Lambeth Council has formally referred the Loughborough Estate Management Board to the FCA because of serious concerns over governance, missing controls and questionable spending.

According to the audit: the organisation was given a “No Assurance” rating, meaning that the fundamental systems are either missing or ineffective—raising a high risk of fraud or serious failure.

Examples of concerns include: large cash payments, missing procurement documentation, unexplained writing-off of significant amounts (e.g., £374,000 in “gifts for residents”), and overseas trips lacking value for money.

The article also mentions a dramatic letter from LEMB’s chair invoking the “Devil” and accusing the Council of “anarchy”, which triggered heightened alarm within the Council.

The Council has offered to host the LEMB annual general meeting at its own premises to ensure independence, while it continues to engage in legal discussions with LEMB to ensure adherence to its management agreement. So far, Cllr Adilypour says that the LEMB has failed to constructively engage on this issue.

(read full article by Brixton Buzz)