'Carillion directors' bonus payments stopped' after Theresa May suggests fat cat bosses be made to pay for collapse

Carillion: the company went into liquidation after failing to reach a deal with its lenders and the Goverment
EPA
Ella Wills17 January 2018

Bonus payments to Carillion directors and former executives at the collapsed construction giant have been stopped.

The Insolvency Service said payments, including those included in severance packages for former executives, had been halted after the firm went into liquidation on Monday.

A spokesman said: "Any bonus payment to directors, beyond the liquidation date, have been stopped and this includes the severance payments which were being paid to some senior executives who left the company."

The building firm went bust on Monday putting thousands of jobs at risk and saw the Government heavily criticised for its role in the debacle.

The Prime Minister had come under heavy fire, with the Labour leader accusing her government of being “deeply negligent” over its collapse.

Mr Corbyn claimed ministers were at fault as they failed to appoint a new Crown representative to deal with the company after it issued serious profit warnings last year.

But after rejecting his claims, Mrs May told MPs that the official receiver had powers to demand the return of “unlawful or unjustified” payments, including pay and bonuses.

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