Education Funding Agency
Sanctuary Buildings
Great Smith Street
London
SW1P 3BT
Tel: 0370 000 2288
www.education.gov.uk/efa-enquiry-form
4 July 2016
Sir Greg Martin
Chair of Governors
Durand Academy Trust
Durand Academy
Hackford Rd
London
SW9 0RD

Dear Sir Greg,

Notice of provisional intention to terminate the Funding Agreement made between
the Secretary of State and Durand Academy Trust.
This letter is by way of notice pursuant to clause 89 of the Funding Agreement dated 10
September 2012 (“the Funding Agreement”) made between the Secretary of State and
Durand Academy Trust (“the Academy Trust”) in respect of the Durand Academy school
(“the Academy”).
By clause 89 of the Agreement the Secretary of State may give notice of her provisional
intention to terminate the Funding Agreement, if any of the following three conditions apply:
a) the Academy no longer has the characteristics set out at clause 10 of the Funding
Agreement;
b) The conditions and requirements set out in clauses 12-33 of the Funding Agreement
are not being met; or
c) The Academy Trust is otherwise in material breach of the provisions of the Funding
Agreement.
The Secretary of State considers that conditions (b) and (c) above apply. Without prejudice
to the generality of those matters, it is clear that there have been repeated significant
breaches of the Funding Agreement. There have been repeated significant breaches of the
Academies Financial Handbook. (As you well know, by clause 65 of the Funding
Agreement the Academy Trust is required to “abide by the requirements of” the Academies
Financial Handbook.)
By clause 90(b) of the Funding Agreement, the Secretary of State is required to specify the
steps that need to be taken to remedy the breaches that have occurred. Those steps are
as follows:

 A. Secure that, by 1 August 2016, no director of DAT is also a director of Durand
Education Trust (DET), London Horizons Limited or GMG Management Resource
(UK) Ltd.
B. Without prejudice to the generality of A above, secure that, by 1 August 2016, Mr
Mark McLaughlin either (i) resigns from any position with DET, London Horizons
Limited or any company of which Sir Greg Martin is a director or has a shareholding
of over 5%; or (ii) resigns from his position as acting Executive Head Teacher of DAT
and (for so long as he shall have any position with DET, London Horizons Limited or
any company of which Sir Greg Martin is a director or has a shareholding of over
5%), holds no other position with and has no further involvement with DAT.
C. By 29 August 2016 DAT shall appoint two directors/trustees. Those appointed must
(i) have appropriate experience and skills to assist DAT to deliver excellent
education, governance and financial management; (ii) have no previous connection
with DAT or the Durand school. A statement from the Regional Schools
Commissioner that candidates have between them the experience and skills
identified in (i) will be regarded as sufficient evidence that the candidates’ experience
and skills are appropriate.
D. By 1 August 2016 secure that £1.8m being the balance of the £2m funds that were
transferred to DET by DAT in 2013/14 is repaid to DAT.
E. By 1 August 2016 secure that Sir Greg Martin resigns as Chair of Governors of DAT
and ceases to be a director/trustee of DAT and from any other position with DAT.
Ensure that in future Sir Greg Martin is neither employed by or acts as a trustee of
DAT, or is a member of DAT (and for the avoidance of doubt, shall not act as shadow
director)
F. By 29 August 2016 DAT will publish on its website, a list of the relevant business and
pecuniary interests of members, trustees and local governors, in accordance with
clauses 2.5.2 and 3.1.20 of the Academies Financial Handbook 2015.
G. By 29 August 2016 confirm that the Academy Trust has taken appropriate steps to
ensure the following:
a) That trustees of the Academy Trust understand their statutory duties as company
directors to avoid conflicts of interest, not to accept benefits from third parties, and to
declare interest in proposed transactions or arrangements.
b) That the Academy Trust has suitable arrangements in place to ensure that trustees
comply with the obligations referred to at (a) above.
H. By 1 August 2016 put in place arrangements to ensure that DAT retains all records
as required by the Funding Agreement and the Academies Financial Handbook, for
6 years.
By 1 August 2106, please provide your written response to this notice and your written
confirmation that you will comply with all the requirements set out above by the dates
specified.

 Please acknowledge receipt of this letter to me by Monday 11 July 2016.
Yours sincerely,

Peter Lauener
Chief Executive
Cc Governing Body – Tyrone Watson (Vice-Chair), Brenden McShane, Hakim Taylor,
Angel Lue-Taim, Mark McLaughlin