Conflicting reasons cited as ex-finance boss exits tram role

Published on Monday 30 August 2010 18:13

THE man once charged with holding the purse strings of Edinburgh's tram scheme has left the project as part of a cost-cutting drive.

Graeme Bissett, a chartered accountant and former director of Kwik Fit, had held an advisory role on the TIE board off and on since it was formed and at one time held the position of finance director.

He was recently re-appointed to a post at the Scottish Futures Trust, the body set up by the SNP to fund public/private sector ventures, and his departure from his current advisory role was announced during a tram board meeting last week.

It comes after tram bosses scrapped bonuses and brought in a pay freeze amid damaging revelations about expenses claims racked up by employees.

Richard Jeffrey, chief executive of TIE, said Mr Bissett had latterly been employed as a consultant on the project and had been a "valuable member of the team".

He added: "Expenditure on the project is constantly being reviewed and at the moment we don't have a need for Graeme's services. Graeme Bissett has provided TIE Ltd with excellent advice and his experience has been invaluable to me since I started."

TIE said Mr Bissett had provided the council-owned firm with "interim financial director services" at an early stage in the company's development, ceasing in early 2005 when a full-time finance director was appointed.

He later went on to provide strategic advice for the tram company, a role which will now be handled by TIE's own staff.

One source, however, said the former senior partner at accountancy firm Arthur Andersen had left the tram project of his own accord.

The source said: "He was quite a heavy number who was always there in the background pulling a lot of strings, and the only person left from the early days.

"I understand he exited stage left because there's no way he would want to be associated with impending disaster."

On Tuesday, it emerged that TIE had lost a key adjudication battle which raises the possibility of workers downing tools when estimates have not been agreed for how much a piece of work will cost. The development came as hopes of a breakthrough between the two sides in their long-running dispute appeared to move closer.

TIE is understood to be negotiating with the contractor about how much it will be paid for building a section of the route, thought to be the airport to city centre, before a new firm is found to eventually complete the 11.5-mile line to Newhaven.

Last week, tram bosses postponed a long-awaited report on the project which critics hoped would answer questions about its cost and timetable.

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Others who have left the tram project:

Willie Gallagher: The former chief executive of TIE dramatically quit the project in 2008.

Matthew Crosse: Appointed on interim basis in January 2007 but replaced later in year.

Andie Harper: Mr Harper quit in November 2006 claiming he was spending too much time away from his partner in England.

Michael Howell: Quit as TIE chief executive in June 2006 to take up a new job in London.

Ian Kendall: Had his contract terminated in May 2006 amid fears of growing delays to the scheme.