Oireachtas Joint and Select Committees
Thursday, 29 June 2023
Public Accounts Committee
Appropriation and Expenditure of Public Moneys by RTÉ: Discussion
9:30 am
Brian Stanley (Laois-Offaly, Sinn Fein)
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I welcome the witnesses to the meeting this afternoon. I remind all those in attendance to make sure their mobile phones are on silent or switched off. Before we start, I wish to explain some limitations to parliamentary privilege, and the practice of the Houses as regards references witnesses may make to other persons in their evidence. The evidence of witnesses physically present or who give evidence from within the parliamentary precincts is protected, pursuant to both the Constitution and statute, by absolute privilege. This means that the witnesses have an absolute defence against any defamation action for anything they say at the meeting. However, witnesses are expected not to abuse this privilege and it is my duty as Cathaoirleach to ensure it is not abused. Therefore, if the witnesses' statements are potentially defamatory in relation to an identifiable person or entity, they will be directed to discontinue their remarks. It is imperative that they comply with any such direction.
A number of witnesses today are giving their evidence remotely from a place outside the parliamentary precincts. As such, they may not benefit from the same level of immunity from legal proceedings. Those witnesses have been advised of this and may think it appropriate to take legal advice on the matter.
Witnesses participating in this committee session from a jurisdiction outside the State will have already been advised that they should be mindful of their domestic law and how it may apply to the evidence they give. Their decision on whether they take legal advice on the evidence they propose to give should also be informed by this.
Witnesses are reminded of the long-standing parliamentary practice that they should not comment on, criticise, or make charges against any person or entity by name or in such a way as to make him or her identifiable or otherwise to engage in speech that might be regarded as damaging to the good name of a person or entity. Therefore, if their statements are potentially defamatory in relation to an identifiable person or entity, they will be directed to discontinue their remarks. It is imperative that they comply.
Members are reminded of the provisions within Standing Order 218 that the committee shall refrain from inquiring into the merits of a policy or policies of the Government, or a Minister of the Government, or the merits of the objectives of such policies. Members are also reminded of the long-standing parliamentary practice that they should not comment on, criticise or make charges against a person outside the Houses or an official either by name or in such a way as to make him or her identifiable.
This afternoon we are joined by the Comptroller and Auditor General, Mr. Seamus McCarthy, who is a permanent witness to the committee. He is accompanied by Mr. Andrew Harkness, director of audit at the Office of the Comptroller and Auditor General.
This afternoon we are engaging with RTÉ and the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media to examine matters relating to the appropriation of public moneys to RTÉ and the expenditure by RTÉ of such public moneys. Additionally the committee wishes to discuss commercial arrangements entered into by RTÉ and its presenters, including those underwritten by RTÉ which have impacted on and relate to the expenditure of public moneys. These matters for discussion have arisen in the context of recent and ongoing revelations regarding RTÉ's payment of presenters and how this was previously presented to the Oireachtas.
The terms of reference of the Committee of Public Accounts have been extended to give us increased powers to examine these issues. We have also been given powers of compatibility to invite people who are not here today. I want to put members and witnesses on notice that the committee has agreed to ask Ms Dee Forbes to attend when it is medically appropriate for her to do so. In the near future we will seek the go-ahead for this through the Committee on Parliamentary Privileges and Oversight of the Houses of the Oireachtas. We wish Ms Forbes well and we wish her a speedy recovery.
RTÉ and the Department have been advised of the areas of focus for the committee. These are the appropriation of public moneys by the Department to RTÉ and the oversight of same by the Department; payment to RTÉ presenters, specifically from 2017 to date, and how these payments were accounted for in the RTÉ accounts; the oversight mechanisms for such payments, in particular but not limited to payments to Ryan Tubridy; the process relating to the cost-neutral nature of the Renault agreement, including the persons responsible for signing off on it; the specifics of what led to the agreement to underwrite the commercial arrangement with Renault and Ryan Tubridy, and the details of the RTÉ policy relating to such underwriting of these agreements, RTÉ's policy regarding the operation of barter accounts, why they are used and what oversight there is in RTÉ regarding such accounts; and the discrepancies between previous assurances given to the Committee of Public Accounts by RTÉ on matters which are now in the public domain.
