Dear Councillor As you are no doubt aware, under the Public Contract Regulations 2006 a contracting authority may exclude aneconomic operator from bidding for a contract or may reject any such bid where it is found that the individual or organisation in question has “committed an act of grave misconduct in the course of his business or profession”section 23(4)(e).The Israeli settlements in the Occupied Palestinian Territory are considered illegal by the United Nations and theEuropean Union. In 2004, the International Court of Justice ruled that settlements were illegal under international law.This position has been reaffirmed by successive British governments.Israeli settlements contravene Article 49(6) of the Fourth Geneva Convention of 1949, which prohibits an occupyingpower from transferring its own civilian population into occupied territory.Veolia is a partner in the CityPass consortium, which constructed the light-rail tramway system linking westJerusalem to illegal Jewish settlements in occupied East Jerusalem and the West Bank. The rail system will cementIsrael’s hold on these occupied territories and tie the settlements even more firmly into the State of Israel. Veolia isnow responsible for the operation of the tramway.The construction of the tramway involved the confiscation of Palestinian land and extensive damage to the roadwayon which the tracks have been laid. In Shuafat the station is built on two-thousand square meters of Palestinianprivately owned land. More land will be confiscated for the parking lot next to the station.Thus, Veolia is facilitating Israel’s grave breaches of the Fourth Geneva Convention, and is complicit in itsperpetuation of those breaches. Veolia’s actions also aid and abet Israel’s breach of the Hague Regulations.In 2010 the United Nations Human Rights Council specifically declared the Jerusalem Light Railway to be “in clear breach of international law and relevant UN resolutions” (Resolution 13/7) and the UK government concurred.Veolia also runs bus services operated by its local company Connex, serving the same function as the tramway:supporting and consolidating illegal settlements and tying them more closely into Israel. Moreover, Palestinians areprohibited from using Veolia’s bus services no. 7 & 19, which serve only the illegal Jewish settlers.Veolia is also involved in waste collection from illegal Israeli settlements and dumping in the occupied West Bank.Onyx, a subsidiary of Veolia Waste Management, still operates the Tovlan landfill near Jericho in the Jordan Valley,Article 45 of EU Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004 on thecoordination of procedures for the award of public works contracts provides power to exclude “economic operators“.Specifically, Article 45 (2)(d) allows this where the individual or an organisation “has been guilty of grave professionalmisconduct proven by any means which the contracting authorities can demonstrate.“Veolia’s activities clearly constitute misconduct sufficiently grave to warrant the exclusion of its subsidiaries frompublic contracts by virtue of the Public Contract Regulations 2006. Indeed, if one division of Veolia is involved inactivities of grave misconduct and profits from such conduct, then the parent company must necessarily beimplicated in such misconduct and most certainly profits from such misconduct. That, in turn, means that Veolia as awhole – all of its divisions and subsidiaries – are implicated in such misconduct.Veolia’s recruitment policy is discriminatory: its job advertisement for the light rail in Jerusalem specified thatcandidates must have knowledge of Hebrew “at a mother tongue level” and have done a “full military/civic service”.These conditions usually can only be met by Jewish Israelis and so exclude almost every Palestinian.Veolia currently faces extreme financial difficulties casting doubt on its viability to the extent of the 30 years contracts.The NLWA must be aware that Deutsche Bahn, the transport company owned by the German government, withdrewfrom the high speed rail project with Israel to comply with international law.On the basis of the evidence above, it would be a lawful exercise of your discretion to exclude Veolia ES Aurora fromthe NLWA contracts.I look forward to your response.Yours sincerely