Mike Ashley could face parliamentary investigation over USC

Mike Ashley could face a grilling by Scottish MPs over the administration of USC, with politicians pressing to launch a full parliamentary investigation into his activities.

 

The Scottish Affairs Committee is launching an inquiry into the fast fashion chain, with MPs last week branding the redundancies of more than 200 “despicable” and “appalling”. 

 

Ashley put USC into administration last month, saying all stores were to close; it was bought out soon after by Republic, which Ashley also owns. Although the vast majority of jobs were saved, those working in a depot in Dundonald, Ayrshire, were not so lucky. 

 

Labour backbencher Brian Donohoe, who secured the debate that took place last week, said he had been asked to attend a meeting at his Central Ayrshire constituency to give members of the Commons Scottish Affairs and Business Committees first-hand accounts of their treatment, the Herald reports.

 

He said MPs would be listening to the workers to "use the feedback to press for a full parliamentary investigation into Ashley's activities".

 

"We can't allow someone to operate in this way," Donohoe is reported as saying. "These people were thrown on to the scrapheap without the pay they were due, without the bonus they were promised and not a penny in redundancy money. The taxpayer has been left to pick up the bill."

 

"There are many questions to be answered about how the business has been run, about the administration process and about the total lack of consultation with staff and government officials."

 

Donohue, who is also the secretary of Westminster's Rangers Supporters Club, is also hoping to remove Ashley from involvement in the Scottish football club. 

 

Ashley owns just under nine per cent and the team's board has agreed a £10m emergency loan with Sports Direct, which is secured against its training ground, office buildings, the Albion car park in Ibrox and the registered trademarks.

 

During the debate, Donohue told MPs it was "really wrong that this individual is allowed anywhere close" to the Glasgow football club, adding that he hoped the Scottish Football Association would "get to the bottom of it and don't allow him any further into the club's business".