A parish council in Derbyshire is effectively bankrupt and criminal proceedings against councillors are a possibility, according to a report. The council took out a £3m loan from the government to build a heritage and leisure centre in Creswell. An external consultant brought in to investigate the council’s finances said the “large and systemic failure to follow basic legal obligations” left councillors open to the possibility of being prosecuted. The report notes the council failed to adhere to the financial rules it set for itself, failed to set a budget for the current financial year, and failed to keep its accounts legally.
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