The Government has vowed to pursue a company linked to Baroness Michelle Mone for millions of pounds paid for defective PPE at the height of the COVID pandemic after a High Court deadline passed without repayment.
Earlier this month, the High Court ruled that PPE Medpro, a company founded by Baroness Mone’s husband Doug Barrowman and promoted in government by the Tory peer, was in breach of contract and gave it two weeks to repay the £122m plus interest of £23m.
In a statement, the Health Secretary Wes Streeting said: “At a time of national crisis, PPE Medpro sold the previous government substandard kit and pocketed taxpayers’ hard-earned cash.
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“PPE Medpro has failed to meet the deadline to pay – they still owe us over £145m, with interest now accruing daily.”
It is understood that is being charged at a rate of 8%.
“We will pursue PPE Medpro with everything we’ve got to get these funds back where they belong – in our NHS,” Mr Streeting concluded.
Earlier a spokesman for Mr Barrowman and the consortium behind the company said the government had not responded to an offer from PPE Medpro to discuss a settlement.
“Very disappointingly, the government has made no effort to respond or seek to enter into discussions,” he said.
During the trial PPE Medpro offered to pay £23m to settle the case but was rejected by the Department of Health and Social Care.
While Mr Barrowman has described himself as the “ultimate beneficial owner” of PPE Medpro, and says £29m of profit from the deal was paid into a trust benefitting his family including Baroness Mone and her children, he was never a director and the couple are not personally liable for the money.