We have a long list of witnesses. We are joined by Mr. Adrian Lynch, interim deputy director general; Ms Geraldine O'Leary, director of commercial; Ms Paula Mullooly, director of legal affairs; Mr. Rory Coveney, director of strategy; Mr. Richard Collins, chief financial officer; Ms Siún Ní Raghallaigh, chairperson of the board; Ms Anne O'Leary, chair of the audit and risk committee; and Mr. Robert Shortt, member of the audit and risk committee and RTÉ staff representative on the board.
We are also joined by Dr. PJ Matthews, RTÉ board member, via Microsoft Teams. I understand that Dr. Matthews would have been on the board over the past five or six years. We are also joined by the following individuals from RTÉ: Ms Moya Doherty, the former chairperson of the RTÉ board; and Mr. Willie O'Reilly, former director of commercial at RTÉ, who is joining us via Microsoft Teams. We are joined by the following representatives from the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media: Ms Katherine Licken, Secretary General; and Ms Tríona Quill, assistant secretary, broadcasting and media. We are ready to start so I ask Ms Ní Raghallaigh to make her opening statement.
Ms Si?n N? Raghallaigh:
Gabhaim buíochas leis an gCathaoirleach agus leis na baill as an deis labhairt leo. At the outset, I reiterate our profound regret regarding what has emerged in recent days. We know that RTÉ fell far short of the standards expected of us as an organisation. We know this represents an egregious breach of trust with the public, for which we apologise.
I am particularly aware of the remit of the Committee of Public Accounts in ensuring accountability and transparency in how public bodies like RTÉ allocate, spend and manage their finances. The committee is charged with ensuring that the taxpayer receives value for money for every euro spent by such bodies. Given the committee's mission of guardianship of the public purse, the failures that have come to light on RTÉ's part must be truly shocking to it, as they are to me. That was a breach of trust with the elected members of the Committee of Public Accounts, which has a central role in Irish public life, and this is something for which we sincerely apologise. We are completely committed to rebuilding trust with the committee and with other public representatives. This is the least we can do.
We also welcome the role that the Committee of Public Accounts has been afforded to examine expenditure by RTÉ and we will work closely with the committee in this regard. As a trained accountant and a former financial controller, I am appalled as to how payments were recorded and presented in the RTÉ accounts. What was the motivation here? It appears to me that this was an act designed to deceive. The forthcoming external Government review will look at matters of culture and governance, and this is welcome, but in the short term that is not enough. Every day that passes further erodes confidence in an institution that is a cornerstone of this State. The RTÉ board is the governing authority of RTÉ and the role of the board is to guide the corporate direction and strategy of RTÉ and represent the interests of viewers, listeners and staff, ensuring that RTÉ fulfils its statutory responsibilities in an efficient and effective manner.
We work independently of the executive board. As such the board of RTÉ is taking a lead in driving the following five objectives, supported by outside expertise as required. First is establishing the facts. From the moment the board was informed of a potential problem, we have worked to establish the facts. Within days of receiving the first Grant Thornton report, we published the details. We have since published the first Grant Thornton report and we commit to publishing the second Grant Thornton report as soon as possible. Accountants from Grant Thornton are currently on site in RTÉ. The board and I would also urge Dee Forbes to appear before this committee when she is able to do so.
Second is cultural transformation. Yesterday at the Oireachtas Joint Committee on Tourism, Culture, Arts, Sport and Media, I stated that in an organisation culture comes from the top down. The culture of an organisation permeates its leadership and decision-making processes. RTÉ produces excellent journalism and creative content but specific cultural issues around information silos and domineering hierarchies that shun transparency and foster bureaucracy are all too evident. The board will lead on addressing this.
Third is internal controls. This series of events has revealed grave failings in internal controls at RTÉ. Nothing less than an overhaul of such controls and work practices will suffice, and the board will oversee this process. Fourth is examining how RTÉ spends its money. We need to stand back and examine how RTÉ manages its money. This should start with a review of the highest-paid in the organisation. We will also look at those areas in which expenditure can be strengthened in pursuit of public service broadcasting, such as RTÉ’s digital capabilities. Fifth is the future strategy. The crisis has placed RTÉ in a dangerous place. The board, working with the organisation, will map out a future strategy to bring this organisation to a safer haven, an organisation that delivers the best in public service broadcasting, trusted by the public and employees alike. We need to strike that careful balance in achieving an organisation that can blend the agility needed to provide a public broadcasting service in an ever-changing market, while also having the controls and governance standards of an entity funded by the taxpayer.
