The report below, together with the comments below it have in the public domain for a long time – certainly during the time that EDDC has been seeking a partner for the Exmouth waterfront development. And this is not (by far) the only case of EDDC choosing controversial partners.
The due diligence documentation will be interesting!
Labour Group Call for Termination of Oasis Agreement
Published 11th July 2014, Updated 12 months ago by JimGrant
The Swindon Labour Group Leader, Councillor Jim Grant, has called on Swindon Borough Council to terminate its Development Agreement with Moirai Capital Investments, following news that Moirai have breached its agreement with Swindon Borough Council.
The Labour Group Leader said he had obtained information that Moirai had breached its agreement with the Council by failing to obtain a planning application for its development master plan by the contractual deadline, March 13th 2014, and because of Moirai’s shell company, MW Contract Services Ltd (formerly Oasis Operations Ltd), going in to liquidation. Last month it was revealed that the shell company owed £850,000 to creditors at the time of its liquidation, including local small businesses like Storm Recruitment, based in Commercial Road, which is owed £4,721, and Carlton Services in Old Town, which is owed more than £2,000.
Councillor Grant said he had been told that if the agreement is terminated then the leases for phases 2, 3 and 4 (the former Clare’s site) of the proposed development will automatically terminate and the sites would then come back to the Council. However he’s been informed that the lease for the Oasis, which is phase 1, does not automatically terminate if the development agreement terminates, as this requires a fundamental breach of the agreement to happen.
The Swindon Labour Group Leader, Councillor Jim Grant, said:
“Following the recent revelations about Moirai’s handling of the Oasis development, I had asked Council Officers whether the company had breached its terms of agreement with the Council and I was told in no uncertain terms that they had. Morai have broken the terms of the agreement in different ways the most serious of which is that a shell company of theirs went into liquidation owing around £450k to HMRC and local companies.
When the development and long-term lease on the Oasis and surrounding area was proposed with Morai we did support the development because we felt regenerating the area in to a regional leisure destination was an exciting offer that the Swindon public would like to see and we had no reason to believe Moirai Capital Investments was anything other than a respectable company who would deliver on their commitments. However obviously new evidence has come to light that shows Moirai is not only failing to deliver on their commitments but also applying some questionable business practices which have affected local businesses in Swindon who have provided services to the Oasis and then have failed to be paid. We are standing up for those businesses as well as defending the interest of Swindon’s council-taxpayer.
It can’t be forgotten that the whole Oasis site is a hugely valuable site worth millions of pounds, so to give this site up for free to a company who have a track record in Swindon of failing to meet their commitments, doesn’t make sense to us in terms of delivering value for money to Swindon residents. And we think this decision will be supported by many those small businesses who are still owed money by Moirai’s shell company.”
– See more at: http://southswindonlabour.co.uk/south-swindon-constituency/2014/07/labour-group-call-termination-oasis-agreement#sthash.YyWfF1gy.dpuf
Outoftowner:
— Quote —What, as reliable as a WiFi IT Adventure, you mean?
— End quote —
I see a couple of blokes with a string of companies behind them, none of them successful and a few far from successful. Who does that remind us of? Why someone who SBC can put public trust and assets into the hands of obviously.
Yes, Tobes.
10 minutes on the https://www.duedil.com/web-site, a bus ticket to London and ask a question like, “Show me a previous successful business like you plan at The Oasis.”
Too much trouble to go to before giving away a public asset?
Terry Reynolds:
should be good at the cabinet meeting tonight…..
Weebleman:
— Quote from: Outoftowner on April 23, 2014, 03:10:05 PM —Moirai Capital Investments Limited – set up in 2009 and now Non Trading
Moirai Capital Investments (Swindon) Limited – set up in Jan 2012 has liabilities of over £200,000 more than it is worth.
Moirai Capital Investments (Torquay) Limited – set up in Nov 2012 and now Non Trading
Moirai Capital Investments (Milton Keynes) Limited set up in Dec 2013, has not reported yet.
Moirai Capital Investments (No 7) Limited – Operated for a few months in 2011 and then was dissolved.
All these companies have registered offices on the first floor of quite a nice terraced house, in Woodberry Grove, North Finchley, London.
Mr Sarju Rach and Mr Nicholas David Lewis are directors of all of the above companies as well as, Oasis Waterpark Limited and, Oasis Arena Limited.
To my untrained eye, all of the above looks about as solid and reliable as a few other companies that SBC have been dealing with in the recent past.
How much would it have cost to get the bus to London and knocked on the door of the “Registered Office” to see what these companies were about? :coffee:
— End quote —
Good hunting OOT, but you forgot to mention Oasis Ski Limited and Oasis Real Estate Limited — both of which were formed on the same date (30 June 2012) as the other “Oasis” companies. Just when did the council decide to give away the Oasis I wonder, and if it was after that date then who gave the “heads up” ?
Anyway, I don’t know what you’re worried about. Handing over your money to a Nicholas David Lewis must be a shrewd move, after all being an active director of 17 companies at the tender age of 22 must make him a real wizz kid….. not educated in Swindon, that’s for sure. Wonder if he knows there’s a vacancy on the board of the Brunel Nightclub? :coffee:
Outoftowner:
http://ww5.swindon.gov.uk/moderngov/mgConvert2PDF.aspx?ID=47351
Please read the above SBC document to see what clauses have been removed from the Oasis lease. This is to help Oasis Water Parks Ltd. fund their refurbishment. This is not quite what was promised was it?
Now see what he same outfit promised Paignton and Milton Keynes local authorities less than 2 months ago. Surely they won’t want to alter any terms in those leases too would they?
650 jobs in £45million Paignton leisure park dream.
UK’s largest waterpark could be built at Milton Keynes National Bowl
It all reminds me of the time Dennis Grant was announcing big plans for the Cotswold Waterpark. I loved the one about creating a full size replica of Stonehenge. His stone supplier was someone whose largest stones are used to make stone jewellery!
Terry Reynolds:
Post cabinet report…. I reported the 5 moira investments that are either now not trading or dissolved or owing up to liabilities of over £200k, and the reply I received from Coun Williams, was that the company had been investigated in recent weeks and months and nothing toward was found and they had no debt problems, He didn’t reply about why they have sub let the Oasis to the GLL Group. But did say that the Oasis had a good future in front of it, Richard also asked questions about the group which I’m sure he will enlarge on.
I also asked about the 300k given to UK Broadband and was this the same road as the wifi fiasco. Mr McKellar, replied that the UK Broadband deal was a good one and they would return a good profit in the near future. He also did not reply to the question as to what we have to actually show for it now.
On another tack, this was the last cabinet meeting before the elections in May, and after public questions, councillors from all groups can ask questions on the subjects raised and take the cabinet to task. This evening, only one labour councillor and none from the lib dems came to the meeting, so apart from 2 or 3 points raised by Mr Moffat, they had a very easy ride.. Is that the oppositions role in life I wonder..
East Devon Watch 
A Facebook page about Exmouth Splash has a photo of the remarkable registered offices of Moirai. Classy! https://www.facebook.com/Exmouthsplash?ref=aymt_homepage_panel
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In fairness t oMoirai, the googelmap location was a few doors out and the registered office for the company, and 15,000 others as I recall, was not as dire as google suggested. Still not what one might expect though!
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Well done to all those who have Exmouth at heart and are willing to spend time in making sure what is best for our Sea Front.
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