Under-fire ScotRail chief in corporate gifts probe

RAIL chiefs have launched an investigation into claims that the under-fire boss of Scotland’s train network accepted hospitality and gifts from contractors, The Sunday Post can reveal.

An anonymous whistleblower has made a complaint that £260,000-a-year Phil Verster may have breached strict rules about public employees accepting freebies from suppliers.

Now Mr Verster’s bosses at Network Rail have called in accountancy firm Pricewaterhouse Coopers (PwC) to investigate the whistleblower’s complaint.

The firm is also probing allegations made by the same whistleblower against several other Network Rail managers in Scotland more junior to Mr Verster, 53.

Senior rail sources insist Mr Verster is confident the inquiry will clear him of any wrong-doing – and sources insist that he and his colleagues are adamant their behaviour has been beyond reproach.

But the timing of the probe comes at an awkward time for Mr Verster, who is facing sustained criticism for the poor performance of Scotland’s railways.

Following another week of delays and cancellations, First Minister Nicola Sturgeon is considering a fares freeze in January, when ticket prices are due to increase again.

And she and Transport Minister Humza Yousaf have once more threatened to cancel the contract of Dutch firm Abellio to run the ScotRail franchise if performance targets are not met.

The whistleblower has sent a letter to Network Rail, which is in charge of train track and signals.

The letter claims that officials including Mr Verster have accepted corporate hospitality from contractors and suppliers such as tickets to big rugby and football games.

The letter was passed to senior Network Rail directors in London who decided to call in PwC to carry out a full audit of the complaint.

It’s understood a report from the firm’s investigators is expected to be submitted soon.

A well-placed source said: “This is a public company with public money at stake. So any allegations must be properly investigated.

“Phil Verster and the other managers named in the letter are all co-operating fully with the inquiry.

“Phil is adamant that he has done nothing wrong and is 100% compliant with the policies Network Rail has in place.

“The other managers fully expect to be exonerated in every way.”

In July this year Network Rail issued an updated “Gifts and Hospitality Policy” document, setting out clear guidelines for staff.

Its introduction details the range of items considered to be a gift, from boxes of chocolates to free travel and accommodation.

And staff are warned: “Accepting gifts and hospitality can help to develop working relationships, however it is important to consider whether there is a clear business justification, whether the timing is appropriate and how acceptance might look to the outside work.”

The document also warns of the danger of potential criminal proceedings under the Bribery Act.

It adds: “Any gift offered or accepted with the intention of influencing a relationship to gain an unfair advantage, is considered to be bribery and is a criminal offence under the Bribery Act 2010.

“Even if you haven’t done anything wrong, perception can give rise to questions of impropriety or suspicion.

“It is therefore extremely important that you follow the guidelines set out in this policy.”

And the document adds: “Employees found to be in breach of this policy may be subject to disciplinary action which may ultimately result in their dismissal, legal proceedings and possibly imprisonment.”

Last week The Sunday Post revealed how Mr Verster’s salary had increased by up to £33,000 this year – despite widespread complaints about Scotland’s trains.

His salary as chief executive of the ScotRail Alliance – the formal partnership between Network Rail and Abellio to run Scotland’s trains and rail infrastructure – has risen from the pay-band £232,500-£237,500 to £260,000-£265,000

A ScotRail Alliance spokesman confirmed that an internal investigation was under way into the whistleblower’s complaints.

He said: “Any allegation against our staff, whether made anonymously or not, is always taken very seriously and properly investigated.”

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