The boss of collapsed outsourcing company Carillion had only a “tenuous grip” of the crisis the firm was facing before it hit the buffers earlier this year with the loss of thousands of jobs.
MPs investigating the assume failure revealed their conclusion of Philip Green’s business acumen after examining board papers.
They showed Green (pictured, right) was “working towards an upbeat announcement” to the City just five days before having to announce an £845 million write down in the market trading position.
The business, energy and industrial strategy committee, together with the work and pensions committee have been publishing extracts of Carillion’s official corporate record as documents gradually came to light piece-by-piece this week.
Frank Field, chair of the work and pensions committee, said: “Carillion’s chair appeared to lack even a tenuous grasp on the reality of the company’s situation. Five days before the profit warning that heralded the firm’s public spiral into insolvency, Philip Green stands like the mayor of Pompeii – smoke billowing from the volcano behind him, lava cascading down the slopes – trumpeting the revelries of the village fete. It is difficult to believe he was unaware of its position, but equally difficult to comprehend his assessment if he was.”
Rachel Reeves, chair of the BEIS committee said the assessment of Carillion as a compelling and attractive proposition “shows either a woeful lack of leadership or no grip on reality”.