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Dáil Éireann díospóireacht -
Wednesday, 7 Mar 1956

Vol. 155 No. 1

Committee on Finance. - Greyhound Industry Bill, 1955—Committee Stage (Resumed).

Debate resumed on the following amendment:—
16. Before sub-section (5) to insert a new sub-section as follows:—
(5) The board may require the club to contribute towards the general expenses of the board to assist it in fulfilling its functions under this Act such proportion of the net revenue of the club as in the opinion of the board is reasonable. —(Deputy O'Malley.)

On the last occasion when we were discussing this amendment it was pointed out that the Irish Coursing Club, referred to here as the club, because of all the operations for which it would be responsible and having regard to the fact that there will be a variety of fees accruing, the board should have the right in the course of its operations to secure from the club a contribution towards its financial requirements in the same way as the board under the Bill will be able to get fees from the public through the bookmakers. It can get fees from the racetracks. It will in time have a profit from the totalisator but, notwithstanding these particular incomes, it may still require an additional income; and, rather than put it in the position of having to vary upwards the fees from the other groups concerned, it should be entitled to inquire from time to time into the financial position of the club and ask the club to make a contribution towards the board's general expenses.

It does not say here that the board "shall." In other cases there is a "shall" in it. The bookmakers will have to collect from the public, under what one may describe as a statutory obligation, fees called "levies" towards the board's requirements. The racetracks will have to pay. There will be a percentage from the tote.

In two cases the public is affected. I do not know all the sources of revenue the club will have. I understand, as far as I can understand the Bill, they will continue to operate their sports paper. That will probably show a profit. I think it is the only paper of its kind circulated amongst those who are interested in greyhounds, in breeding and ownership, to say nothing of those who have litters for sale. All these have to pay for advertising space in relation to what they have for sale or service.

Greyhound owners have to register their dogs with this club and pay a fee. Every single regulation laid down for the bringing about of absolute control and protection, if you like, for the public generally with regard to breeding, ownership and the running of dogs —all of these things come within the ambit of the operations of the club and from every one of these activities, licensing and so on, there is a fee. Consequently, I think the Minister might agree that this amendment is a reasonable one and one that should be accepted by him. I cannot quite remember what the Minister's argument against it was on the last occasion, but he did indicate that he was not favourably disposed towards this particular introduction into the Bill. I do not know on what grounds, however, and consequently I feel that there should be some more discussion on it instead of lightly passing it over. It is of vital importance to the success of the board, seeing that the board has to provide a substantial amount of money for its own operations and for the payment of its officials.

I must apologise as the mover of this amendment. Unfortunately, I was unable to be present and Deputy Briscoe very kindly moved it on my behalf. The previous speakers on this side of the House have carried out my task in a far more able manner than I would have, and I have just a few points to add. Deputy Briscoe mentioned that he could not recall offhand what exactly the Minister's objections to this amendment were on the last occasion. The first objection the Minister had was that it was unconstitutional, but I think that point has been dealt with and it does not arise further.

The Minister, when replying later on to the debate, said he would not accept the amendment and that he had nothing to add to what Deputy Finlay had said because he had covered all the points which the Minister would make. Deputy Finlay had the wrong end of the stick altogether. He seems to be under the impression that we wish, through this amendment, to have a levy imposed yearly on the Irish Coursing Club. That is not so, and the amendment makes it very clear that it is only in certain circumstances that the board shall have the right to seek a contribution. They may never seek it but we wish through this amendment that they should have the right in certain circumstances. That is why the words "may ... contribute" are in the amendment, which reads:—

"The board may require the club to contribute towards the general expenses of the board to assist it in fulfilling its functions under this Act such proportion of the net revenue of the club as, in the opinion of the board, is reasonable."

As I say, Deputy Finlay had the wrong end of the stick. We are not advocating a levy, as Deputy MacEntee said. It is a most reasonable amendment. It is an amendment which, in the course of time, the nucleus of the board might be very glad was inserted if the Minister even at this late stage would consider accepting it or bringing in his own amendment on the Report Stage.

The time could come when, for instance, the Irish Coursing Club could have very great assets. Their income might increase by a very large amount. I agree that the trend in the past number of years would not give that indication. In fact, the revenue of the Irish Coursing Club is on the downgrade. However, with coursing put, as the Minister himself said, on a sound financial and proper footing, the greyhound industry will benefit considerably and become a major industry. It follows, therefore, that the Irish Coursing Club will obtain very much increased revenue.

Deputy Finlay, the Minister said, covered to his satisfaction the points which he would have made. Supposing for the sake of argument that the Sporting Press and the other subsidiaries of the Irish Coursing Club continue to flourish, that they double the amount of revenue which they are earning and which is pretty substantial at the present time, the possibility is that this surplus will not be put to the best use to which it could be. Under this Bill the Irish Coursing Club take control of the assets of the Irish Coursing Club, the Sporting Press and Powerstown Park, Ltd., and trustees are appointed to see that that is administered in a proper manner. At paragraph 8 of the Schedule there is a provision as follows:—

"(i) There shall be a sub-committee of the executive committee (in this constitution referred to as the finance sub-committee) with responsibility for keeping under review the financial affairs of the club and its subsidiary interests (including Powerstown Park, Ltd. and the Greyhound and Sporting Press, Ltd.) and for making reports and recommendations thereon to the executive committee."

Paragraph 13 of the Schedule says:—

"The property and assets of the club and its subsidiary interests (including Powerstown Park, Ltd. and the Greyhound and Sporting Press, Ltd.) shall be vested in trustees appointed by the club."

