asked the Minister for Industry and Commerce the numbers employed in Galway Textile Printers Limited; and what hopes there are for continued employment of these people.
66.
Ceisteanna—Questions. Oral Answers. - Galway Textile Printers Limited.
65.
asked the Minister for Industry and Commerce if, in view of the grave concern of workers and their families, he will make a statement in regard to the future of Galway Textile Printers Limited.
67.
andMr. Geoghegan asked the Minister for Industry and Commerce if, in view of the recent announcement by the Industrial Credit Company Limited that they had appointed a receiver for the affairs of Galway Textile Printers Limited, he will state what prospects there are for the continued employment of the workers concerned.
68.
asked the Minister for Industry and Commerce if he will make a statement indicating all the circumstances involved in the State investment from all sources in Galway Textile Printers Limited; and what Irish firms were associated directly or indirectly with the project.
With your permission, a Cheann Comhairle, I propose to take Questions Nos. 65, 66, 67, and 68 together.
Galway Textile Printers Ltd. were established in 1956 for bleaching, printing, dyeing and finishing cotton cloths in the grey state. The ordinary shares in the company, to the value of £195,000 were held equally by Blue Printers Ltd., Wigan, England, General Textiles Ltd., Athlone and Greenmount and Boyne Linen Co. Ltd., Dublin. A grant of £240,000 was paid by An Foras Tionscal to the Galway firm. Galway Textile Printers Ltd. commenced production in 1958 and a further sum of £75,000 was then granted by An Foras Tionscal. About the same time the Industrial Credit Company subscribed £100,000 for preference shares in the firm. The ordinary shares held by the British firm, Blue Printers Ltd., were purchased by General Textiles Ltd. and the Greenmount and Boyne Linen Company Ltd. in 1960. These shares, were subsequently transferred to a Dutch firm, Jennink and Zonen, who entered into a management agreement with the Galway firm. This did not have the desired effect and in 1963 the Industrial Credit Company, having increased their participation in Galway Textile Printers by purchasing the entire issued ordinary share capital, entered into an agreement under which an American firm, Cranston Print Works Company of Rhode Island, undertook the management of the Galway firm.
In regard to the future of Galway Textile Printers Ltd. efforts are being made by the receiver to attract interest in the company as a going concern. In the event of these efforts being unsuccessful, I have every hope that the new industrial estate in Galway will provide alternative employment for employees of Galway Textile Printers who may become redundant. There are 182 workers in the company's employment at present.
Is the Minister aware that certain companies were, in fact, pressurised to invest in this company and that they lost a lot of money, in fact have been taken over since, the announcement being in the papers this morning? Does he think that is proper Government activity, or Foras Tionscal activity?
The evidence I have is to the contrary. No pressure was exercised on these people. Further, with regard to the allegation by the Deputy in this regard recently, I want to point out that the decision to go ahead with forming this company was based on a decision by the then Minister for Industry and Commerce, the late Deputy Norton, and not by Deputy Seán Lemass.
In fact, the dates would belie this. Of course, if I made any allegation last week which could be refuted by anyone, the public press is there to refute it. There has been no refutation.
The company was incorporated in 1956; the decision to set it up was made in 1955.
What was the State investment in 1956 compared with the subsequent investment in 1960 and 1963?
The Deputy's suggestion was that Deputy Seán Lemass was pressurising companies into taking shares in Galway Textiles.
Will the Minister answer Deputy Cosgrave's question?
What was the State investment in 1956, and what was it subsequently in 1960 and 1963?
I cannot tell the Deputy that offhand. I indicated previously that the investment was substantially increased when the Industrial Credit Company took over the shares of the Irish companies, which was about 1963.
I want to repeat my allegation and say that 1957 had come and passed, and anyone who likes can refute that outside this House.
69.
asked the Minister for Industry and Commerce the losses suffered by investors and persons or companies during the life of Galway Textile Printers, Limited.
70.
asked the Minister for Industry and Commerce the capital sum on purchase represented by the plant (a) for the older system of printing and (b) for the newer system of printing at Galway Textile Printers Limited; the rated production capacity per year of each plant in terms of volume; and the production in the same units of volume in the last year for which there are figures.
With your permission, a Cheann Comhairle, I propose to take Questions Nos. 69 and 70 together.
The reply to the first part of Question No. 69 is (a) £404,621 and (b) £459,363. The rated production capacity of the plant used in the older and newer systems of printing by Galway Textile Printers was approximately three to four million linear yards and 20 to 25 million linear yards respectively. Production for the year 1966 amounted to 7,817,519 linear yards.
Apart from sums contributed from public funds, I could not, without revealing the business affairs of private concerns, state what losses were suffered by investors in Galway Textile Printers. In so far as amounts paid out of public funds to Galway Textile Printers are concerned, I would refer the Deputy to the replies given by me and the Minister for Finance on 3rd May, 1967, to questions about the firm.
The Minister has not given me the capital sum on purchase represented by old plant and new.
Yes, I have.