Record fine for Southern Water
Author
Discussion

matchmaker

Original Poster:

8,969 posts

224 months

Friday 9th July 2021
quotequote all
Southern Water have been fined £90m (yes, Ninety Million Pounds!) for numerous incidents of the release of uncontrolled sewage.

https://www.bbc.co.uk/news/uk-england-kent-5777793...

Shocking story - deliberate, apparently.

JulianHJ

8,861 posts

286 months

Friday 9th July 2021
quotequote all
They really are a load of scensoredt.

Man-At-Arms

5,920 posts

203 months

Friday 9th July 2021
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I smell foul play

frisbee

5,489 posts

134 months

Friday 9th July 2021
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Well I guess they aren't taking the piss.

Randy Winkman

20,990 posts

213 months

Friday 9th July 2021
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Perhaps all of the water companies should be nationalised?

wink

pquinn

7,167 posts

70 months

Friday 9th July 2021
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So are any individuals going to see consequences for their actions or are they all fine and it's basically just the customers and shareholders getting the pain?

A bit like when the NHS fks up and the only punishment is a hit to the budget and none of those responsible actually suffer.

bitchstewie

64,412 posts

234 months

Friday 9th July 2021
quotequote all
Whilst there needs to be a punishment I'm surprised fines is the format as surely it just ends up with their customers paying more?

Other than prosecuting and jailing directors I can't think of an alternative though.

IroningMan

10,598 posts

270 months

Friday 9th July 2021
quotequote all
Gosh. You make changes in legislation that make the water companies self-policing, slash the funding of the Environment Agency by 2/3 to keep it out of their way and the ungrateful blighters turn round and take advantage?

Who'd imagine they could do such a thing?

valiant

13,389 posts

184 months

Friday 9th July 2021
quotequote all
Randy Winkman said:
Perhaps all of the water companies should be nationalised?

wink
No, competition makes the market work better.

Oh wait, hang on a sec…

Beati Dogu

9,348 posts

163 months

Friday 9th July 2021
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That'll dilute their profits.

Mr Whippy

32,254 posts

265 months

Friday 9th July 2021
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bhstewie said:
Other than prosecuting and jailing directors I can't think of an alternative though.
Why have an alternative to that solution?

It’d act as a suitable deterrent because the director would absolutely incentivise staff to never do anything that’d expose them.

bitchstewie

64,412 posts

234 months

Friday 9th July 2021
quotequote all
Mr Whippy said:
Why have an alternative to that solution?

It’d act as a suitable deterrent because the director would absolutely incentivise staff to never do anything that’d expose them.
Oh I'd be fine with it I just worded what I was trying to say badly which is why don't they jail directors when a fine to the company presumably just gets passed on to peoples water bills?

MXRod

2,848 posts

171 months

Friday 9th July 2021
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Paid out of dividends , or price rise, ? I wonder

vonuber

17,868 posts

189 months

Friday 9th July 2021
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I've had to work with them over the years and they have been utterly useless without fail.
This is no surprise whatsoever, but nothing will change unless people go to prison. Why would they change?

Other water companies are just as bad, even the way things operate under the AMP cycles is a joke.

mac96

5,775 posts

167 months

Friday 9th July 2021
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This gives a lot more background.
https://www.theguardian.com/environment/2021/jul/0...

There was a guy from the EA on Radio 4 earlier who when asked if he was surprised gave the impression that if he was it was only by the number of events.

There really needs to be sanctions against the directors for this sort of thing. The company clearly had a deliberate policy of operating in a criminal way, it was not an aberration. Given that the industry works on 'trusted to report issues basis' which means they should be judged by professional standards,I would like to see the managers and lawyers who obstructed the EAs investigation facing individual punishment as well.

None of this will happen though- just another tenner on your water rates. Of course if everyone refused to pay for a year..that won't happen either.

Derek Smith

48,901 posts

272 months

Friday 9th July 2021
quotequote all
bhstewie said:
Whilst there needs to be a punishment I'm surprised fines is the format as surely it just ends up with their customers paying more?

Other than prosecuting and jailing directors I can't think of an alternative though.
If it was deliberate, then there should be criminal charges. All that happens with fines is that rate payers are hit. (I'm a SW customer.)

