(Adds UK statement)
LONDON, Sept 28 (Reuters) - Britain said on Tuesday it would
seize control of Go-Ahead Group's Southeastern rail
franchise after the transport company admitted errors had been
made which required a $34 million repayment to the government.
Go-Ahead postponed its annual results, due on Thursday,
announced the departure of its finance director, Elodie Brian,
and apologised for its conduct on the London & South Eastern
Railway contract (LSER).
The Department for Transport (DfT) said the government's
operator of last resort would take over the running of the
service from Oct. 17.
"Money has been recovered and further investigations are
being conducted by the owning group into all related historic
contract issues with LSER," the transport department said.
"Following these investigations, the government will consider
further options for enforcement action."
Go-Ahead, which also operates bus services and the Govia
Thameslink Railway service, said its financial results,
including the expected provisions related to the franchise but
not any financial penalty, remained in line with its
expectations.
"We recognise that mistakes have been made and we sincerely
apologise to the Department for Transport. We are working
constructively with the DfT towards a settlement of this
matter," Go-Ahead Chairman Clare Hollingsworth said.
($1 = 0.7311 pounds)
(Reporting by Kate Holton; editing by Sarah Young)