Richard Sharp has resigned as chairman of the BBC in the wake of a report into his appointment following a cronyism row.
Sharp said the report found he had breached the government’s code for the public appointments but said it was “inadvertent”.
The matter has been a “distraction” for the BBC, and he has therefore this morning resigned as the BBC chair.
He said he will stay on until a replacement is found.
“To chair this incredible organisation has been an honour,” he added.
He had been caught up in a row over his appointment into the role at the BBC since January, when he was reported to have helped facilitate an £800,000 loan guarantee for Boris Johnson – just weeks before the former prime minister appointed Sharp.
Johnson remained tight-lipped when asked about Sharp this morning as he left his home.
An investigation into Sharp’s appointment by the commissioner for public appointments was announced the same month, only for the commissioner, William Shawcross, to recuse himself from the process due to “contact” between himself and the BBC chairman.
Barrister Adam Heppinstall KC took over the probe.
This investigation was published this morning by the Commissioner for Public Appointments.
It outlined how Sharp told Johnson he wanted to apply for the BBC chairman role in November 2020.
He also told the PM, before any interviews took place, that he was going to meet with Cabinet Secretary Simon Case to attempt an introduction for Johnson with someone who had made a “suggestion” that “he might assist the former prime minister with his personal finances”.
The meeting with Case took place in December 2020, but the investigation did not consider or make findings about Johnson’s finances.
All of these issues were not divulged to the government when applicants for the BBC chair role were asked to disclose potential conflicts of interests.
This “gave rise to a potential perceived conflict of interest” on two issues, the report found:
1) Sharp’s conversation with Johnson before the application that he wanted to apply;
2) Sharp telling Johnson that he was going to help with his personal finances.
It was concluded that these not being disclosed to the panel selecting him meant Sharp breached the code.
The inquiry found it could be perceived that Sharp was given the job because he helped the prime minister with a financial matter, and he may not be independent of Number 10.
Sharp said he “wished” he had told the panel about the potential perceived conflicts of interest – although according to the report, he disagreed with the finding that point 1) led to a conflict of interest.
The report also found that Number 10’s support for Sharp was relayed to the government department dealing with the appointments process.
Rishi Sunak – who used to work for Sharp at Goldman Sachs – previously declined to respond to questions about their relationship or Mr Sharp’s integrity.
He told reporters: “Richard Sharp went through an independent appointments process at the time that I had nothing to do with – he was appointed before I was prime minister.
“But also the chair of public appointments has asked a leading KC to review – to re-review – that appointments process so there is not much I can say more that’s ongoing, but it’s right that process concludes.”
Labour said the saga has caused “untold damage” to the reputation of the BBC and “seriously undermined its independence as a result of the Conservatives’ sleaze and cronyism”.
In a letter to Sharp, Culture Secretary Lucy Frazer thanked him for his work, and noted that he is “held in high regard by the BBC board”.
She accepted that Sharp will stay in place until the next BBC board meeting on 27 June this year.
The BBC board released a statement which said they believed Sharp was “a person of integrity”.
Sharp faced renewed scrutiny after the backlash against the BBC’s decision to take Match of the Day presenter Gary Lineker off-air for his tweets over the government’s immigration policy. Critics questioned Sharp’s impartiality, in the context of the row about Lineker’s views.
Richard Sharp has resigned as chairman of the BBC in the wake of a report into his appointment following a cronyism row.
Sharp said the report found he had breached the government’s code for the public appointments but said it was “inadvertent”.
The matter has been a “distraction” for the BBC, and he has therefore this morning resigned as the BBC chair.
He said he will stay on until a replacement is found.
“To chair this incredible organisation has been an honour,” he added.
He had been caught up in a row over his appointment into the role at the BBC since January, when he was reported to have helped facilitate an £800,000 loan guarantee for Boris Johnson – just weeks before the former prime minister appointed Sharp.
Johnson remained tight-lipped when asked about Sharp this morning as he left his home.
An investigation into Sharp’s appointment by the commissioner for public appointments was announced the same month, only for the commissioner, William Shawcross, to recuse himself from the process due to “contact” between himself and the BBC chairman.
