Celotex Evidence - Monday 16th November 2020 (2/2)

16 November 2020 · Jonathan Raper (Celotex Marketing Manager), Counsel to the Inquiry · 2:27:45
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Grenfell Tower Inquiry - Evidence from Celotex marketing manager Jonathan Raper on RS5000 insulation product testing and marketing practices

Key moments

Full transcript

00:00:14 uh would you ask mr roofer to come back in

00:00:28 please

00:00:34 right mr rep ready to carry on yes yep good thank you yes thank you mr chairman mr raper can i ask you please to be shown cel one one 40110 nine please this is the

00:00:46 one one 40110 nine please this is the first of august full test report from the bre in its final version

00:00:53 uh and can we go within that please to page six

00:00:58 page six the paragraph 3.2

00:01:02 under the heading description of the system

00:01:06 system in general and specifically description of product it says figure two shows the system during construction do you see that yes and then it says the system prior to

00:01:17 and then it says the system prior to test is shown in figure three full details of the system specification and installation details have been provided by the client and are summarized in the following section the system as

00:01:28 section the system as built comprised of and then there's a long list of bullet points and you can see what's there but also what's not there you can see that there's no mention either of the magnesium oxide

00:01:40 either of the magnesium oxide the six millimeters magnesium oxide or the eight millimeters at a marley eternity cladding is there no so when it says full details of the system specification and

00:01:52 of the system specification and installation details have been provided by the client that wasn't true was it no

00:02:02 now you say in your statement of paragraph through 7.13

00:02:08 7.13 if we can look at that at page 17 that

00:02:17 you looked at the draft test report now this is an earlier draft and i should just tell you the context of this is the meeting that you had with the nhbc on the 17th

00:02:28 you had with the nhbc on the 17th on the 19th of june 2014 as we've as we will come on to later but when you did review a draft test report which came in from the bre did you notice that it

00:02:39 from the bre did you notice that it didn't refer to the six millimeters magnesium oxide i did yes

00:02:43 did yes you did and did you think that they'd not referred to it in their draft because they hadn't been told about it or because phil clark had kept it a

00:02:54 or because phil clark had kept it a secret

00:02:55 secret or some some other reason so um after the second test um generally there's a period of

00:03:06 um generally there's a period of two or three weeks where the rig is deconstructed um jamie who wasn't present at the second test came down to the bre with me and spoke to phil clark and we looked at it

00:03:20 phil clark and we looked at it during deconstruction and it was phil clark's

00:03:24 clark's view that the six mil magnesium oxide wouldn't have made any difference and um the reason for the

00:03:36 um the reason for the test passing was the increase in the cladding panel from eight mil to 12 mil so

00:03:46 12 mil so i can only assume that he omitted that detail

00:03:51 detail because of his view on that day

00:03:54 do you remember any discussion with mr clark to the effect that he ought to admit that detail no let's look at the conversation we have i think something in that from mr hayes statement

00:04:05 hayes statement can i ask you to be shane that please it's cel00010154 and i'd like you to go to page 22 in

00:04:16 and i'd like you to go to page 22 in that document

00:04:22 and look at paragraph 67. he says there at a visit to the rig after the second test i recall a conversation between pc that's phil clark at the bre

00:04:33 between pc that's phil clark at the bre and jr

00:04:34 and jr that's you mr roper where when asked by john roper phil clark agreed that the rig had passed the second test so easily that he suspected that it would have passed even without the additional material

00:04:45 additional material i'm just pausing there the additional material is the six millimeters magnesium oxide and the eight millimeters eternity panel on the top of it

00:04:54 top of it yes just using the thicker cladding my recollection of the conversation is that it was led by jr and pc's opinion in this regard was expressed in agreement with jr we were on the second floor in an office

00:05:05 we were on the second floor in an office looking down at the second test rig we all got on well with pc and he was telling us about what it was like to work at the bre including that they had dealt with the burning of the cows when the mad cow

00:05:16 burning of the cows when the mad cow outbreak occurred do you yourself recall that conversation as mr hayes has recorded it here i do yes is there anything you want to add to what he said there or are you happy with his his recollection

00:05:27 are you happy with his his recollection as he's uh recorded it i think it's uh an accurate recollection right thank you well you could just help us to this extent uh

00:05:37 extent uh what he's suggesting is that it was you who

00:05:41 who uh expressed the opinion that um the uh test would have been passed even without the additional material to which mr clark ascended is that your recollection did you put

00:05:52 is that your recollection did you put that forward as the i think uh to take i think we had a conversation prior to uh jamie and i going down to the test rig i can't remember whether that was

00:06:04 i can't remember whether that was directly after the completion of the test or whether that was when i was on the phone to him rearranging to come down but he had mentioned that to me before

00:06:14 before prior to us attending and hence i prompted him to relay what he'd relayed to me before in front of jamie

00:06:28 can you explain who made the decision not to refer to the eight the six millimeters of magnesium oxide in the bre report uh phil clark

00:06:39 in the bre report uh phil clark phil clark uh and if we could look at if we go back to the report the test report that is to say uh i'd like to look at page seven that's uh cel401109 page

00:06:52 uh cel401109 page seven please let's look at paragraph 3.3.4

00:06:57 3.3.4 it says

00:07:00 there uh under rain screen an array of vertical carrier rails were fixed to the helping hand brackets with both l and t aluminium brackets used a single layer of 12 millimeters mali eternity board

00:07:12 of 12 millimeters mali eternity board was mechanically attached to the carrier rails with self-tapping stainless steel screws and washers again that was not true was it in the sense that it wasn't the whole

00:07:23 in the sense that it wasn't the whole truth was it no because there's no reference to the eight millimeters with a six millimeter magnesium oxide backing in those two places on the rig correct again who made the decision not

00:07:34 correct again who made the decision not to

00:07:35 to refer to the eight millimeters of mali attorney nature aboard in those locations in this uh test report right do you remember instructing phil phil

00:07:46 do you remember instructing phil phil clark to do that or leaving him to do it and you not correcting him uh leaving him to do and to be honest with you i was surprised when the test report came across surprised because

00:07:59 came across surprised because because he um clearly understood the components in full of the second test and hadn't detailed it

00:08:10 detailed it in the test report right so surprised that he was prepared to conceal those two elements of the rig even though in fact you were prepared to

00:08:21 even though in fact you were prepared to go along with their installation yes yes

00:08:26 yes yes can we look at page nine in the same document

00:08:38 under paragraph five which all section five which is entitled post test damage report there's a subsection 5.1 which is entitled external layer

00:08:49 5.1 which is entitled external layer and it says a schematic illustration of the damage to the system is shown in the condition of the cladding system after the test is shown in figure 18. it was noted that the insulation layer continued to burn past 30 minute

00:09:00 continued to burn past 30 minute with the flaming extinguished at 60 minutes

00:09:05 now note that there

00:09:12 if you now look at your witness statement please i'd like to go to page 18

00:09:16 18 in that document

00:09:24 and a paragraph 714 at the top of the page

00:09:28 page you say i did not know whether this was normal or not

00:09:35 and this was uh the presentation uh but was taught perhaps we should get back a little so i can put the question more fairly to you if we go back a page i'm so sorry but pick it up at the foot of the previous page

00:09:48 of the previous page um this is the meeting we've been looking at uh uh uh in june and noticing that the first draft of this test report hadn't referred to the magnesium oxide in the list of components

00:09:59 list of components and the sentence is the next sentence is my perception was that the board had a clear view as to how they wanted to market the product even before the test report was available so that was

00:10:09 was that's the background to the next sentence where you say over the page at paragraph 7.14 i did not know whether this was normal or not

00:10:18 or not but was told by paul evans that kingspan were thought to be purposefully emitting information about their bsa414 test from their sales literature this was celetex's intended approach

00:10:30 this was celetex's intended approach paul evans and paul reed made clear that celetex would not correct the information in the bre report now at this stage this is in the context of the 19th of june meeting that you'd had with or were having

00:10:41 had with or were having with the nhbc at celetex's premises in hadley

00:10:46 hadley yes in suffolk wasn't it so when you say this was celetex's intended approach was it clear to you at least at that meeting even though you were simply looking at the draft of the bre report at that stage

00:10:58 report at that stage that celetex were deliberately going to emit information about their bs8414 test from their sales literature yeah and that included this test report correct yes and they were doing so

00:11:10 correct yes and they were doing so because kingspan were thought purposefully to be doing the same yes deliberately that is yes yes yes

00:11:20 so to be clear the real purpose here was to conceal the presence of the six millimeter magnesium oxide and the eight millimeter panels from people who might be reading

00:11:31 panels from people who might be reading the test report as opposed to from the bre itself correct i see

00:11:38 and then you go on in that paragraph to say

00:11:43 say paul reed asked whether anyone was likely to pick it up there was some discussion about how often potential customers asked for the full test report and the conclusion was that this never happened

00:11:55 was that this never happened uh when you say or pick it up paul reed asked whether anyone was likely to pick it up what was the it there

00:12:04 um pick up the fact that the details were were emitted from the from the test report i believe right so the magnesium

00:12:15 report i believe right so the magnesium oxide

00:12:15 oxide six millimeters and the eight millimeter panel correct panels and you say that the conclusion reached it was the potential customers

00:12:25 never ask for the full test report i'm summarizing in a slightly different way what you've written there who was it who came to that conclusion um

00:12:33 um i think that was the general view within within the business i referred to um on thursday during my

00:12:44 um on thursday during my evidence there that

00:12:48 what happened quite commonly in the installation market is that one manufacturer would obtain literature of another manufacturer via

00:12:59 literature of another manufacturer via third-party distribution what was clear is that

00:13:04 is that the k-15 test report had never been discovered um and i guess people assumed that the only reason that the test report wasn't in circulation

00:13:16 the test report wasn't in circulation was because it was never issued to to customers never asked for

00:13:24 were you effectively i say you the three of you

00:13:28 of you celetex is the company effectively relying on customers apathy or lack of sophistication in seeking the full test report i think as was the case with many

00:13:41 i think as was the case with many test reports at the time celetex would do their utmost to avoid sending them out

00:13:49 it may be that this is my fault for not understanding something but at the moment i can't see how any customer

00:13:56 customer could detect the absence of material from the

00:14:01 from the bre documentation because what would they have to compare it with

00:14:08 sorry i don't i don't follow well it's suggested here that and you suggested your evidence that customers didn't ask for the full test report and that you could live with that risk that they might do

00:14:20 live with that risk that they might do so and thereby discover that there was information missing from it what i find it difficult to understand is how could they ever discover that

00:14:31 is how could they ever discover that there had been magnesium oxide boards for example on the test rig because it was never referenced in there yeah yeah i see um i i don't know

00:14:42 um i i don't know in terms of in terms of that i know that there was a wider discussion not only around the detail of the or the description of the test but equally

00:14:53 test but equally um some photographs that quite clearly to

00:14:57 to to me showed that there was magnesium oxide i think maybe that was where the discussion developed too

00:15:04 too um and the fact that it wasn't referenced in the the description but if you looked at the photographs alongside the test report you can

00:15:15 alongside the test report you can clearly see well i can clearly see that the orange 8ml panel actually ends up being shown as a whiteboard those photographs

00:15:26 photographs were were they included in the test report they were yes right yeah i could see that yeah mr jim we get we're about to we're about to come to those

00:15:33 those i'm sorry again no no it's not it it it's it's fine ahead of you don't i no it's it's in all respects uh can i just then take a slight run up to this just looking at the generalities in

00:15:44 this just looking at the generalities in paragraph 7.14 was it the case that because kingspan k15 had you thought deliberately concealed material information about their bs 8414 test in

00:15:56 information about their bs 8414 test in their sales literature and thereby gained dominance over the above 18 meter market for insulation seletax's plan was basically to follow suit in order to enter that market so i understood it yes that's the way you

00:16:07 understood it yes that's the way you understood it

00:16:12 now i think is it right you were asked by paul evans and paul reed to ask the bre to remove the final image in the test report that's correct yes now let's just look

