170,000 judgement against Avocet IP Limited.

"Appealing this judgement could delay the ANC Plc distribution for two years or more so Donald & Scott are mindful to use the £6 million tangible security granted to them in 2018 to purchase ANC Plc shares from potential smaller ANC Plc owners. On Thursday 24th March. Donald plans to issue a communique on this proposal which will incorporate from whence shareholders can expect money."


Sunday 20 March 2022

Council's £1 asset sales revealed

EXCLUSIVE by DOUGLAS SHEPHERD

Two plots of publicly owned development land in the Scottish Borders - valued at £495,000 and £200,000 according to a local authority assets register - were sold for just £1 each to a housing association, a response to a Freedom of Information request has shown.

The council had been asked for details of all asset sale transactions since the turn of the current century by a requester with the authority's three-page reply now posted on the internet. The cash gained from more than 100 sales of land and property are available although in many cases the identity of the buyer(s) has been redacted.

According to the list supplied by SBC, the Guthrie Drive Development Site in Hawick was sold to Eildon Housing Association on March 12th 2019 for a pound. This is the full entry in the FOI response with its reference number:

HW068/02 Guthrie Drive Development Site - SOLD Guthrie Drive Hawick Sold to Eildon Housing Association, Registered office, The Weaving Shed, Ettrick Mill, Dunsdale Road, Selkirk, TD7 5EB for the sum of £1 (if asked) dated 12/03/2019

A 97-page asset register dated 2015 which is available on the council's website includes net book values [NBV] for all land and property in SBC ownership at that time. The register records:

HW068/02 - Guthrie Drive Development Site Guthrie Drive, Hawick, ROX, TD9 7QQ  Property Plant and Equipment 01/04/2013 495,000.00.  The date 01/04/2013 refers to the date the Guthrie Drive site was valued.

A similar set of circumstances apply to the sale of the Springwell Brae Development Site in the Peeblesshire village of Broughton.

The information supplied to the FOI requester states:

BR001/01 Springwell Brae Development Site - SOLD Springwell Brae Broughton Sold to Eildon Housing Association Ltd, Registered Office, The Weaving Shed, Ettrick Mill, Dunsdale Road, Selkirk, TD7 5EB dated 23/03/2018 for the sum of £1 if asked.

And the 2015 asset register shows:

BR001/01 - Springwell Brae Development Site Springwell Brae, Broughton, TWD, ML12 6FE 0 Property Plant and Equipment 01/04/2013 200,000.00

There is no indication in the council's document as to the meaning of the words 'if asked' which appears in both the Guthrie Drive and Springwell Brae entries.

Eildon Housing Association is the main developer and provider of new affordable housing in the Scottish Borders. Their £1.9 million development of the Springwell Brae site provided 11 new homes.

The council's response also shows the cash generated by the sale of former primary and secondary schools, outdoor studies centres and local government offices as well as greenfield and brownfield sites.

These are some of the transactions taken from the published information:

AS001/01 Ashkirk Primary School - SOLD Ashkirk Building Sold to (name redacted) dated 9 November 2009 for the sum of £95,300. CL002/01 Caddonfoot Primary School - SOLD Clovenfords Sold to Xafinity Pension Trustees Limited re The Johnston Joint SIPP Registered Office, Phoenix House, 1 Station Hill, Reading, RG1 1NB dated 10 July 2015 for the sum of £106,100.

 DN003/01 Duns Local Office 14 Newtown Street - SOLD 14 Newtown Street Duns Building Sold to (redacted) dated 13 June 2014 for the sum of £170,700 - Additional funds may be due under missives depending on level of developer contributions (Purchaser`s Solicitor holding £15k on deposit).

 DN005/02 Lanark Lodge Bungalow (SB Cares) (SOLD) (Remove from TF 22/23) Sold Bridgend Duns Building Sold to (redacted) on 3 September 2021 for the sum of £160,000.

 ER003/02 Former Earlston High School Site - SOLD High Street Earlston Sold to Eildon Housing Association Ltd, the Weaving Shed, Ettrick Mill, Dunsdale Road, Selkirk, TD7 5EB, dated 31/03/2017 for the sum of £450,000.

