City Council accused of ‘corruption’ and ‘cover-up’ over £1m golden goodbyes to five senior staff members

Annemarie O'Donnell (L) and Elaine Galletly (R) both took early retirement from Glasgow City Council
Annemarie O’Donnell and Elaine Galletly both took early retirement from Glasgow City Council.

By Bill Heaney

The row over “cover-up” and “corruption” in local government rumbles on.
As reported in The Democrat yesterday five senior officials netted golden goodbyes from Glasgow City Council worth £1 million.
West Dunbartonshire Council is tied in with Glasgow City Council in projects such as the City Regin Deal which it loaned £6 million to reclaim the former Esso tank farm at Bowling for alterations to the A82 and a planned industrial estate on the banks of the River Clyde there.
Cllr Jim Bollan, left, of the Community Party was the only member out of all 22 WDC councillors who voted to oppose this “loan”.
West Dunbartonshire’s totalitarian ant-democratic policies, which include not speaking to The Democrat,  refuse point blank to discuss “golden goodbyes” which senior official received after they scurried into retirement following a controversy over top officials dining out in posh restaurants and playing golf with contractors  at five-star Cameron House Hotel on Loch Lomondside.
The police were called in but returned a “nothing to see here” verdict at the time.
At least three top officials left Church Street and a number have since departed the scene with attractive retirement and commutation payments.
Now the Auditor General for Scotland is to send a memo to the chief executives of the 32 local authorities, including West Dunbartonshire, stressing that when such payments are being considered councils must play strictly by the rules governing the procedures for this.
A damning Accounts Commission report into the “golden goodbyes” scandal declared that the authority’s dealing of the situation “fell short” of public sector values, and may have damaged trust in local authorities.

A restructuring plan was drawn up for the council to save money in 2021, with this including the early retirement of then-Chief Executive Annemarie O’Donnell. A small group of senior officials then decided how much money those losing their jobs would receive as part of an exit package.

Alongside Ms O’Donnell, four other senior bosses also left the local authority, taking with them more than £1m in payouts and pension boosts. Carole Forrest, solicitor to the council and director of governance, Anne Connolly principal adviser to the chief executive; Robert Anderson, head of HR and Elaine Galletly, head of legal and administration all netted substantial payments.

Agreements included over £317,000 for the former chief executive and more than £280,000 for Ms Galletly. The cost were reported to a council committee in 2024 and led to widespread anger among councillors who alleged that they had not been informed of these costs, with the local authority facing a huge financial black hole.

An internal review was launched, with law firm Brodies LLP instructed to investigate. It found that the payouts were not “lawfully approved” in line with council rules, but there was no evidence of officials acting “improperly”. However, they reported the packages gave “the appearance of a conflict of interest” and it was “surprising that none of the senior officers involved seems to have recognised it”.

Accounts Commission report

Ms O’Donnell agreed earlier this year to pay back the more than £300,000 in pension funds her early retirement had cost. In a report released on Thursday by the Accounts Commission, the former chief executive’s departure has again been criticised, including for not involving elected councillors in the approval process.

Glasgow City Council
Glasgow City Council (Image: TomasSereda / Getty Images)

Council rules mean elected members should be consulted on decisions considered to be “politically controversial”. The report said: “What can be considered politically controversial is a judgment. However, it is reasonable to consider the early retirement of the chief executive on efficiency grounds, and the operational and financial implications of this, could meet this description, and it is not clear what consideration was given to this issue.

“There is no evidence of the proposals and terms being discussed with councillors and the restructure report was not shared with councillors or presented at committee for approval.”

The report also suggested it appears the restructuring plan was approved “by some individuals who then benefited from its proposals”.

Accounts Commission deputy chairman Andrew Burns said: “The actions taken by a group of senior staff at Glasgow City Council fell short of the values and principles every public sector worker and councillor are expected to follow. There was a failure to address and document how potential conflicts of interest were considered.

“A failure to demonstrate how the guiding principles of working in the public sector – in particular selflessness, integrity and objectivity – had been applied. It is alarming to see reports which need to consider the lawfulness of actions within councils, and such circumstances do little to reassure taxpayers about how public money is being used.

“All councils need to undertake restructuring, particularly with financial pressures, growing demand and an ageing workforce.

“Given the issues highlighted in this report, the Accounts Commission will write to all council chief executives and leaders to highlight the importance of good governance, value for money and transparency in decision making.”

Corruption allegations

Scottish Conservative local government spokesman Craig Hoy, pictured right,  said: “This report could hardly be more damning in identifying what reeks of cover-up and corruption.

“Glasgow’s SNP-run council rode roughshod over the rules and, as a result, departing officials received eye-watering payouts with little to no oversight.

“It’s sadly typical of the way in which the Nationalists conduct themselves in office, with a worrying lack of accountability or concern for taxpayers’ money, while putting the interests of themselves and their cronies first. Glaswegians will be rightly furious that, while the SNP administration is slashing essential services and imposing inflation-busting council tax hikes, it found huge sums to hand out to fat-cat bureaucrats.”

A Glasgow City Council spokesman said: “We welcome this report, which reflects the findings of the independent investigation commissioned by the council. The Commission’s findings will support the action the council is already taking to improve oversight and transparency and to rebuild trust; both within the organisation and with the public.”

Deputy Leader Ricky Bell said: “The Accounts Commission’s findings illustrate exactly why the council leader and I first raised concerns about exit packages for senior officials last year – and why it was so necessary for the council to take quite extraordinary steps to establish what had gone on.

Ricky Bell
Ricky Bell (Image: Glasgow City Council)
“While neither the independent, external review or this report from the Commission make for comfortable reading, they do give us a base to build trust and confidence from – and, I think, they also serve as an important warning to other public bodies.
“Glasgow had already moved quickly to change processes and allow elected members proper oversight when senior officials leave the council, which is noted in this report

“Members must now make sure the council reflects on the Commission’s findings and uses them to drive forward a change in culture; which I know the current Chief Executive and her leadership team take very seriously.”

It’s time West Dunbartonshire Council and its Labour leader came out to explain to the public their side of the story in regard to this mess and stopped hiding behind their £129,000 a year Chief Press Officer’s self-made rule that unless we join IPSO, which succeeded the lame duck Press Council, they won’t speak directly to The Democrat.

This is despite the fact that other organisations linked with the Council, which has a track record for victimisation and bullying, does speak to, and indeed contributes to, are not and never have been members of IPSO.

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