Contracts-for-pals crisis deepens as council chief quits

Inquiry is demanded as police examine recording of CEO ||

- BY JOHN FERGUSON

TWO senior figures at a local authority have stepped aside amid a widening police probe into contracts for "pals" allegations.

South Ayrshire Council's Conservative leader Martin Dowey resigned in April after the Sunday Mail published a recording in which he appeared to offer to help a company win lucrative work.

We can reveal police are now assessing a further recording of the local authority's CEO Mike Newall, who also stepped aside after we received it.

A businessman who claims he is owed more than £400,000 has also now written to the council demanding an inquiry into the scandal is launched immediately.

David O'Neil's letter states: "I am writing to formally raise serious allegations involving misconduct, abuse of position and potential fraud." In the latest recording to emerge CEO Newall appears to tell a company boss he wants to hand him key work.