Vol. 352 No. 5
asked the Minister for Industry, Trade, Commerce and Tourism if any representations were made to his Department proposing expenditure or recommendations to stop expenditure in relation to a firm (details supplied) in County Kerry, if there were any such representations, if he will give dates of these representations, and if he will make a statement on the allocation of public monies to the firm.
348.
asked the Minister for Industry, Trade, Commerce and Tourism the present position regarding the factory at Killorglin, County Kerry, previously operated by a person (details supplied) which is now closed; if he will make a statement setting out the circumstances of the closure, the steps that are being taken to provide alternative employment for the employees who are now redundant; and if he will make a statement on the matter.
I propose to take Questions Nos. 347 and 348 together.
Deputy Begley made written representations to me on 12 April last conveying concern about the future of this company and requesting that the IDA should carry out a thorough examination of the company prior to the payment of any money. On receipt of these representations, my Department requested the IDA to investigate the matter.
The IDA has informed me that it had been concerned for some time about the performance of this firm. In March 1984 the IDA commissioned independent consultants to carry out a detailed study and to report on the company's future viability. The consultant's report, which became available in mid-April 1984 recommended the implementation of a number of measures which were designed to strengthen management financial controls and to improve labour skills. I understand that early in May the company agreed to implement these recommendations without delay. However, serious financial and other difficulties resulted in the closure of the factory on 22 May. I very much regret the loss of employment which has occurred and the lack of notice of closure.
Grant payments totalling IR£65,396 were made by the IDA to this firm; these comprised £58,196 in grants towards the cost of training workers and a rent subsidy grant of IR£7,200. All grant payments were made on submission of fully certified and documented expenditure by the company's auditors.
The IDA has been having discussions with the Dutch promoters of this company with a view to finding a solution to the problems which have arisen in this case but it would be premature for me to comment on the likely outcome.