I want to say something about the use of the word "talent". Words matter and the term, as it is currently used, reinforces a "them and us" culture in RTÉ. It implies some have greater worth than others. The first step in cultural change is to consign this term to the dustbin. I wish to restate the fact that more than 1,800 people work for RTÉ and I apologise to each and every one of them for the distress they are experiencing. Together we have a job of work to do to restore their confidence.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I understand that Mr. Lynch wishes to make a brief statement.
Mr. Adrian Lynch:
As interim deputy director general of RTÉ I concede that as an executive we failed in our collective responsibility around the events leading to the misstatement of payments to Ryan Tubridy. I wish to state again our deep regret for what has emerged in recent days. For this serious breach of trust with the public, we apologise. It is a fact that the application of Government procedures at an executive board level allowed for the partial and incomplete sharing of information so that individual members of the executive either did not have access to information or had information withheld from them. It is true that the executive board failed in its collective responsibility to act as a collective and failed to ensure good governance in this matter. Collectively, owing to the silent style of the procedures at the executive and an over-reliance on the prerogative asserted by the director general, we did not receive a comprehensive evaluation of Ryan Tubridy’s contract in full, including the way in which the payments were to be treated. We acknowledge and accept this failure, specifically by those members of the executive who were aware of the contract. I have spoken to Kevin Bakhurst last night and I understand from him that his first task when he begins on 10 July will be a complete reconstitution of the executive board of RTÉ.
Ms Katherine Licken:
Gabhaim buíochas leis an gCathaoirleach agus le comhaltaí an choiste as an deis a thabhairt dom an ráiteas seo a dhéanamh. Public service broadcasting, as has been reiterated on numerous occasions in the last week, plays a critical role in informing, educating and entertaining the public. Critically also, it holds to account those in positions of responsibility and power. It is also frequently at the forefront in tackling misinformation. That is why, as the Minister, Deputy Catherine Martin, and her colleagues in government have repeatedly emphasised over the past week, there is a need for RTÉ to show appropriate leadership and give a full account of all of the circumstances that led to the making of these payments and the understatement of earnings.
The Department is working intensively to support the Minister in ensuring that the governance structures and culture that enabled this issue to arise, are comprehensively addressed. In that regard, the Department and the Minister are engaging with RTÉ on the steps it is taking to deal with the matter in order to provide full clarification on all aspects of these transactions, including the timely completion of the Grant Thornton review into the payments between 2017 and 2019.
The Department is also working intensively with the Minister on the development of the terms of reference of the external review into governance and culture at RTÉ, which the Minister announced in recent days. This review will focus on whether RTÉ's governance framework is fit for purpose and in line with best governance practice in commercial Stater bodies, taking account of broadcasting legislation, the requirements of the code of practice for the governance of State bodies and the findings from the various Grant Thornton reviews commissioned by RTÉ. The review will also consider RTÉ's organisational culture, the impact that culture has had on levels of trust, governance, transparency and communications, and what changes should be made. As part of this process, the Department is supporting the Minister in her engagement with key stakeholders, including representatives from the National Union of Journalists and Screen Producers Ireland, with whom we met yesterday. The details of the terms of reference are currently being finalised and will be published once they are approved by the Government.
As I have said, public service broadcasting is critical to the proper functioning of our society. RTÉ plays a central role in that regard. It is in the interests of us all that the issues at RTÉ are addressed in a comprehensive and effective manner. As the Minister has stated, the organisation has been badly damaged by the revelations over the past week. It is vital that public confidence in RTÉ is restored. I thank the committee for allowing me to make this statement. I am happy to answer any questions members have.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank Ms Licken. I will now take questions from members, starting with Deputy O'Connor. He has 15 minutes, with all other speakers having ten minutes each.
James O'Connor (Cork East, Fianna Fail)
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We all stand in solidarity with the ordinary workers in RTÉ, recognising how disappointed and let down they all are. That has been acknowledged here today but, ultimately, this is about responsibility and accountability. That is what we need to get to the bottom of today.
There are a number of points in the opening statement by the chairperson that contradict what has gone on within the organisation over the past number of years. The chairperson is not alone in that. She is joined by the former chairperson. It is an inescapable fact that the issues have been going on for some years. We need to speak to the former director general when she is in a state to speak to us. We acknowledge that she is unwell and wish her well in her recovery. It is imperative that such engagement happens. In the engagement at yesterday's meeting of the joint committee, significant blame was laid at that particular door. We are unable at this time to get answers to the questions that have been raised but we will do so when the opportunity arises.
