The fund gave out more than £2 million in loans to start-up firms – £1.4m of which is never likely to be repaid.
The fund was the subject of a highly critical report by the Comptroller and Auditor General earlier this year.
In the States on Tuesday, Chief Minister Ian Gorst said that the first of three reports had found that there was confusion over which minister had ultimate legal responsibility for the loan decisions and which States officers answered to which ministers.
The report also found that Senator Philip Ozouf, who stood down as Assistant Chief Minister with responsibility for the digital sector, believed that the fund was functioning effectively and ‘took action as soon as he discovered otherwise’.
Further reports are expected to be published this year.
Full report in Wednesday’s JEP.
