A Perthshire community group which received six-figure public funding for a “failed” broadband project has been told it must agree to scrutiny of its operations.
The council ultimatum to the Highland Perthshire Community Partnership (HPCP) was agreed in private by a sub-committee of the strategic and resources committee and revealed in the published minutes.
HPCP was thrust into the limelight this month when it emerged that it had managed to deliver broadband to only 20 to 30 people despite £120,000 of public funding.
MSP Murdo Fraser branded it “a huge waste of taxpayers’ money” while HPCP director, Councillor Kate Howie, defended the group saying that initial costs had been high to build infrastructure.
Now, according to the council committee minutes, it has been agreed that the group would “have no further access” to Community Broadband funding and would receive no further council investment.
In addition, £5,000 of council cash for other community activities was subject to “an independent due diligence exercise being undertaken by an external consultant immediately”.
Mr Fraser said the revelation was vindication of the concerns he expressed about the community group.
“The fact that HPCP must submit to an immediate external audit before receiving any further funding suggests that Perth and Kinross Council have concerns regarding its operating practices,” he said.
“I hope that HPCP will be open and transparent regarding their accounts.
“I have been contacted in the past week by a number of Highland Perthshire residents who have shared their concerns about the HPCP broadband project.
“It is vital that any audit or due diligence exercise is made public in order to assure taxpayers that funding was used appropriately.
“Delivering broadband in hard to reach areas is hugely important and I would call on all partners to work together to ensure that this aim is achieved as quickly and efficiently as possible.”
Mr Fraser has written to council chief executive Bernadette Malone asking for answers about the council’s involvement with HPCP’s broadband initiative.