In terms of rebuilding public confidence, the first question I have for Ms Ní Raghallaigh relates to the pay of the executive board of RTÉ. Is that something she will look at? Can she furnish the committee with details of the earnings of each member of the board in time for next week's meeting?
Ms Si?n N? Raghallaigh:
As I said, one of the first things we are looking at is the salaries of, and payments to, the top earners in RTÉ, which would include members of the executive board. In terms of publishing those figures, it certainly is something we are considering to be done. It was discussed yesterday at the joint Oireachtas committee.
James O'Connor (Cork East, Fianna Fail)
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It is not enough to consider doing it. The figures need to be published in full. Nothing else, frankly, is going to rebuild the public's trust in Ms Ní Raghallaigh's organisation. We need to know precisely how much money each member of the board has earned. In addition, details of the top 100 earners within the organisation should be made public. That is absolutely imperative.
James O'Connor (Cork East, Fianna Fail)
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Ms Ní Raghallaigh intends to do that.
James O'Connor (Cork East, Fianna Fail)
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Does she have a timeline for the implementation of such a decision and when the public and this committee will be made aware of it?
James O'Connor (Cork East, Fianna Fail)
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We welcome that decision. We have arrived at this position as a consequence of the €350,000 in additional non-declared payment made to Mr. Tubridy between 2017 and 2022. We need to get to the bottom of how those arrangements were negotiated. Who were the participants in those negotiations? I understand these decisions were taken by the director general. Are there other members of the executive committee who participated in such negotiations who are present here today?
James O'Connor (Cork East, Fianna Fail)
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Will Ms Ní Raghallaigh identify them?
Ms Si?n N? Raghallaigh:
They would not necessarily have all the information. Mr. Lynch would have had some of the information. There are people who are not here who would have had the information. The director of content would have had some of the information. The chief financial officer, Mr. Collins, would have had some of the information. Ms O'Leary-----
James O'Connor (Cork East, Fianna Fail)
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Does Ms Ní Raghallaigh not see even from her reply to my question, which is quite a simple question, just how much of a mess has been created from a governance perspective?
James O'Connor (Cork East, Fianna Fail)
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Is it correct that the Renault deal first came into being in 1998?
Ms Geraldine O'Leary:
Renault had an ongoing sponsorship arrangement with RTÉ's commercial division. The first connection with RTÉ and any talent contract or any commercial client with a talent contract was at the end of February 2020, when I was advised by the then CFO that the contract negotiations with Ryan Tubridy were finishing, were being put in place for the following four to five years - it changed but it was four at the time - that there was going to be a commercial element and that they would talk to me about it. I was not brought in when the contract was being done. I subsequently was advised by the director general that the idea behind the commercial deal was that I would talk to the sponsor about including some personal appearances by Ryan Tubridy as part of the overall Renault relationship with RTÉ.
James O'Connor (Cork East, Fianna Fail)
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Is Mr. Tubridy the only presenter within RTÉ that was receiving money as a consequence of Renault's deals with the organisation?
James O'Connor (Cork East, Fianna Fail)
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He was the only person?
James O'Connor (Cork East, Fianna Fail)
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No previous presenters involved in any RTÉ shows were benefactors of that?
James O'Connor (Cork East, Fianna Fail)
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Let us proceed to the decision, when that deal come to a conclusion, whereby RTÉ subsequently stepped forward to supplement Mr. Tubridy's salary by way of a very confidential arrangement. That is probably the most politically correct phrase I could use. Does Ms O'Leary believe that was appropriate?
James O'Connor (Cork East, Fianna Fail)
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For the public's knowledge, what was the amount of money in year one?
James O'Connor (Cork East, Fianna Fail)
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I am going to ask Ms O'Leary again the question I already asked. Does she think what happened following on from that, whereby RTÉ stepped in with a confidential arrangement involving figures that were not made public, was appropriate?
James O'Connor (Cork East, Fianna Fail)
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To be fair, I am not asking Ms O'Leary whether she was aware of that. I am asking whether she thinks this was an appropriate arrangement.
James O'Connor (Cork East, Fianna Fail)
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It is good to know that. Going back to Ms Ní Raghallaigh, who was aware of the figures? She said there are people in this room who would have had some knowledge of what went on.
