Greensill-backed finance firm Taulia got lucrative contract with TfL while Boris Johnson was Mayor


Greensill-backed finance firm Taulia got lucrative contract with Transport for London while Boris Johnson was Mayor and Lex was a No 10 adviser

  • It prompted renewed calls for a fuller probe into Greensill’s access to Whitehall 
  • It also brings up questions as to how he was able to benefit from his ties to PM
  • It can be revealed the process for awarding contract began in December 2015
  • Mr Cameron was PM and Mr Johnson was Mayor of London, which governs TfL

A finance company backed by Lex Greensill negotiated a lucrative contract with Transport for London while Boris Johnson was Mayor and the businessman was working as an advisor in No 10.

The fresh revelation about Government contracts linked to Mr Greensill and his collapsed loans firm last night prompted renewed calls for a fuller investigation into the Australian financier’s access to Whitehall and how he was able to benefit from his ties to David Cameron and other senior figures.

The Mail on Sunday can reveal that the process for awarding the contract – potentially worth millions of pounds – began in December 2015 when Mr Cameron was Prime Minister and Mr Johnson was Mayor of London, a position that governs TfL.

Mr Greensill later appointed Mr Cameron as a paid adviser, awarding him share options reportedly worth more than £40 million.

A finance company backed by Lex Greensill (pictured) negotiated a lucrative contract with Transport for London while Boris Johnson was Mayor and the businessman was working as an advisor in No 10

A finance company backed by Lex Greensill (pictured) negotiated a lucrative contract with Transport for London while Boris Johnson was Mayor and the businessman was working as an advisor in No 10

Government documents show that TfL handed a supplier payment contract to the US firm Taulia, which was financed solely by Greensill Capital at the time.

It meant Greensill would get a fee for paying suppliers early.

However, the contract was never used and terminated in 2019 after only one supplier signed up. It is understood a £150,000 fee was still paid to Taulia.

Last night, Dame Margaret Hodge, former chairwoman of the Public Accounts Committee, said: ‘Greensill’s relationship with the public sector is murky and open to lots of questions.

‘This is why the relationship between the company and politicians, civil servants, and the public sector should be subject to a thorough, total and complete investigation.’

The Mail on Sunday can reveal that the process for awarding the contract ¿ potentially worth millions of pounds ¿ began in December 2015 when Mr Cameron was Prime Minister and Mr Johnson (pictured) was Mayor of London, a position that governs TfL

The Mail on Sunday can reveal that the process for awarding the contract – potentially worth millions of pounds – began in December 2015 when Mr Cameron was Prime Minister and Mr Johnson (pictured) was Mayor of London, a position that governs TfL

A spokesman for TfL said: ‘In December 2015, when the previous Mayor was in office, TfL ran a competitive tender for a supplier to provide an early payments solution, which would allow its global supply chain to be paid earlier, with an affordable rate of finance.

‘No Government Ministers or officials were involved in the procurement, the selection of supplier or the award of the contract.

‘The previous Mayor did not have any role in this procurement.’

Mr Johnson last week announced an inquiry into the Government’s use of supply chain finance connected to Greensill.

The National Audit Office is also probing Greensill Capital’s involvement in the Government’s pandemic loan scheme, including how it was accredited to take part.

Greensill Capital and Taulia declined to comment. The Cabinet Office said that the contract was ‘done entirely by TfL’. 

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