 GD001/01 Glendouglas Primary School - SOLD Glendouglas Sold to (redacted) dated 19 July 2010 for the sum of £206,156.

 GL061/01 Land at Easter Langlee - SOLD Easter Langlee Ind Estate Galashiels Sold to Eildon Housing Association Ltd, Registered Office at The Weaving Shed, Ettrick Mill, Dunsdale Road, Selkirk, TD7 5EB for the sum of £705,000 dated 14th October 2016.

 GT002/01 Grantshouse Outdoor Study Centre - SOLD Grantshouse Sold to (redacted) dated 4th May 2018 for the sum of £75,000.

 HW056/02 Galalaw Farmhouse/Buildings - SOLD Galalaw Hawick Sold by SBC & Scottish Enterprise Borders to (redacted) dated 26 August 2010 for the sum of £305,000.

 HW077/01 Land at Hamilton Road Burnfoot - SOLD Hamilton Road Hawick Land Sales of land 1.933 hectares to The Three Stills Company Ltd, The Borders Distillery, Commercial Road, Hawick TD9 7AQ dated 1 May 2019 for the sum of £220,000.

 JD019/01 Jedburgh Contact Centre - SOLD 3 Exchange Street Jedburgh Sold to (redacted) dated 18 December 2015, £125,000. JD019/02 Jedburgh Provost Room - SOLD 3 Exchange Street Jedburgh Building Sold to (redacted) dated 18 December 2015, £125,000.  JD019/03 Upper Floor Offices - 3 Exchange Street - SOLD 3 Exchange Street Jedburgh Building Sold to (redacted) on the 18th December 2015 for the sum of £125,000

 KL006/01 Kelso High School - Sold Bowmont Street Kelso Building Part Sale to Eildon Housing Association Ltd, The Weaving Shed, Ettrick Mill, Dunsdale Road, Selkirk dated 29/03/2019 for the sum of £725,000. Remaining sale to M&J Ballantyne Ltd, 24 Shedden Park Road, Kelso TD5 7AL on 26/3/2021 for the sum of £390,000.

 KL015/07 Unit D Pinnaclehill Industrial Estate - SOLD Pinnaclehill Kelso Building Sold to Plexus Corp (UK) Ltd dated 9 February 2010 £1.00. KL016/01 Kelso Area Office - Sold Rose Lane Kelso Building Sold to FBR Seed Ltd, Academy House, Shedden Park Road, Kelso TD5 7AL dated 15 November 2019 for the sum of £175,246.

 LD002/01 Lauder Primary School (Old) - SOLD Crofts Road Lauder Sold to Eildon Housing Association Limited, The Weaving Shed, Ettrick Mill, Dunsdale Road, Selkirk, TD7 5EP dated 29 June 2010 for the sum of £235,000.

 ML004/01 St Dunstans Office - SOLD High Street Melrose Sold on the 9th February 2016 for £275,000.00 to (redacted).

 RT002/01 Roberton Primary School - SOLD Roberton Sold to (redacted) dated 28 August 2013 for the sum of £90,000.

 ST002/01 Stow Primary School (Old) - SOLD Galashiels Road Stow Building Sold to Phingask Estates Limited, Registered Office, Netherbrotherstone House, By Heriot, EH38 5YS dated 31/03/2017 for the sum of £120,000.

 TM002/01 Tweedsmuir Outdoor Study Centre - SOLD Tweedsmuir Tweedsmuir Sold to (redacted) dated 8 November 2011 for the sum of £180,000

 WL002/01 West Linton Primary School (Old) - SOLD School Brae West Linton WL002/01 (PS) & WL002/04 (Nursery) Sold to Eskgrove (WL) Limited, registered office 1 Rutland Court, Edinburgh, EH3 8EY dated 07/02/2019 for the sum of £468,000.


Monday 14 March 2022

Tweed salmon catches down by almost 40 per cent

by EWAN LAMB

The roller coaster fortunes experienced in recent years by salmon anglers on the River Tweed continued during the 2021 season when the total catch plummeted by 39% on the previous year's figure.