Mr. Adrian Lynch:
I can answer that. Typically, how talent contracts are negotiated is that they are led by the CFO, with input from legal. Then, regarding the hours and services provided, I would input into that. In terms of talent choices, the director of content would input into that. In terms of Ryan Tubridy's deal and who was aware of it, regarding the terms of the deal and how much he would be paid, the director of content, the CFO, legal, the director general and I would be the people who would be aware.
James O'Connor (Cork East, Fianna Fail)
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Does Mr. Lynch feel he has misled the public in a very underhand way that has had massive repercussions for the reputation of the organisation and the individuals involved, including the fact the director general is now gone? What does he think of what has been achieved?
Mr. Adrian Lynch:
The information I was provided with was that there was going to be a sponsorship arrangement whereby Ryan Tubridy would be paid if it was enacted and then there was his standard contract. Things progressed and then, obviously, there was a further commercial undertaking given that if the sponsorship contract was not enacted, RTÉ would underwrite the contract. If the Deputy remembers, that was during the Covid period and it was very difficult to enact the sponsorships.
James O'Connor (Cork East, Fianna Fail)
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Half the country's employment positions were potentially impacted by the Covid-19 pandemic. I do not need to lecture anybody here about how difficult that was for everybody, no matter what role in Irish society they occupied from an employment perspective. RTÉ saw fit, in the middle of a pandemic, to contrive some type of scheme in order to maintain the pay - privately, in unpublished figures - of someone who was already one of the biggest earners in the organisation.
James O'Connor (Cork East, Fianna Fail)
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It is all well and good to say that now, but why did RTÉ not do that originally?
James O'Connor (Cork East, Fianna Fail)
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Obviously, they could not proceed on account of Covid-19. Is that correct?
James O'Connor (Cork East, Fianna Fail)
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So RTÉ came in with the public purse and filled in the gap. That is what happened.
James O'Connor (Cork East, Fianna Fail)
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That is appalling.
James O'Connor (Cork East, Fianna Fail)
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Who had?
Mr. Adrian Lynch:
I have looked at the correspondence and spoken to each individual executive board member over the past seven days, since this blew up. From what I can see, there was a commercial decision made on 7 May 2020 between the director general and NK Management that this contract would be underwritten. That is the only evidence I can see of a commitment. That was given then, and that commitment-----
James O'Connor (Cork East, Fianna Fail)
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I will ask the witnesses the question again. Who among the organisation and the employees of RTÉ was aware?
James O'Connor (Cork East, Fianna Fail)
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Does Mr. Coveney sit in on meetings with the director general when there are negotiations in relation to the pay of RTÉ's top stars?
James O'Connor (Cork East, Fianna Fail)
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In terms of the commercial activity relating to RTÉ, Mr. Coveney would have had a significant lead on a number of projects undertaken by the organisation. Is that not correct?
James O'Connor (Cork East, Fianna Fail)
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Questions were put to RTÉ yesterday by the Chairperson of the Joint Committee on Tourism, Culture, Arts, Sport and Media, Deputy Niamh Smyth, about the figures around the profitability of a commercial undertaking by RTÉ, namely "Toy Show The Musical". Can the witnesses give us the figures as to how profitable that undertaking was?
James O'Connor (Cork East, Fianna Fail)
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I watched yesterday's proceedings. The witnesses did not share such information.
James O'Connor (Cork East, Fianna Fail)
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What was the outcome of that?
James O'Connor (Cork East, Fianna Fail)
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Are you in a position to inform us what the losses were?
James O'Connor (Cork East, Fianna Fail)
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When will you be able to do so?
James O'Connor (Cork East, Fianna Fail)
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My understanding is that it was an unmitigated disaster. Is that accurate?
Mr. Rory Coveney:
It was not successful, but it was always envisaged to be a multi-annual project. We have decided not to proceed with it this year. We are looking at other options for it into the future and we do not want to compromise our capacity to negotiate with third parties in relation to those arrangements in the future.
James O'Connor (Cork East, Fianna Fail)
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When it comes to accountability for money that is squandered within RTÉ, do the witnesses accept, on foot of the information that has come to light, that the structures of payment within the organisation are nowhere near fit for purpose? Look at the number of agency staff being employed, the key stars, the highest earners and the power Mr. Kelly had over RTÉ as an organisation. What stopped RTÉ from saying to the individuals involved that this was probably not tenable to continue with and that it wanted to fill its prime slots with people who have full-time roles and are hired within RTÉ's structure itself rather than allowing these agents to have such bartering power?