Barrister Adam Heppinstall KC took over the probe.
This investigation was published this morning by the Commissioner for Public Appointments.
It outlined how Sharp told Johnson he wanted to apply for the BBC chairman role in November 2020.
He also told the PM, before any interviews took place, that he was going to meet with Cabinet Secretary Simon Case to attempt an introduction for Johnson with someone who had made a “suggestion” that “he might assist the former prime minister with his personal finances”.
The meeting with Case took place in December 2020, but the investigation did not consider or make findings about Johnson’s finances.
All of these issues were not divulged to the government when applicants for the BBC chair role were asked to disclose potential conflicts of interests.
This “gave rise to a potential perceived conflict of interest” on two issues, the report found:
1) Sharp’s conversation with Johnson before the application that he wanted to apply;
2) Sharp telling Johnson that he was going to help with his personal finances.
It was concluded that these not being disclosed to the panel selecting him meant Sharp breached the code.
The inquiry found it could be perceived that Sharp was given the job because he helped the prime minister with a financial matter, and he may not be independent of Number 10.
Sharp said he “wished” he had told the panel about the potential perceived conflicts of interest – although according to the report, he disagreed with the finding that point 1) led to a conflict of interest.
The report also found that Number 10’s support for Sharp was relayed to the government department dealing with the appointments process.
Rishi Sunak – who used to work for Sharp at Goldman Sachs – previously declined to respond to questions about their relationship or Mr Sharp’s integrity.
He told reporters: “Richard Sharp went through an independent appointments process at the time that I had nothing to do with – he was appointed before I was prime minister.
“But also the chair of public appointments has asked a leading KC to review – to re-review – that appointments process so there is not much I can say more that’s ongoing, but it’s right that process concludes.”
Labour said the saga has caused “untold damage” to the reputation of the BBC and “seriously undermined its independence as a result of the Conservatives’ sleaze and cronyism”.
In a letter to Sharp, Culture Secretary Lucy Frazer thanked him for his work, and noted that he is “held in high regard by the BBC board”.
She accepted that Sharp will stay in place until the next BBC board meeting on 27 June this year.
The BBC board released a statement which said they believed Sharp was “a person of integrity”.
Sharp faced renewed scrutiny after the backlash against the BBC’s decision to take Match of the Day presenter Gary Lineker off-air for his tweets over the government’s immigration policy. Critics questioned Sharp’s impartiality, in the context of the row about Lineker’s views.
Dignitaries at the signing of the milestone agreement with Ports, Shipping and Aviation Minister Nimal Siripala De Silva and China Merchants Group Chairman Miao Jianmin (sixth from left) and (from left) Access Engineering PLC Director Business Development Dharshana Munasinghe, SLPA Managing Director Susantha Abeysiriwardena, SLPA Chairman Keith Bernard, Ports, Shipping and Aviation Ministry Secretary K.D.S. Ruwanchandra, China Merchants Group Executive Vice President Deng Renjie, Access Group Chairman Sumal Perera, China Merchants Group Executive Vice President Feng Boming, China Merchants Ports Holdings CEO Wang Xiufeng and Colombo International Container Terminals CEO Jack Huang
An artist’s impression of the proposed South Asia Commercial and Logistics Hub to be completed by end-2025 – the largest logistics hub in South Asia
China Merchants Port Holdings leads consortium of investors in US $ 392mn South Asia Commercial and Logistics Hub
SLPA and Access Engineering to each hold 15% equity in venture
8-storey, 5mn square foot complex with design storage capacity of 530,000 CBM to be built
Sri Lanka’s aspiration to become a major logistics hub in the region took a giant leap forward yesterday, with the launch of a project to build the largest commercial and logistics complex in South Asia in the Port of Colombo, with an investment of US $ 392 million.
Agreements for the construction and operation of the South Asia Commercial and Logistics Hub (SACL) as a 50-year Build-Operate-Transfer (BOT) project were formally signed in Colombo by the representatives of the three investing entities, with China Merchants Port Holdings (CMPort) holding a 70 percent stake and the Sri Lanka Ports Authority (SLPA) and Access Engineering PLC each holding a 15 percent stake in the venture.
