Alvarez and Marsal
On its website, Alvarez and Marsal describes itself this way: "Founded in 1983, Alvarez & Marsal is a global professional services firm that helps businesses in the corporate and public sectors solve problems and unlock value. With 350 professionals across the US, Europe, Asia, and Latin America, Alvarez & Marsal delivers a distinct blend of leadership, problem solving and value creation. Drawing on its strong operational heritage and hands-on approach, Alvarez & Marsal works closely with organizations and their stakeholders to help navigate complex business issues." [1]
Contents
Alvarez & Marsal and Bradford Teaching Hospitals
"How many dollars does this operation cost?" A&M displays cultural sensitivity in Bradford
In late 2004, Bill Moyes, Chair of the Independent Regulator of NHS Foundation Trusts in the UK, appointed A&M to sort out the financial mess that one of the first foundation hospitals, Bradford, had got itself into.
According to The Observer, "When the New Yorkers arrived at Bradford Royal Infirmary, they were in for a surprise. Many of the staff did not understand their accents, and they, in turn, appeared to know very little about the NHS. One consultant said: 'This guy had a piece of paper and kept asking me how many dollars it would cost to perform a particular operation. I told him: "We don't actually work in dollars here. It's pounds and pence, I'm afraid." It was completely farcical.' The report prepared by A&M cost the trust £160,000, a sum they could scarcely afford." [2]
Sacked Bradford trust chairman claims A&M's report contained "considerable and significant factual errors"
In February 2005, the Yorkshire Post reported that sacked Bradford trust chairman John Ryan "has called on the Audit Commission, which is the trust's auditor, to examine if the final payment of the bill totalling nearly £77,000 should be withheld. In a letter, he says legal advice ordered by the trust board described the report as 'significantly flawed'. It claimed the report contained 'considerable and significant factual errors' and there were potential grounds for the trust to withhold final payment and consider recovering cash already paid." [3]
However, "...Michael Lord, managing director of A&M in the UK, denied the accusations and said the firm had fulfilled its contractual obligations." [4]
The riddle of the 60% cut in the £25,000 expenses bill
In March 2005, A&M came under fire for apparent inaccuracies in the original expenses bill it submitted for its work in Bradford. According to the Yorkshire Post, "A&M originally submitted a bill for £165,000, including £25,460 for expenses to cover the costs of travelling, accommodation and meals. Hospital officials requested a detailed breakdown, including receipts, in November last year. The sums were already controversial, drawing criticism the money could have been better spent on hospital services. Following a request under the Freedom of Information Act, the Yorkshire Post has obtained copies of the final bill, which has now fallen to £147,000, mainly due to a reduction in the expenses claim by 60 per cent to £10,283. Last night Bradford West MP Marsha Singh said it appeared the original invoice had been substantially wide of the mark." [5]
Contact details
New York (Corporate HQ)
Alvarez & Marsal, LLC
600 Lexington Avenue
New York, NY 10022
Tel: (212) 759-4433
Fax: (212) 759-5532
Email (media inquiries): rbaker AT alvarezandmarsal.com
Website: http://www.alvarezandmarsal.com/
(source)
SourceWatch resources
External links
- Jo Revill, "Flagship hospital pays heavy price for independence", The Observer, January 16, 2005.
- Mike Waites, "Ailing trust 'wasted public money on £150,000 report'", Yorkshire Post, February 23, 2005.
- Mike Waites, "Firm's £25,000 expenses claim to NHS is cut", Yorkshire Post, March 3, 2005.