Scientists and others with an interest in the well being of the king of fish will no doubt be scratching their heads after the River Tweed Commission [RTC] which administers fishing on the world famous river confirmed the rod catch last year was a mere 5,862 fish.

It had looked as though a series of relatively poor seasons might have come to an end with a 67% increase in salmon caught during 2020 to 9,614 despite the draconian Covid-19 measures which severely restricted angling activity.

But the annual report from RTC has left the fishing fraternity concerned for the future of a local industry which has been worth many millions of pounds each year to the economy of the Scottish Borders.

At the same time sea trout rod catches also fell from 1,872 in 2020 to 1,328 last year, the third lowest total since 2005.

The report says: "The total rod catch of 5,862 salmon was a major disappointment after the encouraging result of 2020. Of important note, 93.5% of rod caught salmon were returned safely to the river, reflecting a year on year increase in return rates since 2010. This is the first time the number of rod caught fish has exceeded 90% and demonstrates how angling practices continue to evolve on a voluntary basis."

Many anglers who fish regularly on the main river and its tributaries have long complained about the level of predation of juvenile salmon by goosanders and cormorants, two fish eating species of birds which populate the Tweed catchment.

According to the 2021 report: "The January and May counts for goosanders in 2021 were the lowest on record; only 68 birds were counted in January (long term average of 279) and 37 birds were counted in May (long term average of 115). The October count was around average (283 birds) and the April count was just below the long term average.

"These results represent a continuation of below average numbers for every count carried out in 2020. Counts on the Dee and Spey in the same time frame are reported to be around average, so these results appear to be specific to the Tweed rather than a change in the wider population, perhaps reflecting changes in migratory patterns."

It adds that cormorant numbers for the last two years have been around average for each count, with the exception of a record 191 birds counted in October 2021 (average 68).

"Given that cormorants are twice the size of goosanders, therefore eating potentially double the quantity of fish and their ability to eat fish greater than parr size, their damage to the Salmon, Trout and Grayling fishery is likely to be significant. An application to increase our licence for shooting cormorants based on the October count has been made.

"Goosander tracking: As a joint project between The Centre for Ecology and Hydrology, The British Trust for Ornithology, The Game and Wildlife Conservation Trust and The Tweed Foundation, six goosanders were caught on the Leader and Gala Water in Spring 2021, tagged and then released. Birds were located every 15 minutes using the mobile telephone network. As a pilot project, the method of capture, tag retention and data generated was evaluated. Unfortunately, the results cannot be shared until the official report has been released by Marine Scotland Science."

In his contribution to the report, head fishery officer Karl Ferguson says that during 2020 the enforcement team experienced a significant increase in fishery related incidents. This increase in illegal activity coincided with the outbreak of Covid-19 and the strict Government restrictions which followed. It was a concern that this trend would continue into 2021 but it soon became apparent that with the reduction in Government restrictions and the introduction of vaccines, fishery related incidents returned to levels experienced prior to the Covid-19 outbreak.

"The Tweed Estuary and the Whiteadder have been the hot spots for illegal activity during 2021, with illegal activity peaking from the middle of June to the end of July, with this coinciding with an increase of salmon and sea-trout entering the catchment."

A total of 13 significant illegal fishing incidents were logged on the main Tweed, including the estuary, compared to 35 in 2020. At the same time the Whiteadder tributary experienced 13 incidents during 2021, up from nil the previous year.

Mr Ferguson states: "The most common offence encountered by the enforcement team is fishing without permission; many of the offenders have very little fishing experience and are oblivious to the fact that permission is required. The enforcement team tries to educate individuals in the majority of circumstances where a minor offence has been committed."

 

Monday 7 March 2022

A 'local' remedy for poor circulation?

by LESTER CROSS

The latest certified sales figures covering most of the print editions of Borders weekly newspapers make for extremely grim reading and suggest a number of local titles are already in intensive care if not terminally ill.

It was particularly worrying to see the former Tweeddale Press twins, The Berwick Advertiser and The Berwickshire News averaging little more than a thousand copies each week in 2021 after haemorrhaging massive swathes of paper sales.

