Ms Tara Coogan:

The Deputy asked about the remedies and protections available in company law. In the interests of time, it might be helpful if we forward a briefing note on that through the Chair. That could be shared with all the committee members. I will give the committee a flavour of some of the available remedies.

There are provisions under the Companies Act 2014 whereby the corporate veil can be lifted. If two corporate entities are involved, it is possible to look into the affairs of a second company in certain circumstances, provided the test outlined in the Act can be met. There is also a provision allowing for the pooling of assets of related companies. Again, very stringent tests are associated with these. We have to accept that while many people look at overall structures, distinct companies are separate legal persons. Those matters have to be addressed.

There are also mechanisms that allow a liquidator to look back over the two-year period prior to the insolvency to see if there have been any inappropriate transfers of assets, payments that do not ring true, etc. Those transfers can be recovered. The other day the committee discussed cases where there has been a fraudulent effect. Those provisions are in place. They are quite extensive so I will prepare a note on them.

I am very mindful of the fact that a specific case is involved so I will speak about litigation in very general terms. This is a matter for our colleagues in the Department of Social Protection. It is important that the committee appreciates that while payouts to insured workers are always honoured in the context of insolvencies, companies sometimes undergo restructuring where voluntary redundancies arise but they are genuinely struggling to meet their statutory entitlements. The Social Insurance Fund can be relied upon in those circumstances. It must be understood that in Ireland we honour employees' statutory entitlements. I will not say generous because that is not appropriate but we make quite extensive payments in certain circumstances.

There is also a duty in certain circumstances because a liquidation is an ongoing process. We are not 100% clear on what the situation in a given company is. At the end of a liquidation, if it appears that assets are available or contributions could have been made, our colleagues will go after that company and try to recover certain assets for the Social Insurance Fund. When the Minister steps in and makes redundancy payments, he or she becomes a creditor and is entitled under the Companies Act 2014 to seek certain remedies in insolvencies. I hope that answers the Deputy's question.