Former Thurrock council finance boss banned from local accountancy
A financial watchdog says the ex-finance officer at Thurrock Council gave misleading information as the authority racked up more than £1 billion in risky investments.
The former chief finance officer of Thurrock Council has been banned from working in local authority accounts after being found to have misled councillors and the public while the council fell into financial crisis.
Sean Clark, who resigned in January 2023, oversaw a period during which the council borrowed large sums of money to invest in commercial ventures, mainly solar farms. By 2022, the council had effectively declared bankruptcy, with debts of £1.5 billion.
The Financial Reporting Council (FRC) said Mr Clark "recklessly provided misleading information to council members, and therefore to the public". He has been removed from the Association of Chartered Certified Accountants (ACCA) for at least five years.
In a formal finding, the FRC said his conduct “fell significantly short of the standards reasonably to be expected of a member of the ACCA”.
While in post, Mr Clark helped lead an investment strategy that involved borrowing short-term funds, mainly from other councils, to make long-term investments. The total investment reached over £1 billion – more than six times the council’s annual budget.
Many of the investments failed, forcing the council to sell assets including solar farm stakes and to raise council tax by 9.99% in 2023.
John Kent, Leader of Thurrock Council, said: “Thurrock residents rightly expect answers about the financial failures of the past.
“We welcome this report from the Financial Reporting Council (FRC), which identifies a number of failures by a former member of staff linked to the failed investments, which they say amounted to misconduct.”