The body responsible for London’s economic development misspent money 'on a massive scale' by squandering tens of millions on badly managed projects during Ken Livingstone’s mayoralty, according to an investigation of its financial management.

A 'forensic audit panel', set up by Boris Johnson shortly after his election as Conservative London mayor, will today report a litany of failings of governance by the board of the London Development Agency that 'contributed directly' to its recent problems.

These include allegations of fraud and corruption in various projects that are the subject of a police investigations.

Financial Times