The Audit Bureau of Circulation [ABC] statistics show the Advertiser sells a mere 1,281 copies, down by 24% on the 2020 average of 1,683 per week. The comparable figures for the Berwickshire title were 1,115 (2021), a drop of 16% from the 2020 total of 1,324.

It is worth noting that as recently as 2012 the Advertiser was selling an average 6,079 papers weekly with the Berwickshire News recording sales of 4,506. The migration to online access by newspaper readers shows no sign of slowing down.

The situation seems equally depressing for another JPI Media title, The Southern Reporter which suffered a 15% slump in printed copy readership last year alone. The ABC tables show the Southern with 4,603 copies sold each week, down from 5,395. Less than ten years ago the Selkirk-based title was selling 13,953 papers weekly.

In the case of the Newsquest Media Group pair Border Telegraph and Peeblesshire News sales losses in recent years have been slightly less dramatic in percentage terms, but concerning nonetheless.

These titles no longer feature in the ABC figures, but in 2018 the Telegraph was recorded at 2,384 - down 9% on the previous 12 months while the Peeblesshire sale was 2,939, a 6% reduction on 2017. The corresponding sales numbers for 2012 were 3,532 for the Telegraph and 4,496 for the PN.

There have been calamitous losses too for the daily and Sunday titles which once enjoyed healthy sales in the Scottish Borders. The national daily figure for The Scotsman in 2021 stood at 9,852, a far cry from the 35,949 copies sold daily in 2012.

Meanwhile Scotsman stablemate Scotland on Sunday was selling an average 5,881 papers each week, 14% less than the 2020 ABC figure of 6,843.

A long time observer of the Scottish newspaper scene told us: "I note JPI have decided to reverse their decentralisation plans for some of their titles, which doesn't bode well for the former Tweeddale papers. The chances of them having a local editor, or group editor, now appear to be slim to none. But to be honest, JPI's formula of ever-increasing cover prices, a dearth of investment in editorial, and a drop in pagination is likely to only accelerate their titles' demise anyway, regardless of whether local editors are in post or not.

"The Scotsman, in my opinion, can't really call itself a national newspaper anymore with such a low sales figure. There have been rumours for many years now that they would ditch the print edition and concentrate on an online version. Again, though, without serious investment in journalism, perhaps something like The Times digital version, I don't really think this would succeed either."

With so many newspaper titles in jeopardy since the dawn of the digital age, it must have taken large helpings of courage and conviction to launch a brand new Borders weekly during the turmoil of 2016 with newspaper sales on the slide.

But that is exactly what Jason Marshall decided to do, and it appears to have paid off against all odds. His experience in and knowledge of the local newspaper trade has been put to good use.

The family-owned The Hawick Paper does not feature among the toiling publications listed by the ABC, but it continues to sell the same number of copies these days as it did when the first issue hit the newsagents more than five years ago.

And there's nothing complicated nor fancy in proprietor Mr Marshall's recipe for success. The ingredients are simple...his team of journalists concentrate 100% on ultra-local stories, issues and photographs - subjects which might be of no interest whatsoever outside The Hawick Paper's bubble which covers the town and its immediate hinterland.

The editorial staff appear to have as their motto the old adage "a day oot o' Hawick's a day wasted".

Mr Marshall told Not Just Sheep & Rugby: "Our paper continues to go from strength to strength since we launched around five-and-a-half years ago. We sold out our first edition of 3,000 printed copies, and now sell around 3,000 in print and around 600 digital versions."

The much acclaimed paper is also a hit with Hawick exiles the world over.

A remedy for poor circulation which could, perhaps, be picked up and adapted by the distant owners of other Borders publications. There could be a future for the local press after all.
 


Sunday 6 March 2022

Investors' embezzlement claims against Avocet chairman

by OUR BUSINESS STAFF

Shareholders who fear they have lost millions of pounds following the collapse of the Avocet group of companies are behind a complaint to Police Scotland alleging their money has been misappropriated by bankrupt businessman Martin Frost.

In the past Mr Frost has denied the Avocet venture, based around the development of a revolutionary fuel to power vehicles, was a Ponzi scheme even though his companies have failed to bring any commercial product to market since he launched the group in 2014.

