Vol. 417 No. 5
442 Mr. Rabbitte asked the Minister for Labour the reason his Department are listed according to the receiver as owing £164,476 to the Institute of Clinical Pharmacology, the purpose for which these funds were intended; and if he will make a statement on the matter.
I understand that the Deputy's question arises from a recent newspaper article concerning a report about the receivership of the company in question. However, the reference in the report to a sum of £164,467 is not to a sum owed by the Department but to money paid by the Department to the receiver from the social insurance fund. That payment was made to the receiver in respect of the outstanding entitlements of former employees to arrears of wages, holiday pay and minimum notice compensation under the Protection of Employees (Employers' Insolvency) Acts, 1984 to 1991.
In addition, the records of my Department show that the company owes the social insurance fund a further sum of £40,662 in respect of redundancy lump sums paid to the former employees under the Redundancy Payments Acts 1967 to 1991.
When the receivership is completed and a distribution to creditors is being considered, the Minister for Labour will rank as a preferential creditor in respect of both amounts referred to above.