00:16:23 that's correct yes now let's just look at the draft you were looking at at this meeting

00:16:25 meeting because i have been showing you the final version because in that respect it didn't change and indeed it doesn't but let's look at

00:16:34 cel401352 this is a draft or the draft of this report dated the 2nd of june 2014. we

00:16:42 2014. we glanced at it earlier for the purposes of the chronology we went through before the break

00:16:47 the break and this is dated the 2nd of june 2014. and if we go to um page

00:16:55 if we go to the last page it's page 33 there are two pages i want to show you

00:17:06 there are two pages i want to show you page 33

00:17:09 page 33 that's figure 16. we'll come back to that later if we go to page 35 this is figure 18

00:17:23 and just to be clear for your benefit and for the chairman this became figure 19

00:17:27 19 in the final first of august version of the full report so there's no secrets here this photograph remained in the final version this is figure 18 and

00:17:38 this is figure 18 and in this report it's the final photograph um this is a picture of the rig being dismantled isn't it it is yes and i think you can see clearly there on the right hand side a layer of white

00:17:49 on the right hand side a layer of white material on top of the insulation just above the level two thermocouples is that right correct yeah and just i mean you don't have a pointer but for those looking at this document perhaps for the first time

00:18:01 perhaps for the first time that's the white rectangle above the charred material on the right of the rig is that right yes yes and then there's also white material running

00:18:13 also white material running along the top of the rig horizontally from right to left and then from right to left on the return is that also the six millimeter magnesium oxide yes so both of those are showing the the

00:18:24 yes so both of those are showing the the white

00:18:24 white six millimeter magnesium oxide correct yes and those would have sat uh behind the orange eight millimeter marley alternate natura boards right

00:18:37 now if we compare that and i think if you've answered this but it's useful to do it if you go back to page 33 for comparison purposes and look at

00:18:45 at figure 17

00:18:51 uh or 16 as one i was on a moment ago we can look at 17 if you like but 16 will do just as well we can see that there while the rig is still burning post test or smoldering perhaps

00:19:02 post test or smoldering perhaps you can see the orange strips and those are the mali that turn it eight millimeter panels aren't they yes

00:19:09 they yes so that's where they were

00:19:14 now is that the image that you say in your statement of paragraph 7.16 that paul evans and paul reed asked you to ask the bre

00:19:25 and paul reed asked you to ask the bre to remove

00:19:27 to remove um this image here yes so i'm so sorry can we go back to 18 on page 35 this image yes it was and did they ask you to remove

00:19:41 it was and did they ask you to remove that because it would have drawn attention to the construction of the rig and specifically the thickness of the cladding

00:19:46 cladding and the presence of the eight the eight millimeter cladding and the six millimeter manganese magnesium oxide yes yes now if we look at the bottom of figure 18

00:19:57 18 on page 35 you can see there's a little speech bubble and a one yes which looks like a sticky which refers to a footnote if you turn the page

00:20:04 page to page 36 please you can see there there's a

00:20:07 there's a there is a note and it's note number one author j and then a long number subject sticky note date first of july 2014 and there's the note can we change this

00:20:18 and there's the note can we change this image to the one i've attached with this email to show a close-up of horizontal fire barrier and the insulation below and above the brake

00:20:30 and the email itself it is at cel401350

00:20:44 and here's the email to uh phil clark it's uh at the bottom of page one

00:20:51 one and over to the top of page two it's the one i showed you earlier just before the break this afternoon and in the second paragraph you say as previously discussed

00:21:04 you say as previously discussed could you also replace figure 18 with the attached photographs as we want to show a close-up of the condition of our insulation below and above the fire break with the intumescent fired off if you feel you also have a suitable

00:21:15 if you feel you also have a suitable photograph then please include uh now the photographs that you attached i don't think there's any need to go to them but they they didn't show the magnesium oxide did they no

00:21:27 they no and the reason you're giving mr clark here is that you wanted to show a close-up of the insulation above and below the fire break was that the real reason no what was the real reason to um withdraw any reference to the

00:21:40 to um withdraw any reference to the magnesium oxide board why did you need to give mr clark a false reason when in fact as you say he knew the real reason um

00:21:51 knew the real reason um because i was instructed to by whom by paul and paul you were instructed to give him a false reason yes

00:22:02 reason yes even though you knew and is this right mr evans also knew that mr clark knew the real reason hence um the final report that came back still included that photo

00:22:15 still included that photo it did do i detect from what you're saying that you were instructed by mr evans to create a false record of the reasons why you wanted the change

00:22:26 reasons why you wanted the change yes i don't want to put words in your mouth because it's a serious point but what other explanation can you sitting there give as to why you would give mr clark a false reason i had to come up with a reason to

00:22:39 asks for that photograph to be admitted is it possible despite what you've told us and i have to put this to you that mr clark had no idea uh uh uh that you wanted to emit the

00:22:51 uh uh uh that you wanted to emit the eight

00:22:51 eight the reference to the six millimeter magnesium oxide not oxide and the eight millimeter marley alternate boards uh and the he might and he might have thought that this was a genuine reason

00:23:03 thought that this was a genuine reason no i don't believe so and i believe that's why this figure 18 subsequently wasn't omitted from that test report and was was included in the

00:23:14 test report and was was included in the in the final report

00:23:19 so you were asking the bre to remove in asking them to remove that picture the only element of the report which should show the presence of the additional material yes that was

00:23:31 yes that was a deliberate attempt i would suggest to create a misleading test report yes except that i do yes and you say you're in no doubt that mr evans knew that is that right that's correct and what about mr clark

00:23:44 that's correct and what about mr clark mr clark um

00:23:48 i think knew that that was a deliberate attempt to remove that photograph and remove any reference to the magnesium oxide

00:23:59 now let's look at paragraph 7.16 of your statement

00:24:10 you are there giving your recollection of a meeting that was taking place with paul evans

00:24:21 paul evans on the 19th of june 2014 after the nhbc had had left about this report and you say that

00:24:32 about this report and you say that the reason we considered omitting the image of the cladding from the test report to be a medium risk it was because the chances of anyone looking at the full test report were low i was asked by paul evans and paul reed

00:24:43 i was asked by paul evans and paul reed to request the bre to remove the final image from the test report as it would have drawn attention to the construction of the rig specifically the type and depth of panel used had anyone seen the photograph and compared it with others in the report

00:24:55 compared it with others in the report and then you go on to say this there was some risk in asking for the deletion that it might prompt questions however although i did a email the bre had asked them to replace the photograph with another one and we've seen that the bre did not do

00:25:07 and we've seen that the bre did not do so in the version of the report which came back to the business i discussed this with paul evans and rob warren and it was decided not to press the point

00:25:14 the point for fear of drawing further undue attention to it under your attention from whom from the bre but if phil clark knew all about

00:25:26 the bre but if phil clark knew all about it why would any attention from him be undue

00:25:32 um

00:25:36 i think sorry can you rephrase that question yes if phil clark was in on it as it were he knew very well that you didn't want to refer

00:25:44 refer or any reference at all in the test report to the six millimeters of magnesium oxide or the eight millimeters of mali eternity natura at the two locations and you knew you didn't want that what

00:25:55 and you knew you didn't want that what would be the problem of with pressing the point um that he changed his mind and included in the description right

00:26:06 included in the description right i see

00:26:13 i see if we then turn back to the final report as issued on the 1st of august at

00:26:22 cel401109 look at page 29 we can see what has now become figure 19 which is the same photograph as before slightly better version of it

00:26:34 slightly better version of it actually at least on this draft so we can take it that the photograph which was figure 18 that you wanted out as you told mr clark on the 1st of july

00:26:46 as you told mr clark on the 1st of july remained in the final report yes and as you've told us in your statement that was a risk you were prepared to live with

00:26:54 live with yes

00:27:00 and if we look back at paragraph 7.14 of your statement which we've looked at a moment ago with the chairman discussion about how often potential

00:27:12 discussion about how often potential customers ask for the full test report and the conclusions that this never happened

00:27:18 happened was the risk that the business was prepared to run that customers would buy rs 5000 uh without asking for the full test report

00:27:29 report i think there was um

00:27:33 a general view within the business that

00:27:37 it would be um only unlimited occasions where

00:27:41 where somebody would ask for a full test report um as i said previously i i don't think that celetex would have issued that test report as they

00:27:53 report as they didn't issue any test reports to my knowledge

00:27:59 so it was the real risk the business was to run

00:28:02 to run not not a risk to the customer but a risk to celetex that if somebody asked for the full test report and spotted from figure 19 that actually there was an undescribed material lying on the test rig they would ask

00:28:14 lying on the test rig they would ask start asking difficult questions yes and that was a risk that celetex was prepared to run wasn't it yes yes can we then go to the classification report cel402133

00:28:33 now this is the 12-page classification report itself now we've been through the mini chronology with this document this had an earlier issue date of the fourth of august with issue one and the issue two was a

00:28:45 issue two was a the subject of minor corrections and was issued on the 11th of august as we can see

00:28:53 excuse me if we look at page two of that document start with page two

00:29:03 it contains a warning

00:29:06 and it says this report is made on behalf of bre global and may only be distributed in its entirety without amendment and with attribution to bre global limited to the extent permitted by the terms and

00:29:17 to the extent permitted by the terms and conditions of the contract and it then goes on and contains various diagrams

00:29:23 diagrams showing the tested system and do you accept

00:29:27 accept and i can show you the whole of the document if you like that there is no diagram which shows the presence of the six millimeters of magnesium oxide that's right that's right for example perhaps we can show people

00:29:39 for example perhaps we can show people who are looking in on this uh page six and page seven let's have page six figure one if we can blow that up here is the diagram system has tested and there's there's uh well that's not if we can get

00:29:52 there's uh well that's not if we can get that bigger on the screen so that people can see the um the diagram and particularly the bottom left-hand corner

00:30:03 you can show right it may not be possible to do this but you're familiar with this document and you can take it from me and agree with me that there's no reference in there at all to the six millimeters of magnesium oxide

00:30:15 the six millimeters of magnesium oxide that's right nor indeed to the eight millimeter panels at the second level thermocouple or the top of the rig no no and we may be able to do better on page seven figure two if we can't um

00:30:28 figure two if we can't um we can't um construction of the system showing the key layers of the cladding system we can do better there in fact again we can see that the aluminium continuous rail the lay profile rivet 12 millimeters of malia turn it natural

00:30:39 millimeters of malia turn it natural panel

00:30:40 panel and 100 millimeters of celotex rs-5000 no reference to the magnesium oxide board of of six millimeters and no reference to the eight millimeters of um of malia

00:30:51 millimeters of um of malia eternity at the level two thermocouples or the top of the rig that's right

00:30:58 so if what if you take the test report and the classification report and ask yourself what what did the rig comprise they would be consistent but equally consistently omitting

00:31:09 but equally consistently omitting reference to both of those items yes thank you

00:31:19 now can i ask you to go to page 11 in this document

00:31:27 this is section 4 at the bottom of the page

00:31:31 page uh uh uh and it says under 4.3 observations mechanical performance and then in the second paragraph it says the cladding system exhibited localized combustion after the heat source was

00:31:42 combustion after the heat source was extinguished at 30 minutes this continued until it was manually extinguished at the conclusion of the test period at 60 minutes now i'd like if we can do this to keep

00:31:53 now i'd like if we can do this to keep that on the screen there and then pull up what i showed you earlier but didn't ask you a question about

00:31:58 about from the full test report ceo401109 at page nine paragraph 5.1 because i want to compare the two

00:32:12 that's very helpful um if you can see on the right hand side i showed you this before 5.1 external layer in the second sentence it says it was it

00:32:23 in the second sentence it says it was it was noted that the insulation layer continued to burn past the 30 minute with the flaming extinguished at 60 minutes but in the on the left hand side it says

00:32:34 but in the on the left hand side it says the cladding system exhibited localized combustion after the heat source was extinguished at 30 minutes this continued until it was manually extinguished at the conclusion of the test period at 60 minutes now unlike 5.1 on the right-hand side

00:32:47 now unlike 5.1 on the right-hand side the classification report doesn't refer to the insulation supporting combustion does it no do you know why that is no that's the first time that's ever been brought to my attention is that right

00:32:58 my attention is that right yes okay uh now um we can put those away and go to your statement again page 17.

