RAIL workers and train passengers have warned the government against awarding the UK’s biggest rail franchise to a company accused of fraudulently fleecing taxpayers of tens of millions of pounds.

Transport privateer Go Ahead operates Southeastern rail services, which was last year found to have concealed £50 million it owed to the taxpayer.

Although it has repaid most of the money, the company still faces potential fines of tens of millions of pounds.

Next month a new contract will be awarded for the Thameslink, Southern and Great Northern franchise and the Department for Transport (DfT) has admitted it is considering handing them to Go Ahead, which currently operates them.

But campaign group Bring Back British Rail and passengers’ organisation the Association of British Commuters accused the government of “burying” a report of an investigation into Southeastern’s alleged fraud.

The two groups recently began a joint legal action against the DfT, arguing that the Go-Ahead Group cannot be trusted with another six-year contract for Thameslink, Southern and Great Northern when its contract expires at the end of March.

Ellie Harrison of Bring Back British Rail said: “Govia’s record is nothing but a history of deceit and failure, and the Go Ahead Group should have no further involvement in any aspect of our public transport system. 

“The only solution to this scandal is for Thameslink, Southern and Northern to be brought into public ownership.”

Emily Yates of the Association of British Commuters said Go Ahead “simply cannot be trusted.”

Rail union RMT called for “unfit” Go Ahead to be banned from the contracts and for the government to nationalise Thameslink, Southern and Great Northern. 

RMT general secretary Mick Lynch said: “It is simply beyond belief that with barely a month to go before this mega rail contact expires, this government, even with its history of dodgy contracts, could consider awarding it to a company that has repaid £50 million in money it hid from the taxpayer and which it believes worked to conceal this fact.

“As I’ve said time after time, Go Ahead are demonstrably unfit to operate our railways.”

Go Ahead Group and the DfT were invited to comment.