4 April 1997
Dear Brother Morris,
Following serious considerations by the Shop Stewards and the sacked Liverpool dockworkers, I write to you today to express our serious concerns about the involvement of the KPMG Peat Marwick in the pursuance of our business plan for a Labour Supply Company.
Whilst we did not object to the joint approach (TGWU/MDHC) in the provision of professional advice in relation to the development of a business plan, agreed by our Union's General Executive Council in March 1997, it was not disclosed then that the company chosen would by KPMG Peat Marwick.
The Stewards met with two representatives of KPMG on Monday 24th March and provided them with a detailed document outlining proposals for a Labour Supply Company in the Port of Liverpool.
It was obvious that the two representatives from KPMG held a very "narrow approach" to opportunities for Labour Supply in the Port.
It is now important for us to clarify our serious concerns about KPMG's impartiality in pursuing our Labour Supply initiative.
KPMG are Mersey Docks' Registrars and they have been involved with Mersey Docks for many years. In a joint project with Mersey Docks KPMG have acquired over 60% residency of the new prestigious office buildings on the dock estate.
KPMG were involved on behalf of Mersey Docks in their acquisition of the Medway Ports in 1993.
The controversial forced sale of Medway Dockers' shares for £2.50 to Medway Directors was followed by KPMG's re-evaluation of these same shares at £38.
Following this involvement a representative of KPMG was appointed to work for Mersey Docks. In addition, the Transport and General Workers Union were due to take KPMG to Court in 1996 on behalf of our members employed in Medway.
This case against KPMG was settled out of court.
As a result of this direct involvement we do not feel that KPMG are a fit or proper organisation to provide the necessary support in pursuing our business plan with Mersey Docks.
We feel, Bill, that these considerations should be given recognition and that other business advisors in which we have confidence are appointed.
Yours fraternally,
J. Nolan
Chairman
