The controversial chief of a North-East council will walk away with a six-figure payout following a protracted and public dispute with leading councillors, despite lingering questions about unlawful expenditure.
Daljit Lally, CEO of Northumberland County Council, will be paid £209,000 to leave her role at the end of July despite the misgivings of several councillors. The cost includes a £75,000 payment to settle an employment tribunal claim for “injury to feelings” and £40,000 on account of “injury or disability.”
It brings to an end a two-year saga that has seen a former council leader toppled, a damning review of governance at the council and the issue of a section 114 notice relating to the unlawful expenditure of tens of thousands of pounds. As part of the settlement, the council also agreed to waive its right to bring a claim for recovery of the £179,032.09 international allowance not properly authorised and identified as unlawful by the section 114 report.