BBC NEWS | England | Humber | Council leader remains in power.
Council leader remains in power
Mr De Freitas said the council had made money on other investments
|
The leader of North East Lincolnshire Council is to remain in his position after a motion to remove him from power failed by one vote.
Councillors voted at Grimsby Town Hall on whether or nor to oust Andrew De Freitas over the authority’s £7m investment in failing Icelandic banks.
Twenty votes were cast to remove Mr De Freitas but 21 voted to keep him in power. There was one abstention.
Mr De Freitas refused to resign in July despite a vote of no confidence.
He said he had suffered sleepless nights for weeks in the run-up to Thursday night’s meeting and now hoped the council could move on.
Hung authority
He told BBC News: “I got a bit emotional last night. It’s not been easy but you accept these things in life.
“We need to draw a line under this nonsense about the Icelandic banks. It should never have happened, it has happened and we have got to face reality, get it sorted, get as much of the money back as possible.”
|
Andrew De Freitas
|
Mr De Freitas said the council expected to recover 80% of the money it invested in the banks.
He said: “I put in on average about 55 hours a week.
“There’s no way I could sit beside every single officer ever day asking ‘why have you done that today?, what are you going to do tomorrow?’. It’s totally impossible.
“The district auditor made it quite clear that the officers of the council let the council down.”
The motion calling for Mr De Freitas’s removal had been put forward by Labour leader Chris Shaw and was backed by the Conservatives.
North East Lincolnshire Council is a hung authority but has been run solely by the Liberal Democrats since May.
The authority is made up of 19 Lib Dems, 16 Conservatives, five Labour members and two Independents.
In June, an Audit Commission report criticised the council for putting £7m worth of deposits in Landsbanki, Kaupthing Singer and Friedlander banks when they collapsed in October last year

UK and Netherlands to sue Iceland over lost deposits « Xfm 95.1 Newscenter | Latest News from Ghana and the World.