Now, according to an article in today's Sunday Times, he is strongly refuting allegations of theft and embezzlement of an estimated £15 million from investors in Avocet. Apparently he pins the blame for losses on criminal activity by others.

A source told Not Just Sheep & Rugby that around 50 shareholders are supporting the demand for a criminal investigation into Mr Frost's business dealings, and lodged an official complaint with the police and Scotland's Crown Office during the course of last week.

We were also told: "The failure by any of the regulatory bodies including Companies House and the Insolvency Service to look into the activities of companies controlled by Mr Frost over the last 40 years is astonishing. It is to be hoped the police will manage to get to the bottom of the mystery surrounding the missing Avocet millions".

Last month we reported on the frustrations which have plagued the administrators who are probing the financial collapse of Avocet subsidiary Orrdone Farms Ltd. Emma Porter, the insolvency expert in charge of the inquiry confirmed in her latest progress report to creditors that Mr Frost and others who ran the failed business had refused to co-operate in her quest for data, financial records and other paperwork linked to the collapse.

Hundreds of wealthy and not so wealthy individuals had bought shares in Omega Infinite, the Avocet flagship company which is currently in compulsory liquidation. Mr Frost and his fellow directors later switched the share holdings into Avocet Natural Capital PLC [ANC], a business which has not produced accounts since 2018.

However, although the subsequent financial report for 2019 is now long overdue, and a confirmation statement should have been with Companies House last November, ANC remains active and on the Register. Mr Frost relinquished his directorship of that particular firm on February 8th, no doubt a consequence of his bankrupt status.

According to today's Sunday Times article, retired police officer Gary Flannigan, who has been supporting the complainers, commented: "“Economic crime has a huge impact on our economy but ultimately it is the public who end up footing the bill.

“This particular case seems to be an extreme example of how an individual is able to manipulate inherent weaknesses in companies law to potentially misappropriate millions of pounds from investors. It demonstrates the urgent need for legislative change.”

The newspaper also covers previous business failures by companies controlled by Mr Frost from the 1980s onwards.

In a number of instances former employees raised employment tribunal proceedings against Mr Frost claiming wages had not been paid, pay had been withheld, and sometimes there were allegations of unfair dismissal.

During the course of 2020 and 2021 we reported the experiences of former Avocet employees Tristan Jeffrey and Sarah Shotton. They were subsequently awarded thousands of pounds by a tribunal judge. But neither of them has received a settlement from their one time employers.

And The Sunday Times reports: "One individual who has a relative that invested in Avocet, said: 'Avocet reminds me of the Wizard of Oz. I suspect there really is nothing behind the curtain other than an old man pulling strings. However, in the movie the old man was a benevolent fellow. In this situation, in my view, not so much.'”

Mr Frost, who has frequently threatened legal action against individuals who challenged him or suggested the Avocet enterprise might be a scam, is quoted by the Sunday newspaper as saying he “refutes the allegations of fraud and embezzlement”.   He said he had no knowledge of the complaint to Police Scotland.

As reported previously in these columns, Mr Frost told shareholders in news letters he circulated last year that the "valuable" patents associated with the avocet fuel had been sold for tens of millions of dollars to an unnamed purchaser.

At his bankruptcy hearing before Leeds County Court a lawyer for the petitioners identified the buyers named by Mr Frost in court papers, as the Israeli Government's security service.

But John Rodger, counsel for those seeking bankruptcy orders against Mr Frost and his wife, said: "His assertion that essentially 21st century alchemy is going to put $6.1 million in his pocket is fanciful and utterly without substance."

Thursday 3 March 2022

Council leader Rowley's two jobs "unsustainable"

by DOUG COLLIE

The leader of Scottish Borders Council has placed himself in an 'unsustainable position' by deciding to take on a second high profile publicly funded job which has the potential to create conflicts of interest, it has been claimed.

There was considerable surprise both inside and outside the council after this week's editions of local newspapers carried stories about Councillor Mark Rowley's appointment as Strategy Manager - Tourism for South of Scotland Enterprise [SoSE], the economic development agency for Scottish Borders and Dumfries & Galloway.

