Logo

Evidence to be passed to prosecutors in investigation of missing £10m loan made by council

Evidence against 30 people investigated over the disappearance of a £10.25m loan made by Northampton Borough Council to a football club will start to be passed to prosecutors in the next two weeks, police have said.

Northampton Borough Council provided the loan in 2013 and 2014 to help Northampton Town Football Club with the redevelopment of their Sixfields stadium. However, the intended facilities including a new East Stand were never completed.

Last January (2019), the council secured a High Court ruling requiring former directors of the football club, David Cardoza and his son Anthony Cardoza, to repay more than £2m of the loan.

This came after the council had failed to gain a summary judgment against David Cardoza in 2017.

In 2016 the borough council made an unreserved apology after a report by its independent auditor PwC identified significant failings in its approach towards making the loan to Northampton Town.

The 2016 PwC report said the council had approved the loan based on limited information as a business case had not been made available and auditors had been unable to determine whether conditions laid down by the cabinet had been followed.

Police have said prosecutors will get the first set of evidence in early July. The Crown Prosecution Service will receive the full set of evidence over the next 6 months.

Adam Carey

(c) HB Editorial Services Ltd 2009-2019