What I want to know is where will the money go that the Irish Coursing Club will undoubtedly accumulate as a result of the passing of this Bill? The greyhound industry is going to be put on a proper basis. To what purpose is this increased revenue to be devoted? I agree they have their own expenses which are pretty high but not withstanding that fact, the Minister himself on the last occasion when the Bill was being debated drew attention to the matter when he told Deputy MacEntee to read on in regard to the payment of income-tax of nearly £5,000.

When it suits the Minister and his advisers the report of the advisory committee is quoted, adopted and incorporated in this Bill. There was a specific recommendation by the advisory committee that the Irish Coursing Club should contribute to the board. The Minister was very happy to quote me on a previous occasion on this Bill. He flattered me in relation to a remark I made that any fool could get up here and criticise but that it took a good man to say what should be done. One of the problems the Minister was faced with in this Bill and in setting up the board was to find the wherewithal by which the board could operate. That is the reason for the imposition of the levy on the bookmakers and the reason why the totalisator was introduced under this Bill. These are the two major sources of revenue. The Minister wants the funds. Without those two sources, the board could not possibly operate.

While I agree that the contribution of the Irish Coursing Club from their profits might be only a drop in the ocean, nevertheless, I think it is a very reasonable amendment whereby the board may require them to pay in a certain year a specific amount from that profit. It might not happen next year; it may not happen in ten years' time; it might never happen but the time could come when the board might be very anxious and very glad to have the powers which this amendment would give them.

The more revenue obtained by the board, the lesser the levy on bookmakers, which, in fact, is indirectly a levy on the punter, and the lesser will be the burden borne by the public.

While I agree that under the Bill the board has power to make contributions to racetracks, nevertheless there is a very strict limit to their powers. For the sake of argument, if the Irish Coursing Club in a certain year have a net profit of £10,000, to what purpose is that £10,000 to be devoted? Is it to be put aside for a lean year? As far as I can see, the lean years are over. Under the Bill a proper balance sheet has to be prepared from now on. The board, having examined the balance sheet, could say: "The Irish Coursing Club can very well afford to contribute £x to us, the board, and, as a result of that, we can give certain alleviation to the general public attending greyhound tracks or we can assist the owners by giving increased stake money."

We must not forget that, notwithstanding any amendment to this Bill, the Irish Coursing Club will still be, under this Bill, the controlling body, with four out of seven members and surely these four out of seven will have control. If the Minister accepts this amendment, they, as members of the Irish Coursing Club—and if they are not on the executive committee they cannot be on the board—will not do anything which would be to the detriment of the club, that is, the Irish Coursing Club.

As I said earlier, the advisory committee—Deputy MacEntee went into more detail than I—were very concerned and very definite that the club should contribute to the board. It is a vicious circle. On every amendment and at every stage of the Bill the cant of the Minister will be, "If I do not get the money, the whole thing will collapse." I am giving him a certain source from which he might get the money if he were put to the pin of his collar. It is a very lenient amendment.

The Minister said that Deputy Finlay was his mouthpiece and expressed the thoughts and the words of the Minister as if he himself were speaking. Deputy Finlay was of the opinion that this amendment and the people who spoke for it on this side of the House sought a levy and an annual charge. That is not the case. It is a very simple and reasonable amendment, the first line of which says, "The board may require the club to contribute towards the expenses..."—nothing less and nothing more.

Is the Minister prepared to accept the amendment?

I am obliged to Deputy O'Malley for his intervention. I thought at the beginning he was inclined to say that his amendment envisaged empowering the board to receive gifts from the Irish Coursing Club.

Not gifts.

There is, of course, no reason why the Irish Coursing Club should not contribute to the board at any time it pleases them but the distinction made by Deputy O'Malley between a levy and a compulsory contribution is too fine for me to understand and I cannot see any justification for giving the board power to levy on the funds of the Irish Coursing Club. I think the Deputy will agree with me that unless the other sources of revenue for the board prove sufficient to carry out the improvements we all have in mind, the prospect of their being able to levy on the assets of the Irish Coursing Club a sum sufficient to achieve our purpose is remote indeed and I can see no merit in the proposal that the board should have that right to levy on the income or revenue of the Irish Coursing Club.

The matter has been discussed at considerable length but I should like to try to deal specifically with the case made by Deputy O'Malley. I think his proposal is a levy inasmuch as it gives power to the board to require a contribution to be made as often as they want. I do not see how he can say that this is an eminently desirable thing when he goes on to say that there is a majority drawn from the members of the executive of the Irish Coursing Club on the board and, therefore, he says, the board will not levy on the Irish Coursing Club if the Irish Coursing Club do not want them to levy but, if that is so, cannot he leave it to the Irish Coursing Club voluntarily to contribute?

I did not say that at all.

I thought the Deputy did. I do not think there is substance in his belief that a situation could arise in which any levy could be made upon the Irish Coursing Club which would be sufficient for the purposes of the board and if he envisages a situation in which the board was put to the pin of its collar and turned as a last resort to a levy on the Irish Coursing Club, I believe that would be a wholly ineffective procedure because the levy they could conceivably make, having regard to the assets of the Irish Coursing Club, or their possible assets, could not conceivably materially affect the resources which the board will require if they are successfully to operate this legislation.

But the board is putting a levy on the greyhound tracks which would be negligible compared with the huge turnover, maybe a thousand or two a year.

The board has power to issue licences to trainers and track auctioneers.

And to impose a charge.

And to impose a licence fee, but I cannot imagine that the revenue that they would derive, either from these sources or from the proposed levy here, will be any material element of the total resources which they will require if this legislation is to have the effect of putting the industry on a more solvent basis. I see no justification for the proposal to give the board statutory power to impose a levy as on the Irish Coursing Club, and I am afraid I must refuse to accept the amendment.

Progress reported; Committee to sit again.
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