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Dáil Éireann debate -
Wednesday, 14 Nov 1990

Vol. 402 No. 6

Ceisteanna — Questions. Oral Answers. - Closure of Monaghan Company.

Tomás MacGiolla

Question:

4 Tomás Mac Giolla asked the Minister for Agriculture and Food if he has yet received an updated report from the IDA in regard to the circumstances surrounding the closure of Ballybay Meats, County Monaghan, which he indicated in Dáil Éireann on 21 June 1990 was expected; if he will outline the progress made towards re-establishing the plant on a viable basis; and if he will make a statement on the matter.

It has not yet been possible to conclude investigations into certain aspects of this case which concern my Department.

As I already indicated to the House, the question of the future of the Ballybay plant is primarily a matter for the Receiver and something over which I have no direct responsibility. While I understand that the Receiver is continuing in his efforts to sell the plant, this is proving more difficult than expected.

The Minister's reply is very unsatisfactory. On 21 June last the Minister stated that he expected an updated report and that is what we are asking for in the question. In view of the fact that there were allegations of very serious irregularities, would the Minister not agree that, in the interests of the producers and the many other sectors involved, he should immediately get the updated report, let the public know what has happened and what is proposed to happen in the matter of Ballybay Meats?

The Deputy will appreciate that the Receiver was not appointed by the Minister or the Government. The Receiver has the usual statutory fundamental role which is to try to achieve the best possible disposal of the assets in the interest of creditors which includes, to a large extent, farmers and also, where possible, to maintain a viable future for the enterprise.

The Receiver's report will not be furnished primarily to me, but when I am made aware of it I can assure the Deputy that all the facts he refers to will be taken into account by me in the discharge of my responsibility. My responsibility, however, does not extend directly to receivership matters.

On the same occasion the Minister informed the House that the EC had been notified and that, in consultation with officials of his own Department, investigations were being carried out. Will the Minister say whether such investigations were concluded?

I am glad to confirm to the Deputy that those very detailed and comprehensive investigations are ongoing involving both my Department and the Commission. The Commission are not of the opinion yet that we are in a position to make a final determination on it, but I can assure the Deputy that in that, as in all other things, I will ensure that regularity is the norm, the only acceptable norm. Irregularity is unacceptable and the Commission totally accept our bona fides in that.

I understand that the report commissioned by the Minister within his own Department was completed some months ago. Could the Minister indicate whether that report has been of any use to him or if he has come to any conclusion as a result of it?

The Deputy will appreciate that it is not the norm to give information on internal reports. I have been in consultation with the IDA and we have learned a sigificant amount which will enable us to put in place regulations, restrictions and limitations to protect the taxpayer and the European Community funding programme. I would like to have the full and complete report before I come to a final decision.

Could the Minister——

I want to make progress on other questions.

The Minister has made a very far-reaching statement.

A very brief supplementary, Deputy Cotter. Then I am going on to another question.

The Minister has made what I consider to be a very far-reaching and fundamental statement. When will we know what conclusions he will derive from the report and when will the IDA know what restrictions will be placed on them in the future?

As soon as all the investigations have been completed, in conjunction with the Commission. I think the Deputy and the House will appreciate that it would be entirely inappropriate, where there has been a level of European and national funding, that we should not take any action until the Commission, in consultation and co-operation with us, has concluded their investigations. When that is done I will be quite ready to take the necessary action and to report appropriately to the House.

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