MP wants Newcastle Airport court payment probe
06.11.08
An MP is calling on the Government and the Audit Commission to probe an out-of-court settlement between Newcastle Airport and its former chief executive. John Parkin received a reported £6m payout before he resigned in May 2007, but the company later launched legal action to claim the money back. A confidential out-of-court settlement was agreed between the two parties last month.
Together, the region's seven local authorities are the airport's major shareholders – with South Tyneside Council the lead authority for the airport committee. Peter Atkinson, Conservative MP for Hexham in Northumberland, is calling for the deal to be investigated. He is also demanding more transparency about the matter.
Mr Atkinson believes that because the settlement involved public money, it should be made public. He said: ‘The whole business gets murkier by the day. This is public money, and I think the public and the council taxpayers have a right to know. You can't say this is a purely commercial transaction when 51 percent of the airport is owned by the public of the region.’
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