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Richard Sharp has resigned as chairman of the BBC after an investigation found he violated civil service rules by failing to declare that he had helped facilitate loans for former Prime Minister Boris Johnson.
Adam Heppinstall KC’s report found that Mr. Sharp “failed to disclose any potential perceived conflicts of interest.”
Sharp said he resigned to “prioritize the interests” of the station.
Labor and the Liberal Democrats said the incident had damaged the station’s reputation and damaged its impartiality record.
The report comes after it emerged that Mr Sharp had provided the then-Prime Minister with a £800,000 loan guarantee before being nominated for the role of overseeing the independence of the public broadcaster.
It concluded that it failed to disclose this to a bipartisan panel of parliamentarians who advised ministers on who to appoint, which amounted to a violation of the Governance Code.
It also said that as a result of Mr Sharp’s relationship with Mr Johnson, “it is quite possible that Mr Sharp was at risk of being perceived as not independent of the former prime minister if he was appointed.”
Heppinstall’s report states: “His successful candidate, Richard Sharp, was unable to disclose any potential perceived conflicts of interest to the committee that interviewed the candidates and advised ministers on who to appoint. .”
Mr Sharp told Mr Johnson that he would like to apply for the BBC job before applying, and before being interviewed, he would meet with then-Prime Minister Simon Case and introduce him to anyone who would like to help him with his personal finances. Told.
The report states: Mr. Sharpe was recommended for appointment because he assisted the former Prime Minister in private financial matters (to the very limited extent of attempting a referral to the aforementioned Chief Cabinet Secretary) and/or that he was a former Prime Minister. to inform him of his application and recommend him before he submitted it. “
“If I stay in the position until the end of my term, I think this could get in the way of doing good work for the company,” Sharpe said in announcing his resignation.
Mr Sharp said he told the chief cabinet secretary that the BBC was in the process of being appointed when they discussed the loan to Mr Johnson. He said he believes this will free him from conflict of interest accusations.
“As a result of that conversation, I believed I was removed from any conflict or conflict perception. said.
“I hope, with the benefit of hindsight, I have considered mentioning this potential conflict of interest in my subsequent interviews with the appointment committee.
“I would like to once again apologize for that oversight, albeit inadvertently, and for the confusion these events have caused the BBC.”
Following his announcement, the BBC Board of Trustees released a statement saying that they “believe that Richard Sharp is a man of integrity”.
The Board of Directors said: “We accept and understand Richard’s decision to resign. The BBC Board considers Richard Sharp to be a man of integrity.
“Richard has been a true supporter of the BBC and its mission, and why the BBC is a valuable asset to the country, both at home and abroad. I had a desire to see it thrive.
“We understand that the UK government is moving quickly to begin the process of appointing a new chairman of the BBC, in line with the terms of the BBC Charter.”
Labor’s shadow culture secretary, Lucy Powell, who first called for the report, said the breach had “caused immeasurable damage” to the station.
“The report is clear: Mr. Sharp violated the rules expected of a candidate by not disclosing his personal loan involvement to the then prime minister,” she said.
“As a result, this breach has caused immense damage to the reputation of the BBC and seriously undermined its independence as a result of the meanness and nepotism of the Conservative Party.
“This is 13 years after the Tories have done everything they can to protect themselves and their allies. He was more interested in protecting his former bank boss than in doing what was best for him.”
She called on the prime minister to “urgently establish a truly independent and robust process to replace Sharpe to help restore the respect of the BBC”.
Liberal Democrat leader Sir Ed Davey said the BBC was “dragged through the mud”.
“Boris Johnson should never have been allowed to appoint Richard Sharpe in the first place. Worse, Rishi Sunak dismissed him to show no leadership.
“There must be a rigorous, transparent and independent process to appoint the BBC’s next president, including a confirmation vote by parliament’s bipartisan culture, media and sports committees.”