Hobson 'concern' over Co-op fee
12 April 2012
THE two non-executive directors of food company Hobson were 'amazed and concerned' that it might have bribed its way to extending a £200m-a-year contract to supply the Co-op, Snaresbrook Crown Court heard.
One of them, accountant Martin Bunting, told the court that £5.5m spent getting the extension was favourable to Hobson, but part of it, a £2.4m 'brokerage fee, was a matter of concern'. Earlier, the former head of the Co-op's finance and property division said the contract extension was worth £24m and the £2.85m the Co-op received was 'woefully inadequate'.
Former Hobson boss Andrew Regan pleads not guilty to stealing £2.4m. The case continues.
