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Dover District Council has been forced to apologise after it was found fully responsible for the Sandwich Historical Boatyard lease blunder.
An independent review by the East Kent Audit Partnership has concluded that the authority was wrong to grant a 50-year lease to a limited company instead of the Sandwich Historical Boatyard Trust.
EKAP’s report says the council failed to carry out adequate due diligence checks after its officers simply complied with a solicitor’s request to change the name from the trust to the limited company without robust challenge or effective understanding of the impact.
There was no evidence to suggest it was deliberate wrongdoing, but a human error.
The council was also slow to recognise, address and resolve the impact of its mistake.
The authority has now apologised for its error and has pledged to strengthen its internal controls and to put efforts into getting the highly-anticipated project back on track for people in Sandwich.
In a statement released on Monday, council chief executive Nadeem Aziz said: “On behalf of the council, I would like to apologise unreservedly to the trust for this mistake and for failing to recognise this sooner.
“The council is committed to rectifying the issues raised in the report to ensure that the trust is no way disadvantaged by the council’s errors.
“We will work with the trust to ensure they have good title to the land, and to help deliver the ultimate goal of the project to see historic boatbuilding commence at the site as soon as possible.”
Sandwich Historical Boatyard was originally a not-for-profit project set up by Bob Martin and Bob Hill in 2015.
The boathouse on the Quay, erected in 2016, was to offer young apprentices experience in traditional boat-building, and a beautiful replica medieval boat was to be constructed and moored close-by providing a source of continuing interest for residents and tourists.
When progress stopped, it was uncovered that DDC had granted the lease to a limited company 100% owned by Mr Hill, Sandwich Historical Boatyard Ltd. Mr Hill has been approached for comment.
The two parties involved have since become divided.
Mr Martin told KentOnline: “We, Sandwich Historic Boatyard Trust, are delighted that Dover District Council has seen fit to support us in what we’ve always said was their error.
“We don’t hold any grudges for the error that has caused us to be disadvantaged. We can now start the project afresh, properly and deliver what we originally proposed.
“We’re really looking forward to getting it back on track and getting the people of Sandwich back on side.”
The Sandwich Boatyard Action Group set up to uncover the issues in the lease has welcomed the recommendations contained in the report which say it will not be disadvantaged by what has happened.
Action group spokesman Nicholas Gray said: “We are hopeful that this lays the foundation for a transfer of the lease back to the trust.
“However we still have lots of questions. How will DDC compensate the trust for the damage it has suffered? What about the residents of Sandwich who have had to put up with an empty and deteriorating building ruining their lovely new Quay for nearly two years?”
It is understood a new lease will now be drawn up and negotiations are on going between DDC and Mr Hill in regards to the existing lease.
Mr Martin added: “When we’re able to take over, we’ll hold an open day for people to look around and learn more.”