Vol. 409 No. 1
18 Mr. Quinn asked the Minister for Industry and Commerce if he has any plans to amend the law in order to ensure that, in the event of any company being under investigation, steps can be taken to protect the integrity of documents or other potential evidence in advance of the commencement of the investigation; and if he will make a statement on the matter.
I have responsibility for the Companies Acts, which contain specific legal provisions in relation to company investigations.
Section 243 of the Companies Act, 1990, provides that any person who destroys or mutilates, or is privy to the destruction or mutilation of any book or document affecting or relating to the property or affairs of a company, shall, unless he proves that he had no intention to defeat the law, be guilty of an offence.
In addition, where it has been decided that the affairs of a company warrant investigation under the Companies Acts, the situation is as follows:
Section 19 of the Companies Act, 1990, empowers the Minister for Industry and Commerce to require the production of documents by a company in a wide variety of circumstances. Section 20 of the 1990 Act empowers a district justice to issue a warrant authorising a member of the Garda Síochána together with any other person named therein to enter premises and take possession of any books or documents which have not been made available in response to the Minister's request, with a view to preserving them and preventing interference with them.
Where the High Court appoints an inspector to undertake a more formal investigation of a company's affairs, it would be a matter for the court to ensure the integrity of the documents involved. I am satisfied that these provisions tackle the concerns raised by the Deputy in so far as investigations under the Companies Acts are concerned and, in the circumstances, I have no plans to further amend the Acts in this regard.
Does the Minister agree that, in comparison with the investigatory powers of the UK fraud squad, our law is totally inadequate to protect documentation and documentary evidence in cases such as those outlined by Deputy Quinn? I am sure the Minister is aware from experience that not only have the fraud squad lacked authority in recent years to gather information and documentation but that on many occasions they have been obstructed in the course of their duties because they lack the authority and power to carry out proper investigatory procedures. Does the Minister not accept that we need to strengthen our laws in these areas? Otherwise we will never get to the root of white collar crime here.
That may be the case but, as the Deputy will appreciate, the question to which I replied relates to investigations under the Companies Acts by the Minister or inspectors and does not relate to criminal investigations under criminal law by the Garda Síochána, which is what the Deputy referred to. I am aware of shortcomings in the evidence aspects of criminal investigations. I will certainly draw the attention of the Minister for Justice to what the Deputy has said.
