Finance probe for academy chain

THE academy chain which runs an Oldham primary where parents claim they are wrongly being pursued for hundreds of pounds of unpaid dinner money had its financial management and governance investigated.

A new Education Funding Agency (EFA) report published this month reveals that in June 2015 it received allegations about the procurement practices and payments made by Bright Tribe which runs Werneth Academy.

An EFA review in the same year then found that the procurement system used by Bright Tribe and its related Adventure Academies Trust - which are jointly managed - "did not demonstrate fair and open competition".

The report does not give any details about what was being procured but says: "Goods and services were outsourced directly to preferred service providers connected to the sponsors' representatives (and/or other trust directors).

"In such novel and contentious circumstances, the EFA expects trusts to request prior authorisation before entering into such an arrangement.

"No request for prior authorisation was received by the EFA from the trusts."

Stockport-based Bright Tribe is sponsored by the charities Helping Hands and My Worlds. It took over Werneth in February 2014.

Since then dozens of parents have raised concerns with the Chronicle about their children's education following the departure of several head teachers, and claims that large numbers of staff have also left.

This week the Chronicle also reported allegations by several parents that the school is demanding unpaid dinner money, in some cases some up to £350 and stretching back to 2013.

The original EFA investigation made 13 recommendations. The report confirms that after a follow-up review this September, 10 have now been implemented to "at least a minimum level" and the remaining three are in progress

It concludes that it not necessary to issue the trusts with an official financial notice to improve.

A statement released on behalf of the office of entrepreneur and philanthropist Michael Dwan, senior representative for Helping Hands and My Worlds, said that Bright Tribe and Adventure Academies Trust took over 12 schools in a short period. Most were in deficit and 11 were among the poorest performing in England.

Companies related to Mr Dwan received service fees of £192,000 from the two trusts in 2014/15, it adds. In the same period he made "direct or indirect" donations of £2.7 million.

"Both trusts now operate using an in-house resource and no longer need or receive substantial support from Mr Dwan or any of his companies," it confirmed.

"Mr Dwan has been disappointed by the tenor of the reporting that has taken place. He has however learnt that there are some who seek to question his motives, who question why such philanthropic giving would take place and who for their own purposes seek to discredit what has been a very generous programme of support."

A statement from Bright Tribe said: "Whilst this is not normal practice, the trust has no objection to the publication of this report and we will continue to positively work with the EFA to ensure we remain fully transparent in our financial activities."