00:33:10 to your statement again page 17. and look at paragraph 17.13 please this again and i'm sorry to keep coming back to this um meeting but this was again the meeting of the 19th of june 2014 in your hadley office uh and um

00:33:23 in your hadley office uh and um you say here there was a short break in the meeting and that was the meeting with nhbc

00:33:27 with nhbc whilst i went to print off the draft test report received earlier that morning

00:33:31 morning but just to be clear that's that's the first draft of the test report uh the second of june uh and brought it back to paul evans office paul evans paul reed and i looked at it together and noted that it did not refer to the

00:33:42 and noted that it did not refer to the magnesium oxide board in the list of components my perception was that the board had a clear view as to how they wanted to market the products even before the test report was available now i've shown you that before

00:33:55 and if you go over the page to page 18 and look at paragraph 17.17 7.17 at the bottom of the page you say i did not escalate my concerns about the

00:34:06 did not escalate my concerns about the test report beyond the discussion which i had with paul evans and paul reed on the 19th of june as described above my understanding at the time was that the decision not to refer to the magnesium oxide board had been taken by

00:34:17 magnesium oxide board had been taken by the board and i was following instructions did somebody tell you that the board had taken that view or that decision um no i think that was that was my view

00:34:29 no i think that was that was my view after what paul had discussed with me after the management action group meeting on the 14th um 14th of may

00:34:40 14th um 14th of may right the month month before i see and did that include a view or your understanding that the board had decided to conceal the full details of the design of the

00:34:51 the full details of the design of the rig

00:34:51 rig for the second test in may 2014 from the test report and indeed the classification report no because i don't believe it at the time of the

00:35:00 of the management action group the test report wasn't i don't think anybody had seen a draft

00:35:06 draft report of the of the test report right

00:35:12 now we move forward then to ceo 409742 please we can see that the final version of both the test report and the classification report was sent to you on

00:35:23 classification report was sent to you on the 5th of august 2014 and if we go to page 2 of that email run we ought to see that

00:35:38 uh and i've given you a wrong reference it's cel409724 please 9724

00:35:49 and if you go to page two there you can see

00:35:55 if we go to page two yes thank you we can see that on the 5th of august 2014 debbie kent of bre sends you the test report and the classification report in

00:36:06 report in in their full form copy to stephen howard and tony baker at the bre and if we scroll up to the bottom of page one

00:36:15 we can see that you you forward those reports to paul evans on the 11th of august 2014 and you ask him a question can we discuss what we want to use as proof

00:36:27 discuss what we want to use as proof that we have passed br 135 please why did you ask him that question

00:36:33 question because those discussions had taken place

00:36:37 place since the successful result at the at the second test

00:36:43 as i said initially all of the concerns were

00:36:47 were firstly how do we pass the test and then how do we market that and what what do we use as as proof

00:36:56 and i think at the time i probably didn't understand that you got a separate

00:37:01 separate classification report to accompany the the full bs8414 test report so um i was asking him

00:37:12 um i was asking him as it as it states what did he want the business to use as as proof i follow so just to be clear you weren't asking you were asking him which of those two documents you should use yes as opposed

00:37:23 documents you should use yes as opposed to should we use these documents and if not these documents what else yes so it's the former of those is it it is yes which of these two documents i should use yes i see now he responds to your question

00:37:37 now he responds to your question higher up page one with an email if we just flick up to that please of the same day do we have any understanding of what kingspan do

00:37:48 understanding of what kingspan do did you have a discussion with him about that question um i would suggest i did yes i would suggest you did you recall having such a good discussion

00:38:00 having such a good discussion i don't recall no right do you answer him did you answer his question

00:38:08 question um i would yeah i would imagine that was a

00:38:11 a face-to-face conversation that took place right did you come to a conclusion between you as to what you should in fact use for the purposes of showing potential customers that you

00:38:23 of showing potential customers that you had passed a br 135 test yes and what was that

00:38:30 the message was that there was some reluctance to issue customers with any reports and that an abridged version of the br135 report

00:38:43 an abridged version of the br135 report should be

00:38:44 should be should be cut down for for use if pushed by a customer i see a cut down version of the or on the bridge version of the bl-135

00:38:56 or on the bridge version of the bl-135 report so that's the classification report is it the short yeah the shorter the 12-page one not the 35-page one yeah yes right now

00:39:07 did did you understand at that point that

00:39:11 that he by answering your question and you answering it in his question in turn we're both agreeing to follow kingspan's approach and to give the customer any customer as

00:39:22 and to give the customer any customer as little information as you could possibly get away with i knew that was going to be their approach yes who's celetexes right following kingspan yes right now look at cell40208 please

00:39:43 yes right now look at cell40208 please this is an email uh which we looked at before

00:39:47 before um and we looked at the one at the foot of page one i now want to show you the email at the top of page one this is from you

00:39:55 from you to lizzie seaton on the 14th of august 2014

00:40:00 2014 and you say hi can you give me a call about this tomorrow morning please thanks john roper

00:40:07 why did you do um that was because it'd been agreed that there would be an abridged version created and lizzie was a

00:40:18 created and lizzie was a um well far more proficient in cutting down a pdf than than i was

00:40:28 right so the the conversation you wanted to have with her was about abridging the the classification report correct and she called you uh i believe so yes

00:40:39 she called you uh i believe so yes uh we can see i think the results of of that at cel40 is 9725 please

00:40:52 that at cel40 is 9725 please this is an email from her on the 15th of august the next day hi jonathan as requested by john please find attach the classification report for rs 5000.

00:41:03 report for rs 5000. now this is an email to jonathan room i think

00:41:07 think but we can see that it is copied to you are you the john in her message i think so yes right now we know that she sends jonathan room a an abridged

00:41:21 jonathan room a an abridged version of the classification report that ran to four pages uh and we'll look at that in a moment uh was that what you'd asked her to do yes let's look at it ceo4030 is 11965.

00:41:34 yes let's look at it ceo4030 is 11965. please three zeros one one nine six five this is the um the the document that was attached to that email and i just want to flick through it with

00:41:45 and i just want to flick through it with you you can see the first page which is identical to the classification report in its second version you'll remember there was a small amendment between the 4th of august issue 1 and the 11th of august issue 2.

00:41:55 issue 2. that's the first page and then we look at the next page um we can see that

00:42:06 um we can see that you have introduction details of classified product running to paragraph 2.2.2 and then the next page page 3 in this run

00:42:16 run jump straight to section four test reports in support of classification and then the next page on

00:42:27 is the signature page

00:42:33 do you know how this was actually produced this document

00:42:38 in terms of software or in terms of software or hardware how did lizzie seton actually go about producing this four-page abridged version of the 12-page full version of the classification report i believe it was

00:42:49 classification report i believe it was just with a pdf editor or right did you ever see an original version of this of the full page yes um

00:43:04 of the full page yes um as a hard copy as a hard copy no

00:43:09 did you ever try hard to decipher what was it the header and the footer of each of these pages which has been obscured by the process of its pred its creation no

00:43:23 if you look at the very foot of page three

00:43:27 you can just about make out on the right hand side

00:43:31 hand side at the foot of the page on the right it says

00:43:35 says page 11 of something could be 12. yes clearly the third page of this document was the was the was the 11th page of the original

00:43:46 original so it looks it looks to the naked eye as best we can we can observe without the original here uh

00:43:54 uh that what she had done was either make a pdf

00:43:57 pdf of this document or else or else simply print it all off pull out the pages she wanted and made a make a pdf run of the relevant pages yes do you think that's what she did yeah how did she know which pages

00:44:09 yeah how did she know which pages to um pull out from the 12-page version and

00:44:13 and compile into the four-page version yeah that was a conversation that i had with paul

00:44:17 paul and i'm not too sure why those four pages were chosen and what was overly sensitive around the remaining eight pages of the br 135

00:44:30 remaining eight pages of the br 135 report

00:44:31 report right

00:44:34 do you accept that this four-page version

00:44:41 doesn't even identify the eternity panel used as the rain screen whether it's eight millimeters or twelve millimeters because it cuts off at the foot of page two

00:44:53 two no i didn't realize that no uh well we can go through it it's quite straightforward to do that if we start with page one we have the front page let's just do that page two

00:45:05 let's just do that page two uh shows you the list of the description of the product and you do have 12 millimeters magnesium oxide sheathing board there and the 12 millimeters malia turn it natural panel there

00:45:17 well then if you go down to the cladding system

00:45:20 system where the details are set out you don't actually even get the actual identification of the of the of the panels you do in the list i accept in the bullet point list but you don't under the details of the

00:45:31 but you don't under the details of the cladding system in fact it jumps straight to section 4 and has no section 3 at all

00:45:38 did you notice when you received this abridged version that it had this yawning gap in it um no as far as i was concerned i knew that

00:45:49 no as far as i was concerned i knew that the um

00:45:53 the um images of the construction were not present either um the diagrams of the

00:46:00 of the construction right it also excludes the disclaimer on page one of the full report that i read to you that the report can only be distributed in its entirety without amendment

00:46:11 in its entirety without amendment with the bre aware that you have created this document no i don't believe that right

00:46:17 what would be the point of this filleted version as opposed to the 12 page version what was it in the 12 page version that you wanted to bridged out yeah i don't know

00:46:28 out yeah i don't know what was so commercially sensitive or confidential about that 12-page report because from my knowledge the only contentious issue ie that photograph that we discussed earlier

00:46:40 photograph that we discussed earlier wasn't included in the br135 classification what i would say is that um the majority of the test reports that celestex had in the

00:46:51 reports that celestex had in the business at the time were amended in one way or another

00:46:57 i can i can only refer to this being one of them classo reports had black felt tip going through certain sections of

00:47:08 going through certain sections of reports that were issued as well so um this was an uncommon practice for them but i don't think you could answer my question as to the rationale for

00:47:19 for omitting the pages from the 12 page version that are not included in the four page version yeah i don't know the rationale behind that did you intend that jonathan room should send this filleted version of the class

00:47:31 send this filleted version of the class classification report to his customers if they asked for one i think that was the

00:47:35 the um point of the abridged report that would be the first report that would go to to customers should they should they push for those did you send it to the rest of the sales team for them to send to customers or

00:47:47 team for them to send to customers or just a jonathan room i don't know i don't know right now did you know that jonathan room sent this on to harley on the grenfell tower project on the 27th of august i do though i do know that yes did you

00:47:58 i do though i do know that yes did you know that at the time no you didn't did you know at the time that he was deploying it with his customers as early as the end of august 2014 now

00:48:24 now in fact it's right isn't it that in late august and after late august 2014 some customers were specifically asking

00:48:33 asking for the test report for rs 5000 yes and that so that that came pretty quickly after the launch earlier in august didn't it

00:48:39 didn't it yes yeah and uh if we look at uh pay at ceo three zeros one zero eight zero five

00:48:52 this is uh an email at the very foot of the page

00:48:57 the page from anthony harris to jonathan rhuman to you

00:49:02 to you good afternoon guys as per the email from robbie taylor below we are trying to secure a 6 000 square meter rs 5000 for a large vinci construction project in stratford

00:49:13 vinci construction project in stratford the engineers need the full test report as the bre global test report 295 255 issue 2. you sent me as some pages missing

00:49:20 missing it jumps from points 2.2.2 to 4 and within this is the information the engineers want to see and you go back to him uh the same day and say anthony please

00:49:32 uh the same day and say anthony please find attach the full version of br 135 classification report i've also attached the thermocouple data from test report 295 255. as discussed there is a full 45 page version of test report

00:49:43 version of test report 295 255 for the salient information is replicated in the br 135 classification

00:49:55 did you mean test report 295 369 of the 2nd of august 2014. the full version of which is sorry first of august the full version of which is

