NHS Boss Accused Of Freebie Row Goes To DC

Jan 6 2008 By Norman Silvester

Exclusive Health Chief Accused In Freebie Row Quits For U.s

AN NHS boss blasted for blowing public money on junkets is Scotland's new "First Lady" in Washington.

Former nurse Elizabeth Kelly will help represent our nation in the US capital following her lover Robin Naysmith's appointment as the new "ambassador" for Scotland.

The Sunday Mail revealed in June 2001 how Kelly - then head of the NHS Strategic Change Unit (SCU) - and her executives spent thousands of pounds of taxpayers' cash on booze, hotels and overseas jaunts.

She was slammed in an auditors' report for staying in plush Edinburgh hotels even though she lived in the city.

She also went on an unauthorised trip to Bordeaux on flights costing £774, while a senior colleague blew hundreds of pounds on boozy meals at top restaurants.

Kelly has visited her long-term partner Naysmith in the US over the last few weeks and plans to move full-time from her home in Dullatur, Dunbartonshire.

Naysmith, previously principal private secretary to former First Minister Jack McConnell, started his US post on November 26. First Minister Alex Salmond was criticised for "delusions of grandeur" after upgrading his post's title from First Secretary to Scottish Government Counsellor.

The £80,000-a-year job is based at the British Embassy, where he represents the Scottish Government's interests in the US and Canada.

A former colleague of Kelly's said: "Liz is a very driven woman who enjoys the finer things in life, so the trappings and status that go with Robin's job will suit her. She is very excited about the move."

Kelly's SCU was savaged by auditors in 2001. Their report said the SCU had not complied with Executive policies and went on:

"The SCU also need to comply with policies on hospitality, in particular the provision of alcohol.

"In November 1999, the head of the SCU and its head of executive development travelled to Bordeaux but we could find no evidence of the required ministerial approvals."

SCU events were held at a string of top hotels, including Edinburgh's Roxburghe. One bar tab paid with public cash was for £572.

Director Gerry Marr once blew £671, including £174 on booze, for a meal for six at Edinburgh's plush Haldane's restaurant.

Cash was paid to consultants whose work was substandard and expenses were overclaimed.

Contracts were also given to private firms without approval.

Kelly has been in a senior Scottish Government health role but it is not known if she has quit her post for the US move.

The Scottish Government said: "That is a personal decision. We cannot comment."

Mr Naysmith and Ms Kelly declined to comment but the Scottish Government added:

"Anyone taking up such a position is not entitled to any help in securing a post or indeed any other privileges."

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n.silvester@sundaymail.co.uk