Parents whose children were at the centre of an abuse investigation at a Colchester care home 20 years ago are to receive compensation from Essex County Council.

The allegations of child abuse centred around Holliwell Lodge in New Farm Road, Stanway, Colchester.

A number of parents, whose children were abused at the care home, made claims for compensation from Essex Social Services.

When the abuse came to light in 1994 Essex County Council said it would not contest claims for compensation and would not put parents through more trauma by "dragging" them through the courts.

But legislation which covered the disabled meant that the county court would have to make a final decision on the claims.

And on Tuesday - more than six years after an official report confirmed the allegations of child abuse - the claims for compensation were heard at a series of hearings held in chambers at Colchester County Court.

Yesterday (Wednesday), a statement from the county council confirmed: "A number of claims for financial compensation regarding Holliwell Lodge are currently being processed."

But added: "Essex County Council does not feel therefore that it is appropriate to comment on this matter at this stage."

Converted for the new archive on 19 November 2001. Some images and formatting may have been lost in the conversion.