The Government of Scotland has not discarded to take over an aluminium smelter and a steelworks into public ownership if the situation demands to safeguard the jobs.
Fiona Hyslop, Cabinet Secretary for Economy, Fair Work and Culture, said: “The current plans were not to take over the Lochaber aluminium smelter and the Dalzell steelworks – both of which are owned by the GFG Alliance.”
As GFG Alliance is looking to refinance, she pledged: “Ministers would look at all options as required.”
The Cabinet Secretary’s comments came following Labour MSP Monica Lennon said: “The outlook for the sites was increasingly worrying, as at least 340 jobs at risk.”
Monica Lennon pressurized Hyslop on the situation for contingency plans the Scottish Government had, should GFG fail to refinance.
Sanjeev Gupta led GFG Alliance is countering a probe by the Serious Fraud Office (SFO), counting its links to collapsed lending partner Greensill Capital.
The SFO is looking into suspected fraudulent trading and money laundering at companies in the GFG Alliance.
Hyslop, who was pressurized on the possible impact for GFG’s Scottish sites, informed MSPs at Holyrood: “it was a potentially changing situation."
“Our current plans are not to take into public ownership any of the sites, however, as we did when we intervened to save the sites previously, we will look at all options as required to when situations present themselves”, Hyslop said.
“As of now, we are monitoring the situation; we are keeping very close contact with the management, the workforce and the unions in both sites.”
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