Town council spends more than £121,000 on legal costs over five years

By The Editor 17th Sep 2021

The Beehive in Honiton, home to Honiton Town Council.
The Beehive in Honiton, home to Honiton Town Council.

Over the last five years Honiton Town Council has spent more than £120,000 on legal costs, a Freedom Of Information request has revealed.

Since 2015 Honiton Town Council has spent £121,817 on legal costs.

To put the figure into perspective, during the same period Exmouth and Sidmouth Town Councils spent a combined figure of £7,984, a difference of £113,833.

Honiton Nub News contacted all of Honiton's town councillors for a response to the newly revealed figures.

Councillor Ray Hanratty says he was surprised by the amount of money spent on legal costs, he said: "I have been astonished and hugely dismayed by the level of expenditure on legal fees by HTC. This money could have been utilised to better effect within the community of Honiton.

"The entrenched position adopted by certain members of the council has prevented sensible negotiations from taking place in order to reach an agreed compromise"

The leader of Honiton Town Council, Mayor John Zarczynski, had this to say in response to the figures: "The Town Council as custodians of public money has a duty to take all steps necessary to recover tax payers' money where there is evidence supported by legal advice that money is due to the council and Honiton tax payers.

"Unfortunately Honiton Town Council was subject to a Judicial Review when a new council was elected in 2015, this imposed a sanction on a serving councillor that were ruled unlawful by the courts.

"I must point out the councillor subject to unlawful sanctions paid all his own legal fees inclusive of court cost out of his own personal finances.

"The Town Council has also unfortunately been forced into legal disputes, not of council's making, despite the council making all efforts possible to resolve matters without the need for all concerned incurring legal costs.

"I am not at liberty to comment on the council's legal dispute with Bailey Partnership, as I am on the council's appointed management team, to manage the build of the Beehive. This is currently an unresolved contractual legal matter as such it would be inappropriate for me to comment.

"Regarding HTC's dispute with Honiton Community Complex, the private Company with Charitable Status who lease the Beehive. Following talks with directors of HCC full council has resolved the council's willingness to support the continued success of the Beehive.

"The Council believes it has made a very generous offer in resolving outstanding financial commitment to HCC with council now currently awaiting written conformation from HCC that council proposals, as agreed, during a meeting with directors have been accepted by HCC."

Jason Hannay became a Honiton town councillor last year, he said: "Unfortunately I was only told about this once being co-opted onto the council. The figures have always been out there for people to see, just not as clear as how you are putting it.

"I am sure some members of the current council feel that this has been money well spent and that is the council's duty to the community, something that needs to be fulfilled and sorted. There are many contributing factors to why the costs have escalated I am sure.

"Personally I feel that money could have been spent better and that there have been a lot of community projects that this money could have contributed towards, but like anything there are two sides to every story.

"There are always going to be misunderstandings, heated debate and opposite views with any committee/council on different things, that's a part of being an individual. But the council members are some fantastic people with love for Honiton and I look forward to working towards brilliant ideas to give our community value for money."

According to the figures released by the town council since 2018 £44,525 has been spent on the dispute with the Bailey Partnership regarding the management of the Beehive's build.

The figures also show that the council has spent £3,860 on a dispute with the Honiton Community Complex regarding its financial relationship with the council. However, that figure is not the total amount spent by HTC on the Honiton Community Complex dispute.

Agenda Item 71 in the Beehive Dispute Report presented to HTC on Monday, October 14, states: "HTC has been forced into the position of having to spend over £15,000 in legal fees so far and one can only presume that HCC have spent a similar amount."

Nub News contacted the Tax Payers Alliance, a campaign group lobbying for lower taxes, government transparency and an end to wasteful spending in local government, for its take on the figures.

Harry Fone, grassroots campaign manager at the TaxPayers' Alliance said: "These findings will be of great concern to many taxpayers.

"With the tax burden at a 50-year high, many households are struggling to pay their bills and don't want to see their hard-earned taxes spent inefficiently. The council must ensure it is using every penny to provide the best services for its residents."

     

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