A Dorset business improvement district is at the centre of a police investigation where is understood thousands of pounds are unaccounted for.
Officers have launched a fraud inquiry at the Bournemouth Coastal BID, which had an income of nearly £500,000 in 2018-19
A statement from Dorset police said: “We are currently investigating an allegation of fraud relating to the Bournemouth Coastal BID. The allegations were reported to us in August (2019).
“The investigation is ongoing and therefore we are unable to comment any further at this stage. No arrests have been made and no charges have been brought.”
Paul Clarke, chairman of Bournemouth Coastal BID said: “As the BID is funded by public money the matter has been reported to the police, who are currently investigating.
“As this is an ongoing matter I am unable to comment further at this time. I would like to take this opportunity to reassure our levy payers that it is business as normal and that the BID is fully focused on delivering its business plan in 2020.”
Meanwhile, it has emerged that the BID’s manager Stefan Krause left his post in 2019 and Mr Clarke said: “I can confirm that Stefan Krause no longer works for the Coastal BID.”
Mr Krause, who was Plymouth city centre manager between 2013 and 2015 before taking up the role in Bournemouth, may have returned to his native Germany.
Business Live has tried to contact Mr Krause without success. His former bosses at Bournemouth Coastal BID have not revealed exactly when Mr Krause left his job, but he was posting items about the BID on Facebook on July 2019.
Bournemouth Coastal BID’s five year term extends until 2022. It said it injected £1,098,500 in added value to the seaside town’s economy in 2018-19.
The Coastal BID runs from Westbourne to Hengistbury Head and is one of two BIDs voted through by Bournemouth businesses in April 2012.
In this ballot, 73% of those who voted supported the creation of the BID. There are 760 eligible businesses within the Coastal BID area, with a total rateable value of £30million.
Based on a 1.5% levy the Coastal Districts BID generates a core income of about £500,000 each year. The BID says it is able to attract additional income through voluntary contributions and match funding for key projects.
