Dáil Éireann Debate, Tuesday - 14 May 2019
73. Deputy Maurice Quinlivan asked the Minister for Business, Enterprise and Innovation if she has provided the Office of the Director of Corporate Enforcement with additional resources to account for the two new high-profile investigations the office is now conducting; if she will publish the report on the failings of the ODCE investigation into a person (details supplied); and if she will make a statement on the matter. [20601/19]
Amharc ar fhreagraSince the appointment of the current Director, the Office of the Director of Corporate Enforcement (ODCE) has been engaged in a process of organisational reform to ensure that the organisation is suitably equipped to discharge its mandate in an effective manner. Steps taken in that regard over recent years have included the recruitment of a number of specialist staff to enhance key skills and organisational capability. Such recruitment has included Forensic Accountants; a Digital Forensic Specialist; 2 Enforcement Lawyers and 2 Enforcement Portfolio Managers. The provision of additional resources has included the establishment of an in-house digital forensics laboratory, including an on-site digital forensics capability whereby data retrieved from digital devices can be relayed to investigators in real time.
An additional €1m was provided for the ODCE in 2019 to reflect the likely costs associated with the transition of the ODCE into a stand-alone Agency and to meet the costs of the INM investigation. A funding allocation of €6.057m has been provided for the ODCE for 2019.
The issue of resourcing of the ODCE is kept under review on a regular basis between my officials and the ODCE as part of the ongoing work in operationalising the transition of the ODCE to a stand-alone agency and also as part of the normal day-to-day interaction to discuss operational matters relating to the Office.
On the question of the publication of the report, the advice of the Attorney General was sought on the publication of the Report of the Director of Corporate Enforcement (ODCE) prepared under section 955(1)(a) of the Companies Act 2014.
Because of section 956 of the Companies Act 2014 the Minister for Business, Enterprise and Innovation is prohibited from publishing reports prepared pursuant to Section 955 of the Act.
The Companies Act 2014 contains strict confidentiality obligations on information in the possession of the Director. This is because there is a public interest in ensuring that ongoing and future investigations are not compromised by the disclosure of details of an individual investigation and the investigative process itself.
However, while it is not possible to publish the report itself, an account of the investigative shortcomings identified by Judge Aylmer, in so far as they relate directly to the role of the ODCE, was published on 4 December 2018 on the website of my Department. The account sets out the factors which led to the investigative shortcomings, including the need for a broader skills base, a greater range and depth of knowledge and experience of criminal prosecutions within the Office and a greater appreciation of the necessity to employ appropriate procedures and manage risk.
Since the time of the investigation, the Director has implemented multiple reforms within the ODCE, including staffing and procedural reforms that address many of the issues that led to the investigative shortcomings outlined by Judge Aylmer. Further measures to be taken include the establishment, as announced by Government in November 2017, of the Office of the Director of Corporate Enforcement as an agency, to provide it with greater autonomy in relation to staffing resources and ensure it is better equipped to investigate increasingly complex breaches of company law.
The General Scheme of a Bill to establish the ODCE as an Agency was published on my Department’s website on 4 December 2018. The General Scheme is currently subject to pre-legislative scrutiny by the Oireachtas Joint Committee on Business, Enterprise and Innovation.
