Government faces legal action over Railtrack

Government faces legal action over Railtrack

Railtrack Group has threatened court action to force the government to disclose all key documents related to subsidiary Railtrack plc being placed in administration.

The group announced yesterday it had made a request to the Treasury Solicitor and said if the request was not met it intended to apply for ‘pre-action disclosure’ from the court.

As it prepares to join shareholders in a its lawsuit against the government, Railtrack Group also said it had restructured its board, appointing former finance director David Harding as chief executive.

Harding is taking over from Steve Marshall, also a former finance director, who resigned as chief executive when transport secretary Stephen Byers put the company into administration.

Railtrack Group also appointed Geoffrey Howe, former managing partner of Clifford Chance, company chairman, to succeed John Robinson. Both Marshall and Robinson will remain with the company as non-executive directors.

Howe said: ‘We cannot understand why the Treasury Solicitor will not disclose the documents we are seeking – why should the government refuse if it has nothing to hide’

‘No one wants to start legal action unnecessarily, but if it is the only way to secure value for shareholders, then the Railtrack Board will pursue this course vigorously.’

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource