Better governance arrangements were ordered at Burngreave New Deal for Communities after an investigation by the District Auditor found a number of weaknesses.

It followed revelations by The Star that the agency paid £110,000 to hire the services of two discredited men who were friends of then BNDfC chief executive John Clark.

Sheffield Council's Audit Committee is being given an update at a meeting on Wednesday on how the changes are being implemented.

Diligence checks are now being carried out by Sheffield Council's legal services department on BNDfC's contract agreements, quarterly reports put together on the agency's policies and decisions, and spot checks being made of how grants are spent.

Sheffield Council's top officers are also to meet with BNDfC management every two months to assess performance.

Coun Mike Davis, chair of Sheffield Council's Audit Committee, said: "It is useful to be updated on how these recommendations are implemented.

"We're aware that improvements must be made and we want the systems and procedures that we use to stand up to scrutiny. It's important for citizens to be able to ensure public funds are spent appropriately."

Burngreave New Deal for Communities was established in 2001 and was allocated £55 million to spend on regenerating the area.




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