THE taxpayer-supported nationalised shipyard firm at the centre of the nation's ferry fiasco faces being dissolved because of failures in lodging financial statements over its business affairs.
Ferguson Marine, which was taken over by the Scottish Government four years ago after its financial collapse under the control of tycoon businessman Jim McColl were due to deliver accounts on December 31 but they are still due.
According to Companies House a complete failure to file accounts is a criminal offence and directors can be personally fined in criminal courts.
Companies House, the UK Government executive agency which oversees the incorporation of firms across the nation has triggered a "strike off" process which could see Ferguson Marine and three other allied companies that are trying to deliver two long-delayed lifeline ferries formally closed.
David Tydeman, chief executive of Ferguson Marine said the directors were "disappointed" to miss the deadline.
Glen Sannox and Hull 802 were due online in the first half of 2018 when Ferguson Marine was under the control of Mr McColl, with one intitially to serve Arran and the other to serve the Skye triangle routes to North Uist and Harris, but they are at least five years late. The last estimates suggested the costs of delivery had more than quadrupled from from the original £97m cost.
The compulsory strike off process usually only begins after the firm is sent at least two formal letters of warning while detailing the issues they have.
The first strike off notices, which are expected to be published publicly in four days time, declares that the firms have two months before they are struck off and cease to exist as an official company.
Ferguson Marine can dispute the strike off and apply for a suspension application to Companies House, but would be expected to resolve the issues that led to the process starting, including filing the missing financial statements and sending off other relevant business information. They may also have to provide proof that they are still trading.
According to insolvency experts, as long as you can prove the company is viable and should not be struck off, there is a chance it will be suspended or discontinued.
One ferry user group official said serious questions should be answered over the continuing failures - after new executives were brought in to turnaround the shipyard.
"The issues with delivering our ferries delivers embarrassment after embarrassment. It beggars belief that this process has had to be started and it just raises wider concerns about the management of the yard under the relatively new leadership."
Ferguson Marine appointed David Tydeman as its new chief executive officer to lead the business to "sustainable growth" last year.
His appointment was greeted by finance secretary Kate Forbes who described it as an "important milestone" for the company and "reflects the progress made since the Scottish Government stepped in to save the yard and the jobs".
The Port Glasgow shipyard went into administration in August, 2019 and nationalised after its ferry-building endeavours were dogged by delays and overspends.
The development comes after the Herald on Sunday revealed that the cost to the taxpayer of Ferguson Marine has soared to more than £450m.
The sum is more than £200m more than what public spending watchdogs were expecting would be spent to finally deliver the two ferries at the centre of the Ferguson Marine debacle last year during its inquiry into the rising costs.
The Scottish Government has sanctioned the ploughing in of just over £330m into Ferguson Marine since it was nationalised at the end of 2019 - including a further £60.9m budgeted for the next financial year. - with the firm's primary aim to deliver the ferries.
It emerged that ministers have overspent against budget to the tune of over £120m over the last three years in the wake of continuing delays in the production of two vessels being built to serve island communities.
David Tydeman, chief executive of Ferguson Marine (Port Glasgow), said: “The directors are disappointed to have missed the end of December deadline which is largely due to our auditors Grant Thornton closing some outstanding issues with Audit Scotland and the Scottish Government. Following adoption and approval by the Scottish Parliament, planned for mid-March, we expect the accounts to be filed with Companies House by end March 2023.”
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