NHS Greater Glasgow officially granted the tender to Network Private Hire yesterday following months of delays after the police took the unusual decision to intervene.
Previous board decisions were postponed partly because some members had moral concerns about the contract. However, senior legal counsel warned that the board had already gone too far and that they could be liable to legal action.
In September, Strathclyde Police wrote to NHS Greater Glasgow to urge them not to go ahead with the award to Network Private Hire, which was on the brink of winning the deal to transport patients and supplies from Glasgow hospitals. The taxi firm then demanded an apology from the police, claiming the company had been “victimised”, but the force has stuck by its original view.
A spokesman said at that time: “Strathclyde Police is committed to sharing information with public and local authorities to block companies connected to, or which are fronts for, organised crime benefiting from public contracts.”
Politicians have also raised concerns about granting a public contract to the firm, which was raided as part of a previous police operation.
Network’s former offices in Springburn were raided as part of Operation Maple, a money-laundering investigation in 2004. The inquiry resulted in a £5m asset order against Russell Stirton under proceeds of crime laws. Searches were carried out at offices in Foundary Street, Glasgow. However, the case is still going through the courts.
Yesterday, a health board spokeswoman said: “The board has approved a recommendation to award a contract for the provision of taxi services to Network Private Hire Limited. The decision follows many months of careful consideration which included legal advice and the opinion of junior and senior counsel.”
Rob Shorthouse, director of corporate communications for Strathclyde Police, said: “Clearly we are disappointed with this decision. While we feel that we did all we could to pass on the relevant information, this was a decision for the board to take.”
Bill McIntosh, general secretary of the Scottish Taxi Federation, said: “I am astounded at their decision, particularly in light of the advice they received from Strathclyde Police. I am astonished because the funding is coming from the public purse.”
A spokesman for Network Private Hire said yesterday: “We are delighted with the decision of the health board finally to rubber stamp the award of this contract to Network Cars. We now look forward to working in partnership with them in providing the high quality, efficient and affordable service for which we have become renowned by all our clients.
“We have also invited the chief constable of Strathclyde Police to meet us to address any issues he may have with our company and we look forward to hearing his response.”
Yesterday’s decision follows recent calls by Justice Secretary Kenny MacAskill for a crackdown on serious organised crime. Earlier this month, he announced that firms providing private security for the Scottish Government will have to hold approved contractor status within the industry. Only those in the Security Industry Authority’s approved contractor scheme will be considered.
The head of Scotland’s leading crimefighting agency also recently called for public procurement to be tightened to stop gangsters using it for “pay-as-you-go criminality”.
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