MG Rover report: Four slated for Rover collapse
LORD Mandelson today started moves to ban the Phoenix Four as directors after a Government report claimed the Longbridge bosses ran MG Rover for personal gain.
The Business Secretary was expected to move swiftly to launch director disqualification proceedings after the long-awaited report attacked the four men’s conduct at the helm at Longbridge.
The inspectors criticised the regime run by John Towers, Nick Stephenson, Peter Beale and John Edwards during their five-year reign at Longbridge.
But the Phoenix Four hit back fiercely, accusing the Government of “utterly offensive” claims and “a complete travesty of the truth”.
See the full MG Rover report here
They said: “The indications are that they will pursue disqualification proceedings against us, despite the fact that it is very well known that there is no possibility of us ever again considering this sort of role in the UK. It is political grandstanding”.
Inspectors revealed in the report that vice-chairman Peter Beale bought computer software to eliminate evidence the day after the Government announced the inquiry into Rover’s collapse.
The report said inspectors looked at explanations the four directors gave to the business select committee and found that Mr Beale gave “inaccurate and misleading” explanations.”
The report revealed Phoenix company Techtronic also provided financial support to John Edwards’ dealership Edwards Cars.
“Between December 2000 and the end of 2002 Edwards Cars invoiced PVH for sums totalling £3,877,958,” it said.