00:50:07 of august the full version of which is 33 pages

00:50:08 33 pages is that what you were referring to yes i believe so right in fact it's not correct is it that the salient information was replicated in the br 135 classification report was it

00:50:19 classification report was it uh no even the 12-page version no and certainly didn't whether in its filleted version that mr harris had received

00:50:28 received or the full 12-page version have included the photograph which was the only thing from which it was possible to tell that there was six millimeters magnesium oxide present that's correct and and

00:50:40 that's correct and and orange panels yes can we go to cel402131 please this is the story in october 2014

00:50:53 this is the story in october 2014 and uh here we see uh on the 17th of october at the foot of the page

00:51:00 the page stephen howard of the bre writing to debbie berger and you classification report from the for the cladding that he says we had a conversation a while ago regarding the content of the classification reports and the level of

00:51:12 classification reports and the level of technical detail they contained we need to put a lot of info in but you don't want your competitors to see it we have come up with a way of doing it do you recall that conversation i don't know do you remember what he was

00:51:25 i don't know do you remember what he was referring to by we have come up with a way of doing it no i don't

00:51:32 right if we look at the top email from debbie burger on the 20th of october she responds and says hi i'm going to set up a meeting with steve howard

00:51:42 howard early next week and when i say she responds it's a it's an internal actually to you and paul evans and jonathan room i'm going to set up a meeting with stephen steve howard early next week to

00:51:53 stephen steve howard early next week to talk about how to detail our bre rs 5000 fire report so as it gives us the relevant commercial info without the sensitive stuff he's got some ideas that could help us would you like to come to this meeting i

00:52:04 would you like to come to this meeting i would value your input if if so will you give me access to your diary so i can schedule a meeting do you know what she was talking about when she referred to the sensitive stuff um yes i think she was referring

00:52:20 um yes i think she was referring to the photograph that was that was contained right

00:52:28 did to your knowledge did debbie berger know all about the presence of six millimeters magnesium oxide behind the eight millimeters marley alternate nature aboard in the test rig

00:52:40 alternate nature aboard in the test rig i can't say for sure right if she knew about the photograph do you refer to the photograph at figure 19 in the final report or figure 18 in the draft that you saw the one we

00:52:51 in the draft that you saw the one we looked at before which shows the white panel repeat the question yes

00:52:58 when i asked you a moment ago about the sensitive stuff you said i think she was referring to the photograph yes that was contained is that the photograph that was figure 18 in the draft report and which

00:53:09 figure 18 in the draft report and which became figure 19. yes the one that you and paul evans and paul reed wanted to have removed correct right do you know why she thought that was sensitive

00:53:20 thought that was sensitive um because

00:53:24 of the fact that it was six mil magnesium oxide that wasn't referred to in

00:53:28 in any of the literature or the test description itself does that tell us that she knew at least this much

00:53:36 this much that the test had included a six millimeter magnesium oxide board behind eight millimeters of malia to eternity and

00:53:47 malia to eternity and that was to use her was a sensitive subject yes

00:53:54 yes do you know whether there was a meeting which then took place with steve howard i don't know don't know did you go to one i don't believe so right now i want to go

00:54:07 right now i want to go now at last to visit the meeting i say at last i don't mean that's the last topic but i say it last because we've dipped in and out of the subject in your statement

00:54:16 statement with a meeting with the nhbc on the 19th of june 2014 which i think you've covered extensively in your witness statement at section seven

00:54:25 seven and we've already seen quite a bit of that already because we've dipped into it

00:54:28 it now that meeting followed your message to graham perry or and dave white of the nhbc on the 15th of may and you've referred to that in your statement of paragraph 7.1 and i don't need to show you that

00:54:40 and i don't need to show you that necessarily unless you want to see it but

00:54:42 but did you tell them during that message that celetex passed a bs 8414 part 2 test i think you did yes yeah and you did you say that the purpose of the meeting was to discuss the above 18 meter project

00:54:55 to discuss the above 18 meter project and also some concerns that nhbc had raised about the quality of another celetex

00:54:59 celetex product is that right yes what was the product

00:55:03 product the the other product um from memory i believe it was uh product for cavity wall insulation right

00:55:13 right yeah some relations they're not an above not an above 80 meter no no now to set the scene as i think we now

00:55:19 now know you had received the draft bre report

00:55:23 report version one dated the second of june half an hour before that meeting began you got it at 10 30. we can see that we've seen that from the emails yes and you say you'd only skim read it

00:55:34 and you say you'd only skim read it before going into the meeting yes do i take it from that you didn't give them the draft report at the meeting no

00:55:44 now if we go to your statement at page 16

00:55:47 16 we can dip into a bit more of your evidence about that meeting at paragraph 7.4

00:55:53 7.4 you you say no mention was made in the meeting with the nhbc of the test celetex had commissioned in february 2014

00:56:00 2014 nor that a magnesium oxide board had been used to reinforce the fire barriers in the test conducted in may after graham and dave from the nhbc had left

00:56:08 left paul reed and i reflected on the fact that the nhbc did not seem particularly impressed

00:56:13 impressed and david not been friendly the reason they were not impressed was that they thought the test had been over engineered by using a 12 millimeter cladding panel in large format

00:56:24 what did you tell graham and dave about the bs-8414 test um what i was told to tell them was that we've used a 12

00:56:37 tell them was that we've used a 12 millimeter range screen tested to bs 8414 part two

00:56:45 and made no reference to the fact that there was a first test or the fact that the second test consisted of um eight million six ml magnesium oxide at certain levels

00:56:56 at certain levels did you show them any documents uh relating to the build-up i don't believe so i think there was a presentation now you say that the reason they weren't impressed was that they thought that the

00:57:08 impressed was that they thought that the system had been deliberately over engineered yes i say deliberately over-engineered um over-engineered did they think that that was deliberate yes right did they actually voice that

00:57:21 yes right did they actually voice that concern

00:57:22 concern yes they did right did they explain why they thought that was a problem uh they thought it was unreflective of a typical typical planning system

00:57:35 a typical typical planning system right did you think yourself that that was a fair criticism yes now following their departure we know that you then

00:57:46 their departure we know that you then had a meeting immediately afterwards in paul evans office i think because you've gone to say that yes that's right and is it right that during that meeting notes were made on a whiteboard correct and i think we have a photograph of that

00:57:58 and i think we have a photograph of that whiteboard taken by paul evans if we go to cel402517

00:58:06 this is a photograph

00:58:10 which he says he took on his telephone that's right can you confirm that yes and if we look at the whiteboard contents the top line headings in the chart that he created

00:58:23 headings in the chart that he created our nhbc concerned stroke challenge and then a ranking cx that celetex response action required and risk

00:58:33 and risk was he the person who put all those um columns and words up on the whiteboard or was or was it you know it was paul for the majority other than point six

00:58:42 point six i see slightly different handwriting in point six is whose is that that's mine right

00:58:48 right now looking at item six under under column nhbc concerned stroke challenge is calcium silicate at level two is that a reference to the magnesium the

00:58:59 is that a reference to the magnesium the magnesium oxide layer yes right why did you put calcium silicate um

00:59:04 um that the terms were used interchangeably in terms of yeah calcium silicon magnesium oxide though now clearly you hadn't mentioned the presence of magnesium oxide to the nhbc at the meeting

00:59:15 at the meeting and was that for the same reasons that we've gone through today yes and could you just articulate those in a sentence um that the message from the 14th of

00:59:26 that the message from the 14th of may as i've said was no reference to magnesium oxide from that point um so i had to stand up in front of two individuals

00:59:38 stand up in front of two individuals from the nhbc and lie essentially right

00:59:44 and this whiteboard the description um and the responses and the notes that are surrounded um and and detailed on that whiteboard the

00:59:57 and and detailed on that whiteboard the first five are concerns at the nhbc raised at the meeting

01:00:02 meeting [Music]

01:00:04 [Music] and they had obviously a number of concerns as you can see and my comment to paul in the presence of paul reed was they're not happy with how the test has been engineered and we're not

01:00:16 been engineered and we're not we haven't even disclosed the real test to them

01:00:19 to them hence the calcium silica at level two

01:00:26 under cx response confidence in fire barriers to expand i think is that is that your writing that is that you sorry is that what is that how we should read your writing

01:00:37 that how we should read your writing that's yes that's right that's what it says and

01:00:40 says and was that the justification that you would have given to the nhbc have they found out about the six millimeters of magnesium oxide or might later ask yes

01:00:52 oxide or might later ask yes who came up with that idea um uh paul and and i really i mean it was looking back at it now it's it's a crap

01:01:03 looking back at it now it's it's a crap crap response it's it's an excuse to

01:01:09 try and hide the fact that there was calcium silica there in the first place so you were quite content you and paul evans and paul reed to mislead

01:01:20 evans and paul reed to mislead the nhbc about this i wasn't content no well not content in your heart but um content as a group that's that's the nhpc approval

01:01:34 that's that's the nhpc approval was they perceived as critical to the success of that product

01:01:40 yes so you were prepared to stand up and lie as it were to the nhpc in order to get their approval which was critical to its success yes yes yes

01:01:51 yes yes yes okay and then under action required it says remove last image of test report was that a reference to the the photograph on page 35 figure 18 as it

01:02:04 photograph on page 35 figure 18 as it then was

01:02:04 then was that's right yes we know we know then the story about that and looking at risk median on the right hand side did you you wrote that in i think

01:02:14 think and you say because that was because the chances of anyone looking at the full test report were low yes we've seen your report so it was a medium risk based entirely upon the

01:02:26 based entirely upon the betting on no one asking in essence correct yes

01:02:35 now if we move on to cel 403180 please

01:02:44 i just want to ask you some questions about plans we may be able to take this quite quickly this is an email um from you to luke creswell and graham smith at simcoe

01:02:55 creswell and graham smith at simcoe on the 23rd of june 2014 and you ask you tell them that in the second paragraph following our meeting with nhbc

01:03:05 with nhbc they require our drawing annotations to be technically accurate in line with what we actually tested therefore we need file attached above etcetera to be updated with the 12 millimeter turn it panel as shown on a 12

01:03:16 turn it panel as shown on a 12 millimeter sheathing board now it's clear from that that you didn't instruct them to insert the six millimeter magnesium oxide board and the reference to the eight millimeter malia

01:03:27 reference to the eight millimeter malia natura

01:03:28 natura turn and again that's for the same reasons isn't it they didn't want the diagrams to give the game away correct yeah

01:03:40 and in fact cutting a long story short they never did produce such drawings did they they never did produce drawings which showed either of those things

01:03:47 things i don't believe so no and that was deliberate on your part not to ask them to do so because you didn't want drawings which did show those items

01:03:56 correct [Applause]

01:04:04 can i just then ask you to look at

01:04:09 an email slightly later in the story uh in july 2014 at cel 50991

01:04:18 this is an email of the 29th of july 2014

01:04:22 2014 at the bottom page one um sent by craig chambers to you at 1448 and he says john how are we

01:04:33 at 1448 and he says john how are we progressing on nhbc approval i see this is an important move on this range

01:04:39 range you see that and then you responded to him

01:04:45 at the top and let's just look at the whole email you say craig and hbc do not offer an approval as such for this application but may allow us to use a statement going forward such as accepted by nhbc

01:04:58 going forward such as accepted by nhbc subject to conditions set out in nhbc standard 6.9 due to delays at the bre we're still waiting for the official test report to be signed off this should be with us by tomorrow once received we can

01:05:09 with us by tomorrow once received we can then go back to the nhpc with the test report our finalized product literature for rs and updated test drawings and alleviate any initial concerns they had i've been in contact with regular updates to them and have

01:05:21 updates to them and have informed them that they can expect the report and drawings by close to play this week

01:05:25 this week the message to the sales team next week on building control will be we have achieved labc approval which account for 75

01:05:31 75 of the market and nhbc is work in progress but unlike our competitors we have been transparent from the beginning

01:05:39 beginning now the claim that celetex had been transparent from the beginning was simply not true was it no why did you write it because that was the

01:05:49 the message that i was told to relay i think that message actually came straight out of the initial explanation by paul to

01:06:02 the initial explanation by paul to suggest that any references to the six ml magnesium oxide should be should be null and void um they were happy to progress with

01:06:13 they were happy to progress with trying to use transparency as a competitive advantage albeit had been completely the opposite right well that answers my question uh

01:06:24 right well that answers my question uh which i was going to ask you next um can we then go to ceo50s

01:06:37 which is an email from you of the 30th of july

01:06:43 where you send to dave white and graeme perry

01:06:47 perry of the nhbc your final bre test report now at this stage i don't think you've actually received the final version

01:06:58 actually received the final version because the final version only came in the first few days of august didn't it but you say i'm in now in a position to issue you our final br 135 classification along with the updated construction drawings

01:07:09 updated construction drawings and product literature for celetex rs 5000 please find these attached

01:07:17 and then you go on to say

01:07:20 uh we are due to launch this new solution to our sales team next tuesday

01:07:27 and then in the last paragraph in the last sentence you say i apologize for the delay in getting the revised test report over to you detailing exactly what was tested but due to holidays that the bre time scales were pushed back slightly

01:07:40 scales were pushed back slightly now your reference there to detailing exactly what was tested that's not correct is it you weren't showing them a revised test report showing

01:07:48 showing exactly what was tested no in fact what you sent them

01:07:54 was lacking wasn't it because it didn't have the additional material it was yes

01:08:04 and what you sent them in was the or included the revised drawings we've just been looking at and i don't need to go back to those because they're difficult to read on the screen but we know that those drawings did not

01:08:14 did not include reference to the six millimeters of magnesium oxide or the eight millimeters of malia turning natura did they that's

01:08:22 correct so in sending what you were sending uh to the nhbc at this stage uh you were taking a chance weren't you

01:08:35 uh you were taking a chance weren't you that they might spot something amiss from the photograph of figure 18.

