THE hospital that appointed Richard Neale a year after he was struck off knew all about his appalling record, the disgraced surgeon has claimed.

Victims of the North Yorkshire surgeon called for changes in the law last week when it emerged that Mr Neale - who has been struck off twice in his life - spent nine months advising other doctors how to avoid clinical errors at a Manchester hospital.

Victims of the former Friarage Hospital surgeon say it is a scandal that that Mr Neale was re-employed by an NHS hospital.

Last night, a senior Department of Health official spoke of "anger" at the way warnings about Mr Neale appeared to have been ignored by hospital bosses.

Barry Hassell, chief executive of the Independent Healthcare Health Association said he doubted whether a private hospital manager would be "foolish" enough to employ someone with such a poor record.

The Chief Medical Officer, Professor Liam Donaldson, is taking the question of whether the rules regarding struck-off doctors need tightening up "very seriously", the senior official added.

Although Mr Neale was sacked from his junior administrative post at South Manchester University Hospitals NHS Trust four months ago, patient groups are furious that a discredited doctor should have been allowed to work in hospital once again.

Now Mr Neale - speaking for the first time since he was struck off for botching operations two years ago - has claimed that he was taken on despite his openness about being struck off.

During a wide-ranging interview on yesterday's BBC Radio Four Today programme Mr Neale made it clear that he believes he still can play a role in the NHS.

Despite being found guilty of 34 counts of serious professional misconduct, involving botched operations and dishonesty, Mr Neale said it would be "very sad indeed" if he was not allowed to continue to work for the NHS.

In his version of events, Mr Neale claimed that during his interview with the Wythenshawe Hospital he told officials that he had been struck off by the GMC. In addition, the surgeon said he sent the hospital "a detailed letter explaining precisely what had happened".

He also told a consultant cardiologist his story "once more" before being offered the post, he said

Protesting at calls for a clamp-down on struck off doctors Mr Neale said such a move would be wrong.

"It seems I have less rights than a convicted prisoner who has left jail," he said.

Mr Neale said he felt "full of remorse" for what had happened to his patients.

"I still have nightmares about it and I am sure I shall do for the rest of my days," he said.

Sheila Wright-Hogeland, a victim of Mr Neale and the founder of the patient support group which fought to stop him operating, said she has written to Health Secretary Alan Milburn calling on him to take action to ensure struck-off doctors could not work in the NHS.

"There is a desperately urgent need for legislation in this area," said Mrs Wright-Hogeland, who lives near Kirkbymoorside, North Yorkshire.

She said it was "vital" that the forthcoming independent investigation into the Neale scandal included the Manchester episode.

Read more about the Richard Neale scandal here.