I'm not after jailing the directors as that would cost me money as well. Hit them where it hurts, in the pocket. Ban them from any job as a director/whatever.

On top of that, jail the legislators for reducing oversight. Every MP who voted for it should have to undergo retraining. On a weekend.

g3org3y

22,141 posts

215 months

Friday 9th July 2021
quotequote all
article said:
Chief executive Ian McAulay, who was appointed in 2017, was in court on Friday alongside chairman Keith Lough, who joined in 2019.

After the hearing, Mr McAulay said: "We have heard what the judge has said today and will reflect closely on the sentence and his remarks.

"He has rightly put the environment front and centre which is what matters to all of us. "

Mr McAulay said the fine would not affect customers' bills or infrastructure investments, with shareholders due to bear the cost.
He should be reflecting about it in jail IMVHO.

mac96 said:
This gives a lot more background.
https://www.theguardian.com/environment/2021/jul/0...

There was a guy from the EA on Radio 4 earlier who when asked if he was surprised gave the impression that if he was it was only by the number of events.

There really needs to be sanctions against the directors for this sort of thing. The company clearly had a deliberate policy of operating in a criminal way, it was not an aberration. Given that the industry works on 'trusted to report issues basis' which means they should be judged by professional standards,I would like to see the managers and lawyers who obstructed the EAs investigation facing individual punishment as well.

None of this will happen though- just another tenner on your water rates. Of course if everyone refused to pay for a year..that won't happen either.
The details in that link are shocking. eek

Credit to Stephen Bailey BTW clap

Edited by g3org3y on Friday 9th July 20:22

Getragdogleg

9,884 posts

207 months

Friday 9th July 2021
quotequote all
g3org3y said:
article said:
Chief executive Ian McAulay, who was appointed in 2017, was in court on Friday alongside chairman Keith Lough, who joined in 2019.

After the hearing, Mr McAulay said: "We have heard what the judge has said today and will reflect closely on the sentence and his remarks.

"He has rightly put the environment front and centre which is what matters to all of us. "

Mr McAulay said the fine would not affect customers' bills or infrastructure investments, with shareholders due to bear the cost.
He should be reflecting about it in jail IMVHO.
Funny old world, if a lorry driver who has not loaded his trailer but just picked it up at a distribution hub is stopped by vosa/dvsa and they find a fault with the lorry or load he is liable for the fine or fines, potentially thousands if a strap or two have been left off the load or there is a mechanical problem he didn't spot.

Yet a chief exec of a massive company that has acted against the law many times on purpose is not feeling his wallet get any lighter. No, it's the shareholders, who are not in any way involved in the running are paying while he gets to do press statements.

This is the problem with huge companies, nobody is responsible.



mac96

5,775 posts

167 months

Friday 9th July 2021
quotequote all
Derek Smith said:
bhstewie said:
Whilst there needs to be a punishment I'm surprised fines is the format as surely it just ends up with their customers paying more?

Other than prosecuting and jailing directors I can't think of an alternative though.
If it was deliberate, then there should be criminal charges. All that happens with fines is that rate payers are hit. (I'm a SW customer.)

I'm not after jailing the directors as that would cost me money as well. Hit them where it hurts, in the pocket. Ban them from any job as a director/whatever.

On top of that, jail the legislators for reducing oversight. Every MP who voted for it should have to undergo retraining. On a weekend.
Given the number of incidents, the period of time, and the previous prosecutions it is hard to see that it was not deliberate, in the sense that an active choice was made to not spend money on maintenance but dish it out to shareholders (no doubt including the senior managers/directors share linked bonuses)whilst allowing sewage into rivers and the sea. And then another decision was made to lie about it to the EA, the public, and those shareholders who might not have chosen to receive tainted dividends had they known the truth.

Proving individual criminality will no doubt be impossible. The decisions will have been corporate with involvement of large number of individuals. Unusually, the criminality must have been obvious even to people relatively low down in the hierarchy.

vonuber

17,868 posts

189 months

Friday 9th July 2021
quotequote all
I'm sure there's a lordship awaiting Ian McAulay.