When the post was advertised last November the vacancy had a £6,300 a month salary tag (more than £75,000 a year) although there is no indication of how much Mr Rowley will be paid. The leadership role at SBC carries an allowance of £36,000, and is regarded by many of his fellow councillors as a full-time position.

For the last 25 years and more Mr Rowley has been in public relations employment with a collection of five-star hotel and restaurant businesses in Edinburgh.

He told the Southern Reporter and the Border Telegraph: “Leaving that position has been a huge emotional wrench, but the opportunity to bring the experience of decades of working in tourism at the highest level to work for tourism in the Scottish Borders and the South of Scotland would be a missed opportunity. I hope it will allow me to roll up my sleeves and deliver in a different way for the Borders"

Mr Rowley is also quoted as saying: “My commitment to the Borders and south of Scotland is a constant 24/7 one – I don’t think I’ve ever been challenged on that. I’m supporting our region every day, that won’t change.”

Mr Rowley has also given up his portfolio position as the local authority’s executive member for economic regeneration and finance – a responsibility now in the hands of Jedburgh councillor Scott Hamilton.

According the local weeklies Mr Rowley believes having a permanent full-time job and a council role are far from incompatible – and encouraged people of all ages and all walks of life to consider it ahead of May’s Local Elections.

But his 'two job' philosophy is certainly not shared by Councillor Stuart Bell (SNP), the leader of the opposition group at SBC,

He told Not Just Sheep & Rugby: “I have a lot of time for Councillor Rowley, I find him to be intelligent, empathic and energetic.  But I really cannot understand how he can be both Leader of Scottish Borders Council, and take on a job as Strategy Manager, Tourism for SOSE.  They are both big jobs.

“I have told Councillor Rowley that I think he is putting himself in an unsustainable position. 

“Firstly because there is a lot of work involved in being an ordinary Councillor - not least in terms of helping constituents, and interacting with communities in a ward. But when the responsibilities of Leader of the Council are added; together that’s a full-time job.  I think it is unsustainable to take on the senior tourism role with SOSE, whilst still being a Councillor and the Council Leader - something will inevitably suffer.  Whilst it is Mr Rowley’s prerogative to decided to take on all three tasks, it could be the public interest that suffers.

Mr Bell warned of "a potential two-way conflict of interest."  

He explained: “On the one hand the Leader of the Council cannot wholly divorce himself, or herself, from all of the functions and responsibilities of the other members of the Council’s elected Executive.  Economic development - with tourism at the heart of it - impinges on so many of the Council’s activities that it is just abstract theory to imagine there can be ‘Chinese walls’ keeping the Leader away from decisions where he might be prejudiced because of his SOSE job." 

For example, said Mr Bell, if there was to be a decision by the Council, or the Executive, about financing public toilets -  which he (Mr Bell) thought an essential public service -  would the Council Leader have to keep out of any debate.. because of the risk that tourists might use the public toilets?

And Mr Bell continued: “But the problem cuts the other way too.  If, for example, the new SOSE Tourism Strategy Manager makes any decision - say on investment priorities - that benefits the Scottish Borders; how will the public, or elected representatives, in Dumfries and Galloway get reassurance that Mr Rowley’s opinions and actions were impartial and not influenced by his role as Leader of the Borders Council?

“Whichever way I consider Mr Rowley’s desire to be both the Leader of our Council, and the SOSE Tourism Strategy Manager I conclude that - notwithstanding Mark’s considerable abilities - the combination of jobs is unsustainable; and I feel it is unsupportable.”

The Strategic Manager - Tourism job advertisements included the following passage of text: "Tourism is thriving in the south of Scotland, and you’re a proven expert. A strategist working within the Visitor Economy, you’ll be inspired by the chance to shape plans for the South of Scotland’s future. As part of our new and growing organisation, you’ll do something amazing for the region – all while enjoying the benefits of flexible working options and a supportive culture."

And it added: "Your task will be to develop our policies and strategic approach for Tourism and the Visitor Economy. It’s a chance to advise colleagues working directly with businesses and communities within the sector, as well as those working on tourism projects and programmes. At the same time, you’ll work with the Scottish Government to influence and inform broader tourism policy."