James O'Connor (Cork East, Fianna Fail)
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Did the board of RTÉ never have this conversation? How did we get to this position where, ultimately, a PR catastrophe is the cause of our now having this conversation? Did the executive board of RTÉ not recognise before now that one individual had pretty much godlike power when it came to the presenters who were being allowed airtime on our most significant broadcaster?
James O'Connor (Cork East, Fianna Fail)
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What is RTÉ going to do going forward from here?
Ms Si?n N? Raghallaigh:
That is what I am talking about. I called out the five pillars: reviewing the internal controls; establishing the facts, which we have done, and the audit and risk committee has a role in that regard; cultural transformation; examining how the money is spent, and under that one would be looking at items such as those that have been raised here today, and-----
James O'Connor (Cork East, Fianna Fail)
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I must ask about the Grant Thornton report currently being prepared by the RTÉ board for the audit and risk committee. This is an ongoing mess, and more information is coming to light with each day that goes by. Does RTÉ have the scope to allow for the extension of that report to include information that may come to light in the coming weeks?
James O'Connor (Cork East, Fianna Fail)
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Yes. The second report.
James O'Connor (Cork East, Fianna Fail)
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That is fine. The time is limited.
Ms Anne O'Leary:
Just in order that members are all aware, they have to remember that this was all initiated when the auditor, Deloitte, came to me and said there was a problem. We had a look at the problem and came back. The auditor said he was unhappy and he advised me to get forensic accountants in. As a result we immediately went to Grant Thornton and started this process and then gave the report. This is an example of the board and the audit and risk committee actually doing their job. We have now extended the terms of reference, and when they finish this one we have another job of work for them to do. So the answer to the Deputy's question is "Yes". We will extend the terms of reference of the Grant Thornton team.
James O'Connor (Cork East, Fianna Fail)
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In conclusion, I think that on foot of the-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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Very briefly.
James O'Connor (Cork East, Fianna Fail)
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Yes, very briefly, and it is a conclusion. On foot of what that Taoiseach has said this afternoon and what the Chairperson of the media committee, Deputy Niamh Smyth, said yesterday, it is important now, given all this information and the lack of information the witnesses are able to provide in answer to the questions, that Ryan Tubridy be invited to appear before this committee as well as Mr. Kelly.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I call Deputy Munster.
Imelda Munster (Louth, Sinn Fein)
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My first question is for Mr. Collins. He was asked yesterday if he was aware of the problem with the invoices and he said no. About an hour later into the meeting the committee got the truth from him that he was actually aware of the issue in early March. He had previously said he was not aware of it before 17 March. He said that Deloitte had spoken to him, had flagged up concerns and was seeking an explanation, and that he spoke to the director general following that and then was to get back to Deloitte. Can he tell us what the conversation with the director general was and what she actually told him about the invoices? What explanation did she give?
Mr. Richard Collins:
Sure. On 7 March Deloitte approached me, which would be normal. I would not be involved in the detail of the audit, but at the end of the audit if there were issues outstanding, they would approach me. They raised the issue of these invoices there and they asked me what they were for. I undertook then to speak to the director general about them. I asked the director general what they were for. She told me they were consultancy invoices relating to Noel Kelly Management and I relayed that back to Deloitte.
Imelda Munster (Louth, Sinn Fein)
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When she said they were consultancy invoices relating to Noel Kelly-----
Imelda Munster (Louth, Sinn Fein)
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Mr. Collins asked what those services were.
Imelda Munster (Louth, Sinn Fein)
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What did she say?
Imelda Munster (Louth, Sinn Fein)
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Noel Kelly-----
Imelda Munster (Louth, Sinn Fein)
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-----was giving RTÉ advice.
Imelda Munster (Louth, Sinn Fein)
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In what capacity?
Imelda Munster (Louth, Sinn Fein)
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Mr. Collins is being a bit vague.
Imelda Munster (Louth, Sinn Fein)
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I just want Mr. Collins to explain that because Noel Kelly was advising RTÉ on how to deal with agents during Covid-----
Imelda Munster (Louth, Sinn Fein)
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And he was getting a €75,000 fee for that. What advice did he give?
Imelda Munster (Louth, Sinn Fein)
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Oh, right, so Mr. Collins did not ask-----
Imelda Munster (Louth, Sinn Fein)
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Hold on, sorry.
Imelda Munster (Louth, Sinn Fein)
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It is not Mr. Collins but I who am confused.
