Thurrock Council leader Mark Kokshal has voiced his support for solar energy company Toucan Energy Holdings (TEH1).
Cllr Coxshall said he hoped to bring “certainty” to Congress’ finances as soon as possible.
Thurrock’s financial woes came to the fore earlier this year after an investigation by the Bureau of Investigative Journalism (BIJ).
In August, the public interest litigation group Good Law Project threatened a judicial review of a local government’s decision to invest £138m in a solar energy project through an investment fund named Rockfire Capital.
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Rockfire Capital, which is currently in liquidation, was owned by businessman Liam Kavanagh, who at one point directly owned TEH1.
In September, the government decided to intervene in Thurrock, citing significant financial and commercial risks and the “seriousness” of allegations made about its financial decisions.
Subsequently, the Essex County Council was appointed Commissioner and Best Value Inspector. This represents the exercise of Thurrock’s strategic finance function.
Cllr Coxshall commented on his decision to agree to help start TEH1’s administration:
“The Toucan-owned solar farm continues to generate income and will allow major creditor Thurrock Council to recoup the value of their investment.”
He said he will be able to share more details next month on how the news will affect the council’s finances.
“As I said before, I am determined to be open and transparent regarding the council’s finances and aim to bring certainty to them as soon as possible,” he continued.
“We believe the decision to bring the toucan under control is an important step in reducing our overall debt.”
A spokesperson for the Thurrock Commissioner said: Secretary of State. The Commissioner believes Toucan’s entry into power is a positive step towards reducing Thurrock’s overall debt levels.
In a statement, Kavanagh said: I installed his new management June 2022 and to my knowledge the underlying business is trading well and all interest has been agreed between the Thurrock Council and the company. Payment has been made in full and on time in accordance with the terms and conditions. I can’t speculate as to why a company would take a managerial position, but if contacted, I will assist managers in achieving the best possible outcomes for the company’s stakeholders. Given the growth, we are confident that this is a business with a positive future. ”
Adam Carey
