Shropshire Star

Woman charged by police after probe into Shropshire Council's former firm ip&e

A woman who worked at Shropshire Council's failed company ip&e has been charged with "fraud by abuse of position".

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West Mercia Police confirmed that Penelope Wilkinson, 42, of Colley Close, Shrewsbury, will now appear at Telford Magistrates Court to answer the charge.

"Fraud by abuse of position" comes under the Fraud Act 2006, and the court appearance is scheduled for Monday, August 22.

Shropshire Council said it had informed the police after conducting a check of the business.

A spokesman said: "As part of the closedown of ip&e, Shropshire Council commissioned an internal healthcheck of the business.

"During this work, information was referred to the police for further investigation.

"We understand that as a result of this, a person previously employed by ip&e has been charged.

"On the basis that this is now a police matter, Shropshire Council can make no further comment."

Shropshire Council decided to close ip&e in February this year – less than four years after it was set up to generate income for the council.

The decision came after a review of the company's performance. It is understood that ip&e cost about £600,000 a year to run – costs that would have been significantly less were its services operated by the council.

Speaking in February council leader Malcolm Pate said: "We have to admit that it has not worked as we had hoped. The market is not out there to justify it.

"As an aspiration it was a good thing to do, but I think the problem was not only us getting into the market but that there were very large companies like Capita out there and we found ourselves in a very competitive market. We will close ip&e down as a separate entity and move all the people back into Shirehall."

The company employed about 300 staff and all those who worked on commissioning, business design, regulatory services, and help to change – were to transfer back to Shropshire Council employment.

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