MINISTERS are facing demands for a public inquiry into Scotland's new rail franchise following the dismissal of the chief executive of ScotRail's parent company over "irregularities".
Just two months after the franchise was awarded, the RMT union said the Government now had to reassure the public the contract with Abellio was all above board after the departure of Jeff Hoogesteger for his role in a scandal engulfing the Dutch firm.
Mr Hoogesteger was dismissed last Friday without severance pay following dawn raids at the State-owned Dutch Railways Nederlandse Spoorwegen (NS) and the subsequent resignation of its boss Timo Huges.
Mr Hoogesteger was a co-signatory of the contract which awarded the franchise to Abellio, had moved to Edinburgh and was based at Abellio UK's new headquarters in Glasgow.
Both men are reported to have been involved in a scandal relating to a new contract to provide trains in the southern Dutch province of Limburg. It was reported in the Netherlands that the raids were carried out as part of the investigation into possible abuse of dominance and other potential violations of the Dutch Railway Act.
In a letter to Transport Minister Derek MacKay, the RMT's general secretary Mick Cash, said the trade union believed it was "vital to re-assure the public by holding a full inquiry into the letting of the Scotrail contract.
"With the press reporting an investigation into Jeff Hoogesteger, the CEO of GB-based Abellio Transport Holdings Ltd, has seen him also removed from office without any compensation, I am sure you will agree this has to be of major concern to everyone involved.
"If the Dutch Finance Minister believes the whole culture in NS/Abellio is wrong and needs to change RMT believes the Scottish Government needs to clearly show that nothing was irregular with the tendering for the Scotrail franchise. Only a full public inquiry can do that.
"I believe our members and most of all the Scottish people need that re-assurance."
Abellio won the franchise last October from previous operator FirstGroup and fellow bidders National Express, Arriva, and MTR of Hong Kong.
Following the award, the National Express managing director Mary Grant conveyed her concerns to former First Minister Alex Salmond and the rest of the Scottish cabinet.
She said the closeness of the bid scoring, which Abellio won by just 0.24 per cent, should have been the catalyst for further final offers to be submitted to Transport Scotland, the quango running the competition for the Government, to secure further benefits.
She also told Mr Salmond the National Express bid required "the lowest taxpayer subsidy" and asked for a detailed explanation as to why their attempt failed.
Abellio also runs train operator Abellio Greater Anglia, and Northern Rail and Merseyrail in joint ventures with Serco, and buses in London and Surrey.
The RMT has also written to the UK Government over Abellio's bidding for rail contracts on the Anglia and Northern franchises.
A Scottish Government spokesman said: "We have received assurances that appropriate steps are being taken by Abellio UK to continue to manage its separate UK franchises by putting customers first.
"There is absolutely no suggestion of any conduct that puts the ScotRail franchise procurement process in doubt. "Reviews by Audit Scotland and independent auditors have supported and indeed praised that process."
The franchise has been let for ten years with a break option exercise-able before the fifth anniversary, when performance will be assessed.
No-one from NS/Abellio was available for comment. Last week Abellio UK managing director Dominic Booth said: "This does not directly affect the leadership of the franchises we run in the UK, which operate under distinct local management."
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