Councillor Khan protected by limited liability
The revelation this week that the business operated by Cllr. Ahmed Khan, the South Tyneside Independent Alliance deputy leader, has suffered a crisis in debt management with numerous creditors chasing Simply Workwear through the County Courts, raises questions about his suitability as someone who we should entrust with the scrutiny and challenging of public expenditure by the Labour Party in South Tyneside, and his effectiveness as a guardian of council tax payers.
Surely there must be times when councillors question his judgement in committees or full council when it comes to opposing or even approving public budgets or the questioning of further loans or debt repayments by South Tyneside MBC? It also calls into question the judgement of his party leader and colleagues in entrusting him to take forward these challenges on their behalf. The Fat Councillor has further details on Cllr. Khan’s business problems here.
Of course being a director of a company whose liabilities are limited by articles of association may afford him some protection from Simply Workwear’s creditors, but he cannot be protected from the public scrutiny of his electors in the Beacon and Bents ward of South Shields. We are now witnessing the growing difficulties of a company director to manage the finances of a small shop in Westoe with any great success: if he cannot manage to look after the money of his own small business, then why should you trust him to look after YOUR money and the multi million pound budgets of the council?
Does Cllr. Khan carry the moral authority to truly represent his electors and effectively steward their council taxes?
Click the thumbnail to enlarge (and many thanks to The Skinny Cooncilla for anonymously providing the information).