Regulator publishes report on its statutory intervention in Molendinar Park
The report explains why the Regulator intervened and sets out the improvement actions the Association’s management committee has taken.
The Regulator appointed four members to the Association’s committee in March 2017 after the Association identified that it was not constituted in accordance with its rules and requested the Regulator’s support.
The Association acted to resolve this governance failure and carried out an independent review of its compliance with Regulatory Standards of Governance and Financial Management.
The Regulator ended its statutory intervention in October 2017 after the Association took action to address the issue.
Christine Macleod, director of regulation (governance and performance), said: “We intervened at Molendinar Park after it identified this governance failure and asked for our support. The management committee was unable to make decisions and this was a serious risk to its tenants. It worked openly and co-operatively with us to address the issue. And there has been a positive outcome as it now has a properly constituted committee and is able to function and make decisions on behalf of its tenants.”
Andrew Scott, chair at Molendinar Park, said: “When we identified a serious issue in our governance, Molendinar Park immediately requested support from the SHR. We worked openly together during the period of statutory action and that constructive relationship continues as we move forward positively to embed sound governance practices across the organisation. We are absolutely committed to ensuring that the excellent services we provide to our tenants are supported by strong and accountable governance and we are making very good progress in implementing our agreed action plan.”
Helen Moore, chair, Glasgow and West of Scotland Forum of Housing Associations (GWSF), added: “GWSF is very happy to see that this regulatory action was short-lived, after the Association drew SHR’s attention to the issue that had come to light. Whilst it was a serious matter it was relatively easily resolved and didn’t signal wider problems. It’s a relief for all concerned that the Association is now looking ahead to a healthy future improving its community in a wide variety of ways.”
The Regulator will continue to have medium engagement with the Association.