The former head of the Unite union, Len McCluskey, accepted private jet flights and football tickets arranged by the construction company behind a multimillion-pound hotel project for the union, according to an internal report.
The Flanagan Group, run by friends of Mr McCluskey, overcharged Unite by at least £30m for the Birmingham hotel and conference centre, the interim report found. It also said Mr McCluskey had 'overruled' advice from staff and the union's lawyers when signing the construction contract.
The report said the flights and tickets were 'consistently organised and paid for' by the company, with no indication that Mr McCluskey later reimbursed it. He is said to have flown to Liverpool matches in the 2018 and 2019 Champions League finals in Kyiv and Madrid, and received tickets for five domestic games.
Mr McCluskey's lawyers said he 'categorically' rejected any suggestion of improper dealings. They said he had paid for his travel in full and did not recall signing the main contract. The Flanagan Group did not respond to requests for comment.
The report, commissioned by Mr McCluskey's successor Sharon Graham and compiled by Martin Bowdery KC, also found that the union spent at least £72m more than the hotel complex was worth. It noted a £400,000 loan towards a flat for Mr McCluskey had not been authorised in advance, although his lawyers said it was made under a scheme open to all officers.
The hotel project was initially estimated to cost £7m in 2012, but the Flanagan Group was eventually paid £96m. Mr Bowdery said £30m of that was overcharging, including £1.3m for work that should have cost £90,000. The Serious Fraud Office opened an inquiry into the project last year.
