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Mr. Charles Kennedy
To ask the Secretary of State for Scotland under what statutory provisions he can override the commercial decisions of the directors of Caledonian MacBrayne.
Lord James Douglas-Hamilton
My right hon. Friend's powers and obligations in respect of Caledonian MacBrayne Ltd. are defined in the terms of the Highlands and Islands Shipping Services Act 1960 and the undertaking of 15 August 1975 between the Secretary of State and the company. As controlling shareholder of the company, my right hon. Friend has certain other powers and responsibilites, which are defined in the company's articles of association.