01:08:41 um yes i guess so yes well to be fair to you i'm just wondering whether that's right because you're sending them the classification which i think doesn't have the photograph in it no

01:08:52 photograph in it no so but not the test report um so in the last sentence perhaps you can help me when you say i apologize for the delay in getting the revised test report over to you were you referring to the test report or

01:09:04 were you referring to the test report or were you referring simply to the classification report i think that's the classification right i see in fact therefore my question wasn't correct there was no chance that they would spot something in this because they wouldn't

01:09:15 something in this because they wouldn't see the photograph no and does that does that did you ever send the nhpc the full classification report including figure 19 with that photograph um

01:09:26 figure 19 with that photograph um i don't believe i did no right

01:09:31 and do we take it from that but you were very alive to the risks that if you did say they would certainly spot what would be very likely to spot the presence of something a white panel and ask

01:09:42 something a white panel and ask questions about it yes and i want to turn to a different topic altogether which is the marketing of the rs 5000 and this is one question that's slightly

01:09:53 that's slightly troubling me which i didn't want to interrupt your flow to ask but i'd quite like to get some help on it um and it concerns what prompted mr clark

01:10:05 clark to issue the bre's first version report not making any reference to the magnesium oxide board or the eight

01:10:16 the magnesium oxide board or the eight millimeter mali eternity and really what i would like your help mr referees did you have any conversation

01:10:27 conversation yourself with mr clark which either expressly or by way of what one might call a nod and a weak indicate him that celetex did not want

01:10:38 indicate him that celetex did not want any reference made to those parts of the rig

01:10:41 rig in any report no because i don't believe at the time that um i think regardless of whether that test report came across with the correct description as i was

01:10:53 with the correct description as i was fully expecting it to um i think they would have just attempted to conceal that test report from the market altogether um i think when it came across emitting

01:11:07 i think when it came across emitting the magnesium oxide and the eight mil marlia turn it from the description the focus was then can we remove this see once you've got that report but what i'm the interested knows whether

01:11:19 what i'm the interested knows whether you did anything or said anything to mr clark in the course of the various conversations you had with him to lead him to think that celetex did not want

01:11:31 celetex did not want any reference made to those parts of the test no i think the the only thing that

01:11:38 that perhaps i implied was i i did once he'd commented on the fact that six mil magnesium oxide perhaps wouldn't have made a difference to the result

01:11:49 have made a difference to the result i think looking back at it now the only um time that i sort of asked him to re-emphasize that was when jamie came to the the test rig but

01:12:01 jamie came to the the test rig but no i i didn't i didn't try and manipulate him to emit a description of a test right so as far as you're aware he did it of his

01:12:12 as far as you're aware he did it of his own initiative did he he did yes all right thank you very much

01:12:19 do you want to follow that up at all mr minute uh

01:12:27 no mr chairman that that is consistent with what with the answers that i got earlier i think on the near enough the same topic um right thank you well i just wanted to

01:12:38 um right thank you well i just wanted to clarify yes no thank you mr raper can i just go back on something because i may inadvertently have led you down a a blind alley and i apologize if i if i have um can i ask you to go

01:12:50 if i have um can i ask you to go keep an eye on this email where you say in it i'm in a position to issue our final br 135 classification and product literature and then you refer to the revised test

01:13:02 and then you refer to the revised test report

01:13:05 report in the last paragraph in fact if you go to cel 50933 i think we can see what it is you attach

01:13:16 i think we can see what it is you attach to this email we just go to that

01:13:22 that's it i'm sorry 993 i'm sorry 993

01:13:30 my my fault and you can see there that this is

01:13:35 this is the 30th of july 2014 global test report which becomes the first of august version as final so it looks as if what

01:13:48 version as final so it looks as if what you were sending him and we've had to work this out by a documentary route that isn't immediately obvious

01:13:54 obvious but i think you have to take it from me that what you were sending him was indeed the global test report okay which does include the photograph okay so to be fair to you that's actually the correct way of looking at

01:14:05 actually the correct way of looking at the record um can you do you remember sending at the nhbc this document no i don't right but i think my question

01:14:18 no i don't right but i think my question then comes back to the same question in sending the nhbc this document were you taking the risk that somebody at the nhbc might spot a strange-looking white panel in what

01:14:31 a strange-looking white panel in what became figure 19 and ask questions about it

01:14:33 it yes right was that a risk that you discussed with paul evans i think post our meeting it was clear that the nhbc had numerous

01:14:45 it was clear that the nhbc had numerous concerns

01:14:47 concerns without understanding the true system details

01:14:50 details and from paul's side and from the businesses side they saw the nhbc's approval as critical um and i can only imagine that i've sent

01:15:03 and i can only imagine that i've sent this report because that's what's been requested from either dave white or graeme perrian right and there's the risk when we saw on the whiteboard the allocation of risk

01:15:14 whiteboard the allocation of risk under item six to this problem being medium

01:15:18 medium was was it the assessment of a medium risk relating to the risk of the nhbc coming back and asking questions i think that was um a general medium

01:15:29 i think that was um a general medium risk of

01:15:30 risk of issuing that report to anybody right can we then go to the marketing of rs 5000 um if we go first please to cel 403125

01:15:44 cel 403125 um this is an email from mr evans paul evans to you on the 27th of may 2014. uh just saying just a quick note to

01:15:55 uh just saying just a quick note to request we get five mins tomorrow to discuss approach with jonathan on friday if i send this as a chance between us we won't forget is jonathan jonathan roon there

01:16:06 is jonathan jonathan roon there um no i don't believe it is i think it's jonathan of sangerban oh right jonathan who jonathan

01:16:19 cheeseman he's uh he's he's a legal representative from sangaban right i see so this has got nothing to do with marketing then is it um it has got something to do with the

01:16:30 um it has got something to do with the marketing yes i think um paul had a conversation with jonathan cheeseman at sangaban to run the literature by him right as early as may 2014

01:16:42 right as early as may 2014 i believe so yes right um if we go to well do you know what was said do you know what was said no i wasn't i wasn't present at that meeting um i've also what i do know that from

01:16:56 i've also what i do know that from that meeting that took place the disclaimer around the the onus on the is on the building control or building owner which is referenced in the marketing literature came from came from that

01:17:07 literature came from came from that meeting i believe thank you can we then move to ceo409598

01:17:14 please and this is an email from lizzie's lizzie seaton uh to uh you on the 16th of june 2014

01:17:25 uh to uh you on the 16th of june 2014 forwarding to you an email she had received from kelly slochak which says in the middle of the page there we just go back a little bit down on page one we

01:17:37 go back a little bit down on page one we can

01:17:37 can scroll down hi lizzy please see attach the first draft of the rs 5000 press release for your approval and

01:17:48 she's sending that to you for your thoughts

01:17:52 thoughts and if we look a little bit lower down to page two we can see how this begins on the 12th of june

01:17:59 of june you send lizzie seton a few salient points which should help the cfa start to put together a first draft of the press release for rs 5000

01:18:07 5000 and in the long list of bullet points there

01:18:11 there you see that you say in the fifth bullet point

01:18:14 point celetex rs 5000 also benefits from having successfully tested and approved to bs 8414 part 2 2005. meets the criteria set out in br 135 and

01:18:25 meets the criteria set out in br 135 and is therefore acceptable for use in buildings above 18 meters in height now that language do you remember where you got that from that was taken directly from kingsman's

01:18:37 that was taken directly from kingsman's literature i was wondering about that perhaps i should show you that um can you please be shown cel408510

01:18:56 and this is a kingspan document called cool therm k15 rain screen board insulation for rain screen clouding systems and then if you look at the

01:19:08 systems and then if you look at the third bullet point down it says successfully tested to bsa414 2002

01:19:15 2002 and can meet the criteria within br135 and is therefore acceptable for use above 18 meters is that where you got your wording from yes you'll note that it's dated march

01:19:26 yes you'll note that it's dated march 2011.

01:19:28 2011. so you're three years three and a half years

01:19:31 years down the track yes do you know whether that language that you've taken from that document changed between the march of 2011 and you're using it in in the june of 2014.

01:19:45 in the june of 2014. i don't believe it did right now getting back to your email if we can cel409598 please page two

01:19:56 you don't after that reference there in that bullet point don't suggest that attention should be drawn in the marketing literature to the limits of the bs8414 test do you no why is that uh because

01:20:09 do you no why is that uh because that had been discussed um that the prominent message would be

01:20:15 just just that fifth bullet point really that it's it's successfully tested and approved and as i said before i had a feeling very earned very early on in the development that the message around systems

01:20:28 the message around systems would be diluted um and that sort of became apparent during the the launch process really right so diluted does that mean

01:20:39 right so diluted does that mean that you let me try differently you can see

01:20:43 see the words and is therefore acceptable for use in buildings above 18 meters in height did you intend to give the impression to the reader of that bullet point that because celetex had passed this

01:20:55 that because celetex had passed this test

01:20:56 test it could therefore be used in buildings generally above 18 meters in height um i think that's what they wanted to convey yes yeah but but you wanted to convey with your words so your words yes

01:21:08 convey with your words so your words yes um under instruction from from that business

01:21:12 business but i understand that i understand that qualification but the answer to my question is yes yes yes

01:21:21 and and that's what you mean by dilution is it

01:21:24 is it uh yes yes and then you say in the penultimate bullet point supported by labc approval and acceptable for use on nhbc product projects in fact is it right that the labc at this stage this is mid-june 2014

01:21:38 labc at this stage this is mid-june 2014 hadn't yet issued registered details i'm not sure of the the exact dates but um

01:21:47 um that would have just been put forward to i don't know when the launch was actually planned but it would have been put forward as a optimistic um achievement right an optimistic

01:21:59 achievement right an optimistic achievement and even more optimistic was the statement that it was acceptable for use on nhbc projects correct and given the dates you hadn't even yet had your 19th of june meeting

01:22:10 even yet had your 19th of june meeting with the nhbc let alone the discussion with with them about the report had you that's right

01:22:18 now if we look at ceo409599 we can see that all of these bullet points including the two i've identified to you

01:22:27 to you were all picked up in the press release

01:22:32 ceo409599 there it is did you draft this press release um no i don't believe i did do you know who did

01:22:40 who did i think the majority of the um press releases came from an external agency right did you ever check it did you ever check

01:22:51 did you ever check it did you ever check this document i would have checked it yes alongside alongside paul right well we'll come we'll come back to it in a moment because i've got a number of points on it

01:22:59 it um but am i right in thinking that your wording you gave to lizzie seton um finds

01:23:07 um finds its home in this press release in these second and fourth paragraphs because we can see

01:23:11 can see that it says there um in the second paragraph you refer to the test and it says

01:23:17 says making it acceptable for use in buildings above 18 meters in height so again that's another way of putting the same

01:23:24 the same kingspan originating dilution of the message yes yes and then in the penultimate paragraph

01:23:30 paragraph uh you say supported by labc approval and acceptable for use on nhbc product projects so leave aside the labc approval it was simply not true that it was acceptable for use on nhbc

01:23:42 that it was acceptable for use on nhbc projects was it not at that stage no no we probably ought to be giving mr roe for a break absolutely let's do that it's probably

01:23:54 absolutely let's do that it's probably not a very convenient point but i don't suppose it'd be a better one uh there is not there is no self-evident mooring point all right in the near future i think we have a break at this point then mr rocha we'll

01:24:05 point then mr rocha we'll we'll come back at 20 to four and uh please remember not to talk to anyone about your evidence while you're out okay thank you thank you we'd like to go to the usher please

01:24:24 all right 224 then please

01:40:25 yes would you ask mr rover to come back in please

01:40:41 ready to go on this river yes yeah thank you very much yes mr millet and mr roper can i just revisit one question with you and that's your request to the bre on the 1st of july 2014

01:40:53 2014 to remove the photograph of figure 18 in the then

01:40:56 the then draft you remember the photograph figure 18.

