Fallagate was a political scandal in Guernsey

Guernsey

Guernsey, officially the Bailiwick of Guernsey is a British Crown dependency in the English Channel off the coast of Normandy.The Bailiwick, as a governing entity, embraces not only all 10 parishes on the Island of Guernsey, but also the islands of Herm, Jethou, Burhou, and Lihou and their islet...

 in 2007, over the desire by Deputies of the States of Deliberation to appear corruption free. The desire to appear corruption free cost the island's 40000 tax payers £60 each, and the resulting scandal led to the resignation of Laurie Morgan

Laurie Morgan

Laurie Morgan From , is a Deputy of the States of Guernsey. He was Guernsey's first Chief Minister and was elected to the post in May 2004. His term of office was due to expire in 2008, when the next General Election is due...

, the then Chief Minister of Guernsey

Chief Minister of Guernsey

The Chief Minister of Guernsey chairs the Policy Council, which consists of the heads of each of the ten government departments of the States of Guernsey. Guernsey operates a system of consensus, committees-based government...

, and his cabinet.

Tender for Princess Elizabeth hospital extension

The government of Guernsey put out a tender to build an extension on the Princess Elizabeth Hospital in St. Andrew. Several firms put in tenders, including R. G. Falla Ltd, Guernseys largest builder, whose bid was the cheapest by £2.4million.

Stuart Falla

Stuart Falla, took over his fathers construction company, R. G. Falla Ltd, in the 1980s, and has been a shareholder since. In 2004 Falla was elected as one of the Deputies to the States of Deliberation for the parish of Castel, and became the minister for commerce and employment.

Conflict of interest

Due to an apparent conflict of interest between his position as a Deputy, and his part ownership of R. G. Falla, Stuart Falla chose not to attend a committee meeting to discuss which bid would get the contract to build the hospital extension. At the time the meeting of R. G. Falla was the preferred tender at £25million, costing £2.4million less than any other tender. R. G. Falla subsequently withdrew its tender for the contract.

External links

• The Princess Elizabeth Hospital Clinical Block - Consideration of circumstances which led to the withdrawal of the preferred tender in August 2006