Imelda Munster (Louth, Sinn Fein)
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No, it is myself who is confused. Mr. Collins is the chief finance officer and there are two payments of €75,000. Deloitte flagged concerns about these with him. He spoke to the director general and she said the payments related to Noel Kelly giving advice about agents during Covid. We will hear the detail on what exactly that entailed. Mr. Collins thought, "Okay, that is worth €150,000."
Imelda Munster (Louth, Sinn Fein)
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So, what was the advice? What did Mr. Collins learn from the €150,000-worth that he thought-----
Imelda Munster (Louth, Sinn Fein)
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It was not value for money, then, if he cannot remember it.
Imelda Munster (Louth, Sinn Fein)
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How did Mr. Collins relay that to Deloitte?
Imelda Munster (Louth, Sinn Fein)
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By email or-----
Imelda Munster (Louth, Sinn Fein)
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Verbally, right.
Imelda Munster (Louth, Sinn Fein)
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I would say so.
Imelda Munster (Louth, Sinn Fein)
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I would imagine so. Mr. Collins is saying that, at the beginning of March, he knew nothing about the fact that these were top-up payments. He knew Noel Kelly was involved in some way but did not question it enough. He took the story that the director general told him, namely that there were consultancy fees to Noel Kelly because he was giving RTÉ advice on how to manage agents during Covid. Am I correct?
Imelda Munster (Louth, Sinn Fein)
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What was it, then?
Imelda Munster (Louth, Sinn Fein)
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Ah, come on. Mr. Collins gave the nod for €150,000 and he cannot remember it.
Imelda Munster (Louth, Sinn Fein)
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But he did not ask questions as finance officer about value for money or oversight. If it was not about agents, what was it about?
Imelda Munster (Louth, Sinn Fein)
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Could Mr. Collins give just one sentence about what that entails? Was it that the executive board did not have the knowledge or expertise about-----
Mr. Richard Collins:
It was advice that the director general had received on how RTÉ structured itself and presented itself during Covid. I cannot say any more than that because I would have to consult my notes and see exactly what explanation was given but I relayed back exactly what I was told to Deloitte.
Imelda Munster (Louth, Sinn Fein)
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And then, obviously-----
Imelda Munster (Louth, Sinn Fein)
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But the auditors had flagged up a concern about the payments.
Imelda Munster (Louth, Sinn Fein)
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Mr. Collins raised it with the director general. He did not question her pretty much; he took on board what she said.
Imelda Munster (Louth, Sinn Fein)
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Yes. As chief financial officer, Mr. Collins thought it was grand and that he would tell Deloitte what the story was and go from there. That is what he is saying.
Imelda Munster (Louth, Sinn Fein)
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Yes. Would Mr. Collins say he is not effectively doing his job?
Imelda Munster (Louth, Sinn Fein)
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That Mr. Collins cannot remember.
Imelda Munster (Louth, Sinn Fein)
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It is just so ridiculous I am going to move on.
The commercial director, Ms Geraldine O'Leary, told me yesterday that she could not remember the precise detail on the headings of the invoices she raised. She could not remember whether it related to consultancy fees. I imagine she is extremely diligent. Did she check between then and now? She could not remember the exact detail.
Imelda Munster (Louth, Sinn Fein)
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But she checked that out.
Imelda Munster (Louth, Sinn Fein)
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So, who advised?
Ms Geraldine O'Leary:
What I said yesterday and what I will repeat today is that I had a number of conversations with both the director general and Noel Kelly about the raising of these invoices. I cannot remember whether it was Noel Kelly who suggested it or whether it was the director general. Rather than make an incorrect statement, I have consistently said that I do not remember because it is the truth.
Imelda Munster (Louth, Sinn Fein)
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Knowing she was coming in here today, Ms O'Leary did not check between yesterday and today to have the answer for us whether it was Noel Kelly or the director general. She knew she was coming in here. Has she notes? She had a meeting with Ryan Tubridy's agent. She had a conference call with him in March 2022 or prior to that when the raising of the invoices was suggested or discussed. Is she suggesting that, at that stage, the director general did not say why they wanted to raise the invoices and that it was a guarantee?
Imelda Munster (Louth, Sinn Fein)
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But Ms O'Leary did not seek to find the information between yesterday and today.
