NELSON Town Council has been slammed by an auditor after failing to submit financial returns.

A report by leading accountancy firm BDO LLP will be discussed at Nelson Town Hall tonight after the taxpayer-funded authority failed to prepare annual returns for the financial year ended March 31, 2014.

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A letter from BDO, sent to the Audit Commission and Pendle Council, said the town council had ‘failed in an important statutory duty’.

Tonight’s public meeting, which starts at 7pm, will see the 24 town councillors elected earlier this month study BDO’s report for the first time.

BDO’s letter to members said: “The council, despite repeated requests, failed to submit an annual return. Any income received or expenditure made, if any, has not been subject to external scrutiny.

“Completing the annual return provides appropriate accountability at minimum cost to the council.

“The council failed in an important statutory duty. And perhaps most importantly, it failed to account to its taxpayers for the use and safeguarding of their money.

“That should not happen again.

“We therefore recommend that the council should adopt a formal plan for the preparation of the annual return by the statutory deadline of June 30 each year, and monitor performance against this plan.”

The town council’s official website lists Martin Harrison as town clerk, but his replacement, Jennifer Sutcliffe, declined to comment.

BDO’s letter was also sent to Philip Mousdale, the Pendle Council monitoring officer, who explained to the Lancashire Telegraph that the report was a matter solely for Nelson Town Council.

The BDO letter added: “The council is responsible for the use of funds raised by taxation.

“Citizens expect the council to account for how it is used and protected those funds.”

Nelson Town Council, formed in May 2008, sets its own annual precept, which residents in six wards - Bradley, Clover Hill, Marsden, Southfield, Walverden and Whitefield - pay on top of their council tax.

Town council chairman Sajid Ali was yesterday unavailable for comment.