A public-private partnership project, the SACL will be built in the centre of the Port of Colombo and will have 530,000 CBM of storage capacity via an eight-floor building. The investment in the project will bring in the much-needed foreign investment into Sri Lanka.
Construction of the complex is expected to begin in the second half of 2023, with a target of completion by end-2025. Adjacent to the Port City and CBD, it will be directly linked with the airport via the Port Access Elevated Highway. The five million square foot complex will offer the full gamut of logistics-related facilities and services such as less than container load (LCL), multi-country consolidation (MCC), container freight station (CFS), general warehousing and various other value-added services.
A spokesperson for CMPort said the project would result in an infusion of US $ 126 million, in addition to an upfront payment of US $ 26 million, after the agreement is signed. The project is also expected to provide direct employment to a minimum of 1,800 people and create 10,500 other indirect job opportunities.
The project aligns with Sri Lanka’s national development strategy to transform the country into a major logistics centre, identified as a key sector and a driving force for economic development in the National Policy Framework 2019.
It will provide better logistics and warehousing facilities and services, enhancing the port’s competitive advantage and consequently strengthening its hub status. The project will also improve the operational efficiency of the Port of Colombo and introduce leading-edge technology and innovation.
The Port of Colombo is currently ranked among the top 13 ports in the world, in terms of shipping network connectivity. Despite its ideal location on the international trading route, the port still lacks a modern, state-of-the-art logistics facility, the spokesperson said. At present, mainly loading and discharging of cargo is done at the Port of Colombo, with little value-added services being offered. The SACL will change this landscape.
Additionally, since the Port of Colombo was declared as a Freeport by the Government of Sri Lanka, the project will enjoy the associated Freeport advantages in its operations, such as no customs clearance for transshipment and MCC cargo, resulting in reduced paperwork and associated costs. The project also provides an ideal platform for the registration of hub companies – which will enjoy tax concessions in CIT, WHT, VAT, etc.
The project is expected to help the Port of Colombo to strengthen its competitiveness against other competing ports in the region. Furthermore, the improved services and cost benefits provided by the project are expected to attract more business and container volumes to the Port of Colombo, benefitting all its terminals and generating higher revenues for the port and port-related companies in Sri Lanka.
CMPort, the major shareholder in the SACL, is the parent company of Colombo International Container Terminals (CICT), which manages the South Terminal of the Port of Colombo. CMPort is the largest and a globally-competitive public port developer, investor and operator in China, with investments in Mainland China, Hong Kong and overseas. CMPort has a port network portfolio spanning 50 ports in 26 countries and regions. Guided by the vision ‘To be a world-class comprehensive port service provider’ and supported by its domestic, overseas and innovation strategies, CMPort strives to strengthen its core competencies in global throughput, port service and management.
A commemoration event and a special Mass are organized at St. Anthony’s Church in Kochchikade in commemoration of the fourth anniversary of the deadly terror attacks on Easter Sunday (April 21) in 2019. Accordingly, a two-minute silence was also observed at 8.45 a.m. in memory of those who lost their lives in the ghastly bombings. The event, led by Cardinal Ranjith and Apostolic Nuncio Archbishop Biran Udaigwe, was also attended by the ambassadors and high commissioners of several countries including China, the United States and the United Kingdom. In the meantime, the Catholic Church in Sri Lanka is forming a human chain, themed “We are Watching until Justice is Meted Out”, for its quest to seek the long overdue truth behind the brutal carnage on April 21, 2019 and justice for the victims. The human chain is formed from St. Anthony’s Church in Kochchikade to St. Sebastian’s Church in Katuwapitiya on the Colombo-Negombo main road. Sri Lanka was left devastated on April 21, 2019 after a group of suicide attackers of the now-outlawed local Islamic extremist organization National Thowheed Jamaat (NTJ) carried out a series of coordinated bomb blasts at St. Anthony’s Church in Kochchikade, St. Sebastian’s Church in Katuwapitiya, Zion Church in Batticaloa, Cinnamon Grand, Kingsbury and Shangri-La hotels in Colombo and a guest house in Dehiwala, leaving more than 260 people including foreigners dead and at least 500 people injured.
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