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Britain’s High Court rules that UK nuclear agency ‘manipulated’ £7bn clean-up contract

bribery handshakeflag-UKUK nuclear agency ‘manipulated’ £7bn clean-up contract High Court ruling exposes government to potential £200m damages claim Ft.com  by: Catherine Belton, 30 July 16  Britain’s Nuclear Decommissioning Authority “manipulated” and “fudged” a tender process for a £7bn contract to clean up the country’s nuclear power plants, the High Court has ruled.

The judgment, handed down on Friday, raises fresh questions over the way government entities hand out multibillion-pound contracts and casts further doubt on the UK’s nuclear industry a day after the government’s decision to launch a review of the £18bn Hinkley Point project. It could eventually cost the government hundreds of millions of pounds in damages.

The NDA said it was considering its legal options after the ruling, which found that it had wrongly awarded one of the government’s largest contracts to Babcock, the UK engineering company, and Texas-based Fluor……..

The court found that the NDA had “manipulated” the valuation process in order to avoid disqualifying the Babcock-Fluor bid. “In my judgment the NDA sought to avoid the consequence of disqualification by fudging the evaluation,” Justice Fraser wrote in his ruling.

He found that the NDA “fell short” in meeting its obligations of “transparency and equal judgment”……..

he contract involves the clean-up of 12 of the UK’s 25 nuclear sites, including the Sizewell, Hinkley and Dungeness “Magnox” nuclear power stations built in the 1960s which have reached the end of their lives.

The government is facing increasing scrutiny over its procurement process following the referral of G4S and Serco to the Serious Fraud Office for overcharging on electronic tagging contracts for offenders, and the West Coast main line rail franchising debacle two years ago. https://next.ft.com/content/7f11f174-55ad-11e6-9664-e0bdc13c3bef

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July 30, 2016 - Posted by | Legal, UK

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