26 November 2004
The Serious Fraud Office has stepped in to investigate allegations of irregularities in the award of building contracts at Queen's Medical Centre Nottingham University Hospital Trust.
On November 18, the SFO, together with local police and officials from the Office of Fair Trading, raided four addresses — two business premises, two residential — in Leicestershire, Nottinghamshire, Derbyshire and South Yorkshire.
The SFO would confirm only that it was conducting an investigation into the allegations and that two people were arrested but subsequently released without charge.
It is understood the allegations came to light following an internal audit at the trust. The concerns were first referred to the OFT, which asked the SFO to become involved in June.
The OFT said it was conducting a parallel investigation under competition law. This was examining allegations of bid-rigging in the award of contracts for building, construction and renovation work.
The trust said it was co-operating in full with the two investigations as well as the NHS regional counter fraud service.
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