Not Just Sheep & Rugby twice asked Councillor Rowley for comment about his new post before the news broke on newspaper websites, but he did not respond.

Wednesday 2 March 2022

Council's commercial project is now non-commercial

EXCLUSIVE by EWAN LAMB

A design statement produced by Scottish Borders Council for the authority's flagship Inspire Academy project was factually inaccurate and has had to be withdrawn, meaning the 'private commercial enterprise' has become a 'non-commercial education programme' within the space of two weeks.

As we reported only last week, the council has lodged a planning application with its own planning department seeking a change of use for part of the ground floor of a new office building at Tweedbank, near Galashiels. The rest of the block is due to be occupied by CGI, the local authority's IT providers.

When the application was lodged on February 11th, the supporting design statement left readers in no doubt the establishment of the Inspire Academy would be a profit making concern.

The document stated: "The proposal is to occupy one area of the ground floor with a private commercial enterprise.

"The business is an LLP [Limited Liability Partnership] and is a partnering project between Scottish Borders Council and Inspire. The purpose of the business is to equip their clients with digital skills to enable them to fortify their digital business abilities, personal software skills and teach others how to use this technology. Their demographic includes: local businesses, teachers and people who wish to expand on their personal abilities to use digital solutions for everyday activities.

"It is proposed that clients may access the space with pre-agreed booking. The business will be set up to enable research by the clients into new products and provide them with instruction in a workshop type environment. The proposed layout of the space will include a workshop area, a meeting room, focus area and exhibition space."

In fact the LLP, named SB Inspires was set up by the council itself last November. But a number of councillors have told Not Just Sheep & Rugby they had not been provided with full details and proposed function of the new business.

But it has now transpired that a completely different version of the design statement has been drawn up to replace the original report. The replacement statement was lodged with the planners on February 24th.

It states: "The Proposal for this building is to occupy one area of the ground floor as a base for the award-winning Inspire Learning Programme. The pioneering programme seeks to transform learning in Scottish Borders and the building will provide a physical base for the Inspire Learning team to allow the programme to grow and expand its horizon. 

"The vacant space in the new office building provides an exciting opportunity for this. The purpose of the space is to is to provide a hub for developing digital skills, enabling users to learn how to effectively use technology in learning. Potential users of the space include: SBC teaching staff, young people, families and local businesses. It is proposed that the space could be booked for education events and courses and accessed via pre-agreed booking. 

"The space will enable Inspire Learning, and SBC, to keep it’s place at the forefront of education. transformation at a time where it forms an important part of the national conversation around education. It will also provide the potential for developing relations with other local authorities and education projects The proposed layout of the space will include a workshop area, a meeting room, focus area and exhibition space. 

"The Business Inspire Learning is an SBC Education programme and, as such is non-commercial. The variety of spaces within the building will facilitate workshops and digital skills development courses, co-working spaces for developing content, and the ability to host education events, both virtually and in person. In future the building could also host activities which are of a commercial nature, and could potentially be profit making. It is anticipated the maximum number of occupants within the area will not exceed 80 and would typically be around 45 (including 15 staff members)."

We asked the council to explain why there had been a complete U-turn from 'commercial' to 'non-commercial' in less than a fortnight. And we also asked: "It is now apparent that SBC will be funding the venture. We did ask previously for costs associated with the project, but none were provided. So can we again request details of the cost of the project and how it will be paid for?"

There was still no detail concerning the level of expenditure required to set up the academy. But according to a spokesperson at SBC: “The initial design statement was submitted in error and was removed due to its factual inaccuracy. This has now been replaced with an updated brief which more accurately reflects the nature of the proposal.

“Funding for the project will be sourced from the Council’s Capital education budget.”

The council's Capital Investment plan for 2022/23 includes a figure of £453,000 under the heading Inspire Academy although there is no confirmation that this will be the amount needed for the project.

One elected member told us: "Councillors have yet to receive a Business Plan for this project and they have no idea of the total cost. There has been no approval given".

That view was echoed by a second councillor who contacted us. The member remarked: "We have not seen any of this information: it’s clearly being kept amongst a few. The council did agree to ‘commercialise’ opportunities presented from the Inspire Learning programme but there was little or no detail."