01:40:59 18. do you remember having asked bre to remove that photograph whether they actually gave you a response i don't believe they did no you don't believe they did so you don't remember getting a reaction

01:41:10 so you don't remember getting a reaction from the bre as to why they wouldn't remove it as we know they didn't no i think the um the next correspondence was the the next draft or the the version of the

01:41:21 the the version of the the test report on the 30th of july i believe so yes right and by that stage as i think you've told us he'd already decided with mr evans not to press the point correct right and can we then go back to

01:41:34 correct right and can we then go back to the marketing literature and i've shown you the press release which uh we'll come back to um can i go to cel401213 please

01:41:46 cel401213 please this is an email from you to paul evans on the 1st of july 2014 and you attach a marketing action plan

01:41:58 and you attach a marketing action plan and you say as discussed folder j-roper under m drive has everything to do with rs

01:42:03 rs in thanks it's a bit of a cryptic message but let's look at the document uh it's at ceo401214 please

01:42:16 and we can see there that uh the front page first page is marketing action plan product cell text rs 5000 launch date 5th of august 2014. did you draft this document um i believe

01:42:27 did you draft this document um i believe i

01:42:28 i did yes did you do it with anybody or was it just you most likely with paul because by the looks of it this is the first marketing and the only marketing action plan i think i

01:42:39 plan i think i ever carried out right

01:42:44 so you think you drafted it with paul did you do the first draft or did he um i don't know i think he would have probably explained what a marketing action plan looked like and he would have probably ran

01:42:56 and he would have probably ran through the details with me initially because um it's the first time i'd have seen that right

01:43:02 right um if we look at uh objectives it's the first item on page two please the first item there is to launch

01:43:14 the first item there is to launch celetex

01:43:15 celetex rs 5000 at northern and southern regional meetings week commencing 4th august 14. then you go on to say leverage celetex

01:43:27 then you go on to say leverage celetex 5000 series and its associated performance benefits into new market opportunities and then you say present rs 5000 to celetex is primary range screen application offering to

01:43:39 range screen application offering to compete directly with kingspan k15 and rockwell duo slab

01:43:45 and then at the last bullet point leverage celetex rs-5000 to campaign celetex's focus on third-party certification just on that what does campaigning celetex's focus on

01:43:56 campaigning celetex's focus on third-party certification meaning mean what does that mean yeah so um it was the same from from when i joined the business really that they

01:44:07 joined the business really that they the only way that or one of the ways that they tried to differentiate from other insulation manufacturers was um by having third party approvals there are a lot of manufacturers in the

01:44:18 are a lot of manufacturers in the marketplace that didn't have too many third party approvals and that was one of their competitive advantages as they saw right and the third party approval would

01:44:29 right and the third party approval would be something from the labc or the nhbc or the

01:44:32 or the or bba or yes yeah right and then under under uh concept if you look a little bit lower down the page you can see that there's a proposition the first pir insulation board tested

01:44:44 the first pir insulation board tested and approved to be r135 and therefore acceptable for use in buildings above 18 meters in height and again that that's the same dilutive mantra if you like that you got from the

01:44:57 mantra if you like that you got from the kingspan data sheet and now finds its way in the marketing action plan correct with the same misleading impression correct

01:45:05 and then you see you say positioning second bullet point class naught fire performance and tested on a typical rain screen cladding system to bs841 for

01:45:17 cladding system to bs841 for that's incorrect isn't it because there was nothing typical about using 12 millimeter fiber cement board as the rain screen panel was there there was nothing no nothing typical about using the

01:45:29 about using the six ml magnesium oxide yes right okay um nothing typical about using six millimeter magnesium oxide absolutely what about nothing typical about using twelve millimeter fiber cement board as the rain screen panel

01:45:41 cement board as the rain screen panel um or was that more typical i think that was deemed as is more typical yes right [Applause] then if we can look at the marketing material itself is it right that the main pieces of marketing material

01:45:53 main pieces of marketing material were the specification guide and the rain screen cladding compliance guide there were others we'll look at those but those were the two main ones yes is that right yes and were you involved in producing the wordings for

01:46:04 involved in producing the wordings for those

01:46:05 those um i believe i was yeah we've been a we've been within a team that consisted of the the entire marketing team and um a few members of the the technical

01:46:16 um a few members of the the technical team as well right was there anybody in the

01:46:18 the marketing team that you knew who knew more about the testing and the classification of the rs 5000 and you um i wouldn't say there was anybody that

01:46:30 um i wouldn't say there was anybody that knew

01:46:31 knew more but equally there were um at least three individuals in the room that knew as much who were they uh jamie robin paul right okay you're

01:46:42 uh jamie robin paul right okay you're including them in the marketing team okay so jamie is jamie hayes correct yes um can we go to cel403179 please

01:46:59 uh this is something called a comms action plan uh for the launch date fifth of august and you can see

01:47:10 and you can see there on that there are seven sections to it

01:47:15 to it and the third one is communication activities can we go to page four please

01:47:25 and on that page we can see second item down rain screen clouding specification literature writing content and then two initials jh and jr

01:47:35 and jr that's jamie hayes is it and you correct yeah right so do we take it from that that the responsibility for drafting or wording the rain screen cladding specification literature was yours and mr hayes

01:47:48 correct

01:47:56 and if we go to cel 6012 please we can see the compliance guide

01:48:09 and this is the version as finalized and if we get a page two in that please you can see that it sets out uh at the top of the page some text which says this document provides guidance

01:48:20 guidance on complying with approved document b2 adb-2 for external wall cladding systems fixed to steel frame or masonry constructions it provides a step-by-step guide to an alternative route to compliance for adb2

01:48:32 alternative route to compliance for adb2 through meeting of performance criteria set out in br135 through testing to bs8414 part 1 2002 or part 2 2005. now it expressly says that

01:48:43 part 2 2005. now it expressly says that as we can see that it's a step-by-step guide to compliance and if we go to page three

01:48:50 we could see the steps br br135 is there on the top left hand corner and then the performance criteria are there set out and then if you look at the right far

01:49:01 and then if you look at the right far right hand column uh in the guide it says this under the three

01:49:06 three pink arrows the classification applies only to the system as tested and detailed in the classification report the classification report can only cover the details of the system as tested it cannot state what is not covered when

01:49:19 it cannot state what is not covered when specifying or checking a system it is important to check that the classification documents cover the end use application

01:49:26 did you see and approve that language um i i don't believe i did i think i've seen that from [Music]

01:49:39 [Music] i don't know i thought the um the disclaimer came from sangaban legal but i may be incorrect

01:49:46 incorrect right okay did you know that it reflected the language in annex b of br135

01:49:56 of br135 um

01:50:01 no no okay did you at the time did you read that when you saw either this final version or an earlier draft of it and note the disclaimer as you

01:50:12 of it and note the disclaimer as you call it

01:50:13 call it uh yes you did yes did you have any doubts about what it meant

01:50:19 no was it quite clear to you looking at what you call the disclaimer and what i think i've called with mr roon the caveat it doesn't matter which we call it was

01:50:30 it doesn't matter which we call it was it quite clear to you that the the br criteria and the bs8414 test was for a full-scale test of a system and not for a product in application correct yes did you

01:50:43 in application correct yes did you see any wriggle room for any interpretation of this language to suggest that a building designer could use rs 5000 with any component of a system

01:50:52 a system other than what was tested and still be covered by the classification report no no and does that answer apply to this same statement in all the other marketing literacy used by

01:51:03 marketing literacy used by celetex to market rs 5000 yes yeah i think it stems from back from the commercial versus technical argument i think there were certain individuals that wanted this to

01:51:14 certain individuals that wanted this to be more prominent than than others right and it looks well you tell me looking at this uh disclaimer here in its place in this

01:51:25 disclaimer here in its place in this document

01:51:26 document who won the argument commercial or technical

01:51:30 technical uh on this page technical right and how do you account for it being on page three of this document as opposed to the first page

01:51:40 um

01:51:43 sorry can you rephrase well let me try it differently did you regard this as small print to be found only by the most scrupulous readers of this document or did you think that this was a fair presentation and location of the disclaimer

01:51:54 disclaimer that you've called it yes i think it was i think it was fair right now

01:52:03 right now you can see uh if you look uh on to page four of this document the middle column

01:52:14 of this document the middle column which sets out the system that was tested

01:52:18 tested and we've now got the by now familiar list of

01:52:21 list of parts of the system you've got the 12 millimeter fiber cement panels those are the mali eternity 12 millimeter panels the rails the celotex the 12 millimeter

01:52:32 the rails the celotex the 12 millimeter sheathing board the sfs system and the plasterboard but no reference there to the layer of six millimeter magnesium oxide or the eight millimeters of malia turnip natura over it is there no

01:52:45 over it is there no and again if we look at diagram four below

01:52:50 below um again do you accept that that doesn't show the layer of six millimeters magnesium oxide or the eight millimeters of malia turn it correct correct and do you accept that those emissions

01:53:01 those emissions make the statement of what the system tested was and the drawing thoroughly misleading yes

01:53:08 yes and there's no mention of the eight millimeters a turn in the same location so does that tell us that the statement 12 millimeters fibre cement panels is also misleading because in the two locations we've seen

01:53:19 because in the two locations we've seen from the photograph those panels were eight millimeters over six millimeters of magnesium oxide making 14 millimeters correct so again thoroughly misleading in that respect yes

01:53:30 in that respect yes so any designer looking to follow your words of warning celetex his words of warning and to replicate exactly the cladding system that celetex was describing here in this marketing literature as having passed

01:53:41 marketing literature as having passed this test

01:53:43 this test would in fact be designing a cladding system that had not passed correct yes now those admissions and misdescriptions were not accidental were they

01:53:50 they no they weren't they were they were entirely deliberate yes they were and if you had faithfully described the test components as actually used it would have given the game away as to how the pass had been achieved wouldn't it correct and the actual

01:54:04 wouldn't it correct and the actual system that had passed was not commercially viable at least as a competitor to k-15 that's right and do you accept that in approving this document you were dishonest

01:54:15 dishonest i do yes as i said earlier

01:54:20 i felt entirely uncomfortable but but equally

01:54:24 equally useless in the in the in the whole lead up

01:54:27 up from testing through to marketing through to launch it was one of the contributory factors for me leaving my role as product

01:54:38 for me leaving my role as product manager because i felt so uncomfortable to date with what was being published and what was being launched and i knew there was going to be a level

