Leaked documents show businessman went on a spending spree and left a council effectively bankrupt.
A businessman cheated a council out of tens of millions of pounds and went on a spending spree with the cash, an investigation has discovered.
Woking, Slough and Croydon have all been forced to stop all non-essential spending after losing public money on risky investments.The Audit Commission - a spending watchdog that stopped councils taking too many risks - was abolished in 2015. Administrators are now selling the solar farms and Thurrock is facing a £200m shortfall on its investment.Vickki Jarmyn has run a dance group for people with learning difficulties in the area for the past 14 years. But her £7,000 grant has been cut and the group is under threat.
In 2020, Mr Kavanagh was told by staff that the average power price was predicted to be £41.70/MWh. But he insisted the valuers should be given an inflated price of £62/MWh, which they seemed to accept. An email Mr Kavanagh sent in 2020 suggests he always planned to spend council cash on himself. It says: "These funds… will be used to create a new family investment office and to create wealth for years to come. This has always been my plan."on BBC iPlayer nowHis lawyers said the transactions were all legal and that he was entitled to spend the council money on whatever he wanted.