The Transport Secretary has been facing mounting calls for his resignation after he cancelled a £14 million contract with ferry company Seaborne Freight.
The government pulled the rug on the contract yesterday after revealing that Arklow Shipping – a firm which was set to be a majority shareholder in Seaborne – had itself backed out.
But Channel 4 News can reveal that that company had never agreed any contract and blamed the UK government for pushing the deal through too fast.