01:54:50 and i knew there was going to be a level of questioning that came into the business post launch that would essentially mean that i would have to lie for commercial gain again so i left um

01:54:59 um my role as product manager and moved into into area sales right and again just on this was there anybody you could go to within celetex and and as it were blow the whistle or

01:55:12 and and as it were blow the whistle or or this was take your concerns too this was

01:55:16 was um common practice

01:55:20 i didn't know i didn't know it at the time

01:55:24 time as i said all of the members of the management action board i believed were present when when paul um presented the

01:55:35 the the truth um and the decision was made i've subsequently

01:55:41 um heard and seen that this isn't the only manipulation of test data that that business has had um i think there were issues around the class 05 report i

01:55:52 issues around the class 05 report i think there were issues around the thermal performance of their entire product range um it was clearly within the culture of that business at that time and i i'm sorry for for my partner it's it's

01:56:05 i'm sorry for for my partner it's it's something that i should have maybe well definitely expressed uh more of a concern about let's look at the specification guide

01:56:17 let's look at the specification guide cel6013 please

01:56:27 if we look at page five in that document

01:56:31 it says celetex rs 5000

01:56:37 this is just under the heading building above 18 meters celetex rs 5000 has been successfully tested to bs8414 to 2005 and again underneath

01:56:48 to 2005 and again underneath that after the brackets meets the criteria

01:56:52 criteria set out in br 135 and is therefore acceptable for use in buildings above 18 meters in height and again we see the mantra there so lifted from case back king spans k-15s to march 2011 data sheet straight into

01:57:04 to march 2011 data sheet straight into your compliance cabin compliance guide um sorry specification guide um

01:57:12 it goes on to say the system tested was as follows and again no mention there of the eight millimeters of eternity or the six millimeters of magnesium oxide same questions again and you knew that

01:57:25 same questions again and you knew that and that was dishonest for the same reasons we've discussed in relation to the specification guide correct yes right

01:57:36 and again uh that was deliberate yeah what's yes

01:57:45 and if you look at page three

01:57:50 and the way these are similar iterations of the same point in the last paragraph there it says

01:57:59 rs 5000 is uniquely positioned to help meet these goals celetex rs 5000 is a premium performance pir solution for use in rain screen cladding applications

01:58:10 cladding applications and suitable for use in building above 18 meters in height and again that was misleading wasn't it because it suggested that the rs 5000 could be used in any buildings above 18 meters in height that's right yes and that was intentional and deliberate

01:58:22 and that was intentional and deliberate and misleading correct and then at page five again same mantra we see in the last part of the paragraph

01:58:34 the paragraph uh above the details of the test therefore acceptable for use in buildings above 18 meters again same question that also might lead a reader to believe that rs 5000 was suitable generally in

01:58:47 that rs 5000 was suitable generally in combination with any system and be misled by that that's right and again that was deliberate correct

01:59:01 now i think celetex drafted a handy guy produced a handy guide to its products didn't it were you familiar with that document

01:59:09 document uh yes i was here that's cl for four zeros

01:59:13 zeros four sorry five zeros four three seven five zeros four three seven

01:59:21 and if we go to page eight in that document

01:59:27 product descriptions and here we have celetex rs 5000 it says it has class naught fire performance throughout the entire product

01:59:38 product and then in the second paragraph it says uh is acceptable for use above 18 meters in height

01:59:48 in height after the reference to the br-135 criteria

01:59:52 criteria again that gives the impression that rs 5000 is generally suitable for buildings above 18 meters in height so again do you accept that it was deliberate and dishonestly misleading i

02:00:03 deliberate and dishonestly misleading i do yes

02:00:06 now you referred a moment ago to this being a common problem throughout celetex

02:00:10 celetex with class naught as well what were the problems around class naught you were referring to um i don't know the specifics all i know is um i've seen announcements on the on the

02:00:23 um i've seen announcements on the on the website

02:00:24 website um since the tragic events of grenfell that

02:00:28 that indicated that they've perhaps come clean about a couple of other issues one being class o

02:00:35 o and and one being thermal performance but i don't know the specifics right you say thermal performance is that a reference to the shenanigans with the lambda correction i'm sorry to use that expression but

02:00:47 i'm sorry to use that expression but it will become obvious perhaps with other witnesses what that was but you were familiar with that were you i was a familiar of the the announcement yes i wasn't familiar with that right

02:00:57 can i then show you the data sheet

02:01:02 cel407961

02:01:06 this is another one of celetex's marketing documents was this a document that you had a hand in drafting

02:01:19 in drafting um probably again with the with the same the same individuals it was you know the marketing team the technical team right and was this a document that you would or you did intend to send out as

02:01:30 would or you did intend to send out as part of

02:01:30 part of celestex's marketing efforts for rs 5000. that would have been distributed yes

02:01:35 yes and if we look at this document it's not a long document it's any three pages we can see that there's a pink header at the top of each page that reads celetex rs 5000 premium rain

02:01:46 that reads celetex rs 5000 premium rain screen cladding board suitable for buildings above 18 meters in height and that is is repeated in the pink banner at the top of all three pages of this three-page document isn't it yes that's right now there's no

02:01:58 yes that's right now there's no qualification there to this thrice repeated statement taken at face value it was entirely untrue wasn't it it was yes and it comes back to the original point

02:02:09 original point of individuals within celetex trying to dilute that system messages as much as they possibly could yeah just just for to say everybody understands it was untrue

02:02:20 everybody understands it was untrue because it wasn't suitable uh unless the building over 18 meters was going to have the same cladding system and exactly the same build-up as that which had been tested

02:02:31 tested yes correct yeah and anybody not reading the small print on page three the disclaimer as you call it would think that rs 5000 was as it says suitable for use on all buildings above 18 meters correct yes

02:02:45 and again we can see in the second bullet point down and i'm sorry i keep asking you these questions but it says again now the by now mantra expression therefore acceptable for use in buildings above 18 meters again

02:02:57 buildings above 18 meters again thoroughly misleading deliberately put forward and dishonest yes yeah

02:03:06 [Applause] and i suppose we need to finish this off if we go to the next page please we can see there that there are technical data there uh

02:03:18 technical data there uh with the surface spread of flame is class one and then on the next page we can see um the certification and an and an

02:03:29 certification and an and an identification of the system tested and the ingredients of that system and again that was misleading because it emitted any reference to the six millimeters magnesium oxide and the eight

02:03:41 magnesium oxide and the eight millimeters marley are turning natural bored over it correct yes and therefore the words the fire performance and classification report issued only relates to the components detailed above

02:03:52 relates to the components detailed above would itself be thoroughly misleading because the components detailed above were themselves incomplete correct yes and that was put forward deliberately and dishonestly by celestex yes and i include you in that yes yeah

02:04:05 yes and i include you in that yes yeah can we finally turn to the press release which we looked at before ceo 9599

02:04:22 now in the first paragraph it describes rs

02:04:26 rs 5000 uh as a new premium performing pir solution for rain screen cladding applications that was untrue wasn't it because it wasn't new it was simply a rebranded

02:04:39 wasn't new it was simply a rebranded simply rebranded fr5000 yes yeah and it was

02:04:43 was um it was only rebranded rs 5000 to go towards new product sales and that target that we spoke about previously on

02:04:54 we spoke about previously on on thursday yeah and when in the second paragraph it says the latest addition to the high performance best in class 5000 series

02:05:02 series and that suggests that rs 5000 was a new product being added to your range doesn't it that's right yes but it wasn't was it it was the old fr 5000 rebranded

02:05:13 rebranded yes so this was a full statement uh correct yes yes and if you go to the top of page two of this document it says again it's the same point with the

02:05:24 again it's the same point with the addition of celetex rs 5000 to an unrivaled pir insulation product range

02:05:30 range etc that was again a false statement wasn't it

02:05:34 wasn't it yes because this was not a new product no no

02:05:39 and then and i do now apologize for laboring this point if you go back to the first page please same point again second paragraph in third line after the

02:05:52 second paragraph in third line after the reference to the bs-8414 and br-135 criteria making acceptable making it acceptable for use in buildings above 18 meters in height again that was deliberately and

02:06:03 again that was deliberately and dishonestly misleading wasn't it yes for the reasons we've discussed yes

02:06:16 yes for the reasons we've discussed yes now rs 5000 was launched on the 5th of august 2014. wasn't it correct you had a regional sales meeting yes and at that meeting i think you gave

02:06:27 yes and at that meeting i think you gave a presentation didn't you yes and we there was a slideshow which accompanied your presentation and that's at cel408668

02:06:48 uh and uh these are your slides did you did you speak to them did you present them as you went through them and speak as you went through them yeah i believe i did yes you did yeah

02:06:59 i believe i did yes you did yeah and let's start with the legislative background first of all paragraph or page four slide four

02:07:07 and we can see that the presentation addresses the legislative background of the use of insulation above 18 meters and

02:07:16 and there is adb2 bs8414 and br135 did you explain

02:07:22 explain those pieces of guidance and legislation if you like as part of your presentation i believe at hs you did and

02:07:34 i believe at hs you did and if you go to page seven or slide seven there is a sliding scale of risk categories with british standards and euro classes

02:07:45 with british standards and euro classes do you know where you got that from um no i don't to be honest with you no did you draft this um yes i believe i did yeah um

02:07:59 you see the reason i'm asking is because in the in the top line you've got non-combustible british standard four seven six four and 11 and indeed that's correct because those are the

02:08:11 that's correct because those are the tests for combustibility with an equivalence of a1 and a2 but then you've got the next line down low class naught and that would tend to

02:08:22 low class naught and that would tend to suggest

02:08:22 suggest that class naught had something to do with combustibility whereas in fact it doesn't

02:08:27 doesn't do you accept that um yes i do but i don't know where i got that table from whether that was part of a training presentation that was given to me i don't know did you

02:08:38 to me i don't know did you explain to the sales teams present that class naught was a different concept from combustibility limited combustibility i think that was generally accepted at the time yes right that wasn't something

02:08:51 the time yes right that wasn't something in respect of which anyone within celetex was in doubt was that right

02:08:58 and then if we look at page 16 this is entitled annex b 84142 2005 br135 and you can see on the right hand side there is b2 performance criteria and

02:09:11 there is b2 performance criteria and classification method and here we can see what you later come to call

02:09:16 to call your disclaimer the classification applies only to the system as tested and detailed in the classification report the classification report can only cover the details of the systems tested

02:09:27 the details of the systems tested system has tested it cannot state what is not covered when specifying or checking a system it is important to check

02:09:32 check that the classification documents cover the end use application and there's an arrow pointing to it and it says system classification this suggests that this presentation did highlight to the sales teams the fact

02:09:43 highlight to the sales teams the fact that br 135 only applied to the system and not individual components that's right yes yes but if we then go on to slide 25

02:09:54 but if we then go on to slide 25 which you would have come to not long afterwards during your presentation i guess

02:09:59 guess we can see headline points there and

02:10:05 there and these are the key properties of rs 5000 and if you look down there you can see in the penultimate bullet point suitable for use in buildings above 18 meters in height now taken as a standalone statement i

02:10:17 now taken as a standalone statement i think we've already established that that's misleading because it wasn't suitable for any building above 18 meters was it no no and

02:10:28 no and there's a very heavy caveat that would apply to a statement like that which simply doesn't find its way into this slide

02:10:34 slide why is that um again it goes back to like commercial versus technical argument i'm afraid um i felt it was important to bring the

02:10:48 i felt it was important to bring the sales team up to speed in terms of what the actual regulations were and the system classification but equally

02:10:56 equally in the back of my mind i was conscious that i had two individuals in the room as a sales director and a head of marketing that were equally trying to push

02:11:08 push a product in in application rather than a system

02:11:12 a system um does that tell us that although your slideshow referred to the disclaimer as it were as small print quite early on

02:11:23 quite early on the bigger message you wanted to get across to the sales teams was that they should be selling this for more general application that was the um view of

02:11:34 that was the um view of numerous individuals in the business including craig chambers i think he wanted that 18 meter message to be much more prominent than what they classed as technical

