The Oireachtas Public Accounts Committee has heard a €200,000 pension lump sum paid to a former CEO of the Central Remedial Clinic came from the Friends and Supporters of the CRC.
Asked how he felt about the funding, Paul Kiely said he had "qualms about everything to do about this" but there were also pension entitlement issues.
Mr Kiely confirmed in the afternoon session that the lump sum was tax-free.
Chairman of the CRC Jim Nugent told the committee he would call a board meeting "in light of the discussion we have had today".
Mr Nugent said the organisation was contractually bound to pay salaries that were in excess of Health Service Executive levels.
He said the CRC had presented these arrangements at a meeting in July 2009.
David Martin, a director who was at that meeting with another former CEO, Des Peelo, said the HSE agreed that the CRC was to pay the shortfall to those with "legacy contracts" who had been receiving pay in excess of HSE levels.
Mr Martin said it was also agreed that when such employees left, their replacements would receive a salary discussed and agreed with the HSE.
Former CEO Brian Conlan, who resigned earlier this week, is not in attendance at the committee.
PAC Chairman John McGuinness asked Mr Nugent why Mr Conlan was not present, adding: "Perhaps you can enlighten us as to why he resigned?"
Mr Nugent said that "since he resigned last week, we have no authority over his decision".
"We have no way of compelling him to appear," he added.
Mr Nugent said he believed Mr Conlan thought there was a great intrusion on his personal life and that he would prefer to resign, given that he was only in the position of chief executive for a short period of time.
In a statement a spokesman said Mr Conlan had reimbursed the CRC for payments made in excess of the HSE pay scale and denied that this amounted to €40,000.
He said: "During his five month tenure, the chief executive's pay was set in excess of the HSE's pay scales for just three months.
"Mr Conlan has given a cheque payable to the CRC for the purpose of reimbursing the value of the net salary he received in excess of the HSE pay scale."
He said Mr Conlan understood that his salary was funded entirely by the HSE.
"He would not have agreed to being paid monies sourced from charitable public donations," the spokesman.
Salaries and pensions under scrutiny
Independent Senator Shane Ross questioned the movement of €3m from the Friends and Supporters of the CRC to the CRC in the middle of last year to help fund pensions at the clinic.
He said it was "staggering" that lotteries and private funding was going to pay pensions and that the CRC was giving "two fingers to the HSE".
In response, Mr Nugent said he had the height of respect for the HSE and the taxpayer.
Mr Kiely said around 70 people would have been affected by any deficit in the pension fund, but he acknowledged that he was the largest beneficiary.
He confirmed that he was secretary of both the CRC and the Friends and Supporters company when the transfer was made.
Mr Nugent was also on the board of both companies.
He said the Friends and Supporters company was a stand-alone company, but did have a crossover of directors.
Mr Nugent said they had been looking at the issue of that crossover in recent times and had identified some independent people to come on to that board.
Mr Ross said the board had been protecting Mr Kiely and other people at the expense of the "Friends".
Mr Nugent rejected this and said 70 people had to be protected in the context of their pensionable rights.
Mr Kiely was also asked about an increase in staff, and resulting staff costs, between 2011 and 2012.
He was asked how the CRC appeared to have more staff at a time of cutbacks, which amounted in an increase in staff costs of 7% per head.
Mr Kiely said he did not have information to hand, but the difference may be explained by the "transition of employees coming and going".
HSE wrote nine times to CRC over recruitment process
It has emerged that the HSE wrote to the CRC on nine separate occasions this year expressing concern over the recruitment process undertaken to hire Mr Conlan as chief executive.
In letters seen by RTÉ News, it said the consideration of a former board member's application within an internal process was "highly irregular".
A letter sent on 26 June to Mr Nugent ordered the clinic to stop the recruitment process with immediate effect.
In July and August of this year, the HSE issued two formal warnings over the appointment process.
It also threatened to withhold funding from the CRC.
In another statement, Mr Conlan said his annual salary came entirely from HSE funding.
He said he was aware the HSE had taken issue with the size of the salary and asked the CRC board to reduce his payment.
"The Board agreed and the revised pay scale came into effect from 1 October last.
"I have reimbursed the HSE for the value of the net salary I received in excess of their guidelines between July and September", Mr Conlan said.
CRC parents express disappointment
A parent of a child who uses the services of the CRC has said families are horrified and disgusted at the controversy over top-up payments.
Ciara Nagle said there is a huge sense of disappointment and disgust from parents and staff at the facility and said she is very worried about the impact on services in the wake of the controversy.
She added that the facility's "Santa Bear" fundraising campaign has been badly affected.
"Santa Bears are being sent back from schools and shops because they can't sell them. It is detrimental to fundraising," she said.
Anda sedang membaca artikel tentang
Former CRC chief received €200,000 pension payout
Dengan url
http://newsdeadlineup.blogspot.com/2013/12/former-crc-chief-received-a200000.html
Anda boleh menyebar luaskannya atau mengcopy paste-nya
Former CRC chief received €200,000 pension payout
namun jangan lupa untuk meletakkan link
Former CRC chief received €200,000 pension payout
sebagai sumbernya
0 komentar:
Posting Komentar