13 Nov '14

News Nearly half of academy trusts paid millions to dubious contacts

NAO finds 43% of trusts paid public money towards private businesses of directors, trustees and relatives, worth estimated £71mNearly half of academy trusts have paid millions of poundsin public money towards the private businesses of directors, trustees and their relatives, Whitehalls spending watchdog has disclosed.The National Audit Office says 971 academy trusts 43% of those examined disclosed related party transactions in 2013 worth an estimated £71m. Almost £9m of this money posed a risk to public money, it added. Margaret Hodge, the chair of the public accounts committee which will question education officials about the figures, said the Education Funding Agency (EFA), which oversees the finances of academies, needed to get a grip of these dubious relationships. Continue reading...

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