02:11:46 what they classed as technical um technical jargon to to associate alongside right that product launch and now you

02:11:53 now you you referred to cave chambers i was asking you i mean this is your slideshow and i appreciate that you're as it were operating under instructions i understand your evidence about that but was it your intention that you

02:12:04 but was it your intention that you wanted

02:12:05 wanted although to have the disclaimer there in the slideshow to make that less prominent but to make it more prominent to the sales team that this was a a product suitable for youth in

02:12:16 a product suitable for youth in buildings above 18 meters in height without the disclaimer um i don't know what i wanted from the presentation to be honest with you i wanted

02:12:26 wanted i wanted to get across the message that

02:12:30 it was a system and i was clear in my head that it was a system um but i equally had a members of the management group that were in that room

02:12:41 were in that room that didn't want that message to be so prominent so right that's it so the reference to br135

02:12:49 br135 and the disclaimer in the early part of the slides was there to give celetex plausible deniability in the face of a clearer message that this was a

02:12:59 a material or product suitable for use more generally above 18 meters yes yes

02:13:07 and then if we go to the next slide on 26 the message we see in the penultimate bullet point we've just been looking at is then compounded by

02:13:19 is then compounded by the mantra therefore acceptable for use in buildings above 18 meters in height so that then reinforced the message about the general nature of the application of this product despite the fact that the test was a

02:13:31 despite the fact that the test was a narrowly prescribed one correct yes

02:13:38 can we go back a little bit in the slide pack to slide 18. latest addition to 5000 range and you can see that there are five

02:13:49 and you can see that there are five balloons or bubbles uh celetex fr5000 multi-purpose solution cinetex cg 5000 cavity wall solution

02:14:00 cinetex cg 5000 cavity wall solution celitex gd5000 plasterboard laminate and dab

02:14:03 dab celetex gs 5000 plasterboard laminate mechanical fix cylitex rs 5000 range screen cladding solution

02:14:11 solution and that rather suggests that celetex rs 5000 is a

02:14:15 5000 is a new product being added to the existing range which included celotex fr 5000 doesn't it yes that was untrue wasn't it it wasn't a new formulation

02:14:26 a new formulation um but in context of that slide uh the differences between fr 5000 and cg 5000 the the first two products that were listed

02:14:37 the first two products that were listed there

02:14:38 there the only difference there was board size one was cut down to a to a smaller board size so

02:14:43 size so that same formulation followed through one two

02:14:47 one two four of those products were exactly the same

02:14:51 right my point is slightly different that celetex rs 5000 was simply fr 5000 rebranded wasn't it it was yes and therefore

02:15:00 therefore rs 5000 wasn't a latest addition to the 5000 range because it was already in the 5000 range in the guys of fr 5000 yes but it was marketed that way because

02:15:11 yes but it was marketed that way because um because of this drive towards a percentage of turnover coming from new product development if it fell within if they if they retain the fr 5000

02:15:23 fr 5000 product name for use in buildings above 18 meters

02:15:27 18 meters it wouldn't have contributed to the new product

02:15:30 product development turnover hence it was rebranded

02:15:34 rebranded rain screen 5000. i i see so it was was a deliberate choice of celetex to pretend to have two different products

02:15:43 products whereas in fact it was the same product yeah and that was an uncommon um across the whole of the range there are universal products that in formulation are exactly the same

02:15:54 the same but there are um differences only really by the by the name right

02:16:02 did you tell your sales team uh that in fact

02:16:06 fact rs 5000 was not a new product at all it was simply rs 5000 rebranded so as to be able to get into the above 18 meter market no that was not the message they wanted me to convey

02:16:18 me to convey why is that because um with any new product range they always wanted it to be perceived as brand new um despite the fact that

02:16:30 brand new um despite the fact that the formulation right remained exactly the same

02:16:33 the same so you and those from whom you took your orders

02:16:37 orders were content even to go so far as to mislead your own sales team um in this respect yes

02:16:48 and then make the same point again i think on slide 46 if we can go to that please page 46.

02:16:56 and we can see e shots and then a mini slide within it celetech's launch above 18 meter board celestex rs5000 and then the first paragraph says committed to ongoing product development

02:17:09 committed to ongoing product development celetex has launched rs 5000 specifically designed for rain screen cladding applications and the latest addition

02:17:15 addition to the 5000 series that was not true was it because it hadn't been specifically designed

02:17:21 designed at all no it just it's gone through a a test at the bre so this statement that celetex rs 5000 had been specifically designed

02:17:33 specifically designed for rain screen applications was intended to mislead not only your sales team but the public for the customer with whom any of your sales teams innocently made this

02:17:44 sales teams innocently made this statement

02:17:45 statement it was intended to um yes to be perceived as a as a brand new solution right and by not telling your sales teams were you protecting them from a charge of deceit which a customer

02:17:56 from a charge of deceit which a customer might make to them when they did discover that this wasn't in fact a new product at all um i don't think that was taken into consideration right why not simply tell

02:18:08 right why not simply tell your sales team look this isn't actually a new product it's an old product rebranded

02:18:14 rebranded um i think the view was that it would confuse the confuse the message um what what was clear at the time is that saying when sangaban took the

02:18:25 is that saying when sangaban took the business over is that selatex had numerous products that were applicable to

02:18:31 to multiple applications ie floors walls roofs the same product iefr5000 what they wanted to focus on was application specific product ranges

02:18:44 application specific product ranges and rs 5000 was the first opportunity to create a new application specific product

02:18:51 product why not just say well you can now use fr 5000 anywhere on the building below or above 18 meters because it wouldn't have contributed to the new product sales so in order to contribute to the new product sales you had to lie about it

02:19:02 product sales you had to lie about it i had to rebrand it and then tell your sales team and through them any any customers something which wasn't true um from from a formulation perspective

02:19:13 um from from a formulation perspective yes

02:19:13 yes well from that statement on the page specifically designed for rain screen clouding applications that wasn't true um no so do you accept the point i'm

02:19:24 um no so do you accept the point i'm putting to you i do yes yeah thank you then if we go to slide 27

02:19:32 this is a diagram of the system celetex and br135

02:19:37 and br135 and we can see there the by now familiar

02:19:41 ingredients or components of the system purported to have been tested no reference there to the six millimeters of magnesium oxide and no reference there to the eight millimeters uh of mali eternity natura

02:19:55 uh of mali eternity natura and and again that slide for those reasons was misleading wasn't it so again you didn't even tell your own sales team about the true makeup of the rig that was tested successfully that's right why

02:20:07 successfully that's right why why didn't you tell them that um because that was the decision that that had been had been taken in the business not only didn't they want to disclose

02:20:19 not only didn't they want to disclose the

02:20:20 the true test um later on when the product was launched and there were requests for that test report i think

02:20:31 requests for that test report i think the majority of the time the sales team will refuse such such information

02:20:37 was it your intention that the celetech sales team should not be aware of the fact that the test rig for the bsa414 test

02:20:43 test was not in fact as shown in the marketing literature or on this slide it was you know celtics was an intention of which i admit i was a part of and what was the

02:20:54 admit i was a part of and what was the reason for not telling your sales teams the truth um in that respect

02:21:02 i don't know i don't know i think that's that decision was was made above was made above me right

02:21:14 if we go to slide 32

02:21:20 this refers to

02:21:23 three things celetex rs 5000 included in br135 labc approval and presented to nhbc

02:21:35 labc approval and presented to nhbc unique product code for product chat project tracking and then incurred substantial development costs in fact it's right isn't it that the only development costs were those for testing and marketing correct there weren't any r d or or

02:21:48 correct there weren't any r d or or chemical

02:21:48 chemical or analysis uh product costs were they no

02:21:54 no so to that extent incurred substantial development costs is apt to mislead because it rather suggests that this is a new product which on which money had to be spent in in development um

02:22:06 in in development um yes i guess the the cost of the two tests and the marketing were substantial in relation to previous developments that had taken place and that's why that statement was was in there now we've seen nothing in

02:22:18 was in there now we've seen nothing in these slides which even mentions the first

02:22:20 first test which was unsuccessful in february 2014

02:22:23 2014 that's right isn't this correct why was that because of the um decision to emit any reference to that first test and subsequently admit

02:22:34 that first test and subsequently admit any reference to the magnesium oxide so just summarizing where we've got to on your launch day do you accept i think you do

02:22:42 you do that you didn't tell your sales team three things first of all that they'd been an earlier bs8414 test that had failed

02:22:49 failed or that the second test had only passed by reason of the presence of a six millimeter magnesium board behind the malia turner eight millimeter rain screen in two places which wasn't in the literature or the

02:23:00 which wasn't in the literature or the test report or the drawing or even the third thing which is that rs 5000 was simply fr 5000 rebranded that's right isn't it that's right yes and each of those emissions taken

02:23:11 and each of those emissions taken separately or altogether made your own presentation of rs 5000 to your own sales marketing teams thoroughly misleading correct yes and you knew that i knew that yes

02:23:22 that yes it was your idea that they would then innocently practice the same deceit on celetex's intended customers for this product in order for better to sell it certainly wasn't

02:23:32 wasn't my idea no um all right was it was the idea of those from whom you took your instructions so far as you could tell that the sales teams would then innocently practice this same deceit in

02:23:44 innocently practice this same deceit in these three respects on celetex's intended customers the better to sell this product i think so yes

02:24:06 did who else in celetex knew that you were planning to mislead your your sales team who else yes

02:24:20 paul rob

02:24:23 paul reed obviously knew the details of the

02:24:27 the uh the actual test um i can only presume that all of the members of the management action group but nobody ever confirmed that to me did any members of the management action group

02:24:38 members of the management action group ever actually see this slideshow uh yes i believe there were numerous um directors of or heads of the department that were present at that

02:24:49 that were present at that that launch who were those who were they please um sales director head of marketing head of technical i don't know whether

02:25:00 head of technical i don't know whether craig was was present at that that launch or not right can you just give me their name sales director who was that paul reed head of marketing paul evans head of technical rob warren okay so the

02:25:13 head of technical rob warren okay so the same people as you told me before but possibly craig chambers but you can't recall i can't remember whether very well

02:25:22 uh i'd like to turn to the subject of your relationship with the nhbc and and look at that now mr chairman i'm not sure i'm going to finish this tonight but i don't have that long

02:25:33 tonight but i don't have that long it may be convenient just to stop now i'm conscious that the witnesses had a long day he has we could start and um if we're going to turn to a new topic maybe he and others might like a respect

02:25:45 maybe he and others might like a respect at this stage because you're going to ask him to come back tomorrow i am yeah can you give me any of how long you think he might be yes i may be able to shorten this

02:25:56 yes i may be able to shorten this overnight a little bit but it it it's it's unlikely i would think probably an hour tomorrow morning and then a break and then follow-up questions which history shows us doesn't

02:26:07 questions which history shows us doesn't take that long but one has to allow proper time yeah and that's tough because i'm sure mr rover wanted to know quite what his what time was required tomorrow but i think it's better to stop at this point very good we're going to

02:26:19 at this point very good we're going to call a halt uh for the day at that point mr oprah as you heard me say to mr millett i'm afraid we are going to have to ask you to come back for a little bit longer tomorrow

02:26:29 tomorrow i don't suppose you had that factored into your timetable but i'm afraid that's the way it is okay so um we'll resume at 10 o'clock tomorrow

02:26:39 tomorrow mr millett's best guess is that uh he'll take about an hour with you there'll be some follow-up things after that so um if you're planning your day tomorrow

02:26:50 um if you're planning your day tomorrow you might be wise to uh not to expect to leave here much before midday can't guarantee what what the time will be but that gives you some idea of where we're going

02:27:01 we're going that's fine yeah all right yeah okay um all right well if you'd like to give the action now um we'll see you at 10 o'clock tomorrow and again please don't talk to anyone while you're away from the hearing about your

02:27:12 away from the hearing about your evidence or anything to do with it that is that's fun all right yeah thank you very much

02:27:28 indeed thank you 10 o'clock tomorrow then

02:27:42 please you

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