To ask the Scottish Executive what representations it has received from Martin Hunt, the managing director of Tartan Silk, regarding compensation from The Gathering 2009 and what response it has given Mr Hunt.
The Minister for Transport, Infrastructure and Climate Change represented the Scottish Government at a meeting on 25 November 2010 attended by Martin Hunt at which Mr Hunt represented 11 of the creditors for The Gathering 2009 Ltd.
At that meeting, and in a subsequent letter of 26 November 2010 to the Minister for Transport, Infrastructure and Climate Change, Mr Hunt argued that because representatives of VisitScotland and EventScotland chaired a steering group relating to The Gathering event, those representatives were acting as shadow directors of the company, and that the Scottish Government therefore had an obligation to the creditors.
Following careful consideration of the points made by Mr Hunt in the meeting and in his subsequent letter, I responded to Mr Hunt on 17 January 2011. In responding I set out a number of points of context, namely that The Gathering event was not conceived or commissioned by government or any of its partners, and accordingly, the company was not set up by government or any of its partners; and that the Steering Group established and chaired by EventScotland had a role to represent and reflect the interests of the various public sector funders and to monitor overall delivery, but that it did not have any decision-making responsibility in relation to the commercial activities of the company. My response stated that on this basis, the Scottish Government did not accept Mr Hunt''s central point that officials from EventScotland and VisitScotland were acting as shadow directors in relation to The Gathering 2009 Ltd by virtue of their involvement in the Steering Group.
The response to Mr Hunt also reiterated that the Government is sympathetic to the plight of the small businesses affected by the liquidation of The Gathering 2009 Ltd and pointed out that this was one of the reasons why the Scottish Government worked hard to find a solution once it first became aware of the financial difficulties the company was facing.