Ms Geraldine O'Leary:
I have been trying to find that information since March of this year. I have been through the Grant Thornton forensic accountant material and I have been 100% honest all the way through. I told Grant Thornton that I would not make a statement that I could not be 100% certain of, and that remains the case.
Imelda Munster (Louth, Sinn Fein)
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However, Ms O'Leary had that meeting with Noel Kelly.
Imelda Munster (Louth, Sinn Fein)
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A conference call.
Imelda Munster (Louth, Sinn Fein)
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Ms O'Leary knows what I mean. A conference call is a meeting. She had that. She reckons it was either Noel Kelly or the director general who advised her to put "consultancy fees" down but she did not question that or say they were not consultancy fees. During the conversation with Noel Kelly, he would have said to Ms O'Leary what the invoices were for.
Imelda Munster (Louth, Sinn Fein)
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And what did he say they were for?
Imelda Munster (Louth, Sinn Fein)
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In the conversation Ms O'Leary had with Noel Kelly when he was seeking to have the invoices raised, what did he tell her the invoices were for?
Imelda Munster (Louth, Sinn Fein)
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Now, come on, be truthful.
Imelda Munster (Louth, Sinn Fein)
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What did he tell Ms O'Leary the invoices were for?
Imelda Munster (Louth, Sinn Fein)
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Ms O'Leary was having a conversation with Noel Kelly about raising invoices but she did not know what the invoices were for.
Imelda Munster (Louth, Sinn Fein)
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Seriously.
Imelda Munster (Louth, Sinn Fein)
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So Ms O'Leary knew-----
Imelda Munster (Louth, Sinn Fein)
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She knew they were for top-up payments for Ryan Tubridy.
Imelda Munster (Louth, Sinn Fein)
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But she still went ahead with them. She did not question anything. She was raising the invoices and putting them through accounts under the heading "consultancy fees", knowing full well they were top-up payments for Ryan Tubridy.
Ms Geraldine O'Leary:
I had no idea whether there was a separate agreement. I knew in year one that Ryan Tubridy did a legitimate deal with Renault in respect of which three events happened. They happened in 2022. I knew there was nothing done through a commercial partner for these invoices but I did not know what other things Ryan Tubridy might be doing for RTÉ for that payment. That was not discussed with me.
Imelda Munster (Louth, Sinn Fein)
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Could I ask just one very short question?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Very briefly.
Imelda Munster (Louth, Sinn Fein)
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It is for Ms Mullooly in legal services. Does she have a view on any legal concerns raised owing to the creation of false invoices?
Imelda Munster (Louth, Sinn Fein)
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Is it something that could be presented as a criminal offence?
Imelda Munster (Louth, Sinn Fein)
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Could there be company law or tax law breaches?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Could I ask Mr. Collins for clarification? He was aware that the €75,000 was for NK, Noel Kelly, in respect of consultancy.
Brian Stanley (Laois-Offaly, Sinn Fein)
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And he said it was it related to services for consultancy. In a vague way, he mentioned how RTÉ dealt with agents.
Brian Stanley (Laois-Offaly, Sinn Fein)
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No, he said it related to agents. Mr. Kelly is an agent.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Just so we are clear before we move on, was Noel Kelly getting payments of €75,000, supposedly under the heading of consultancy, as an agent to help RTÉ to understand how it should deal with agents? That is the picture that is being presented.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Mr. Collins wrote the cheque and allowed the credit-----
Mr. Richard Collins:
No, I did not allow the credit. I did not approve it and I did not write any cheque. I did not know who CMS Marketing were before this matter was queried by Deloitte. The explanation I was given by the director general was that the payment related to consultancy services that Noel Kelly had provided during Covid.
Brian Stanley (Laois-Offaly, Sinn Fein)
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When Mr. Collins heard the name Noel Kelly and saw the reference to consultancy services to RTÉ, did alarm bells not ring in his head as the chief financial officer?
I fail to understand why. Did he not question that one bit?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Is it okay because of that?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Your explanation here is ridiculous.
Marc Ó Cathasaigh (Waterford, Green Party)
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It is an appalling vista we are facing. We have to acknowledge there has been huge damage done to public trust in a public broadcaster at a time when high-quality public broadcasting has arguably never been more important for countering the misinformation and disinformation that social media, in particular, tends to be awash with. There is huge damage done to the working relationships of people within RTÉ and to the morale of the many excellent people who are working within that organisation. That has all been acknowledged already.
I want to return briefly to Ms O'Leary on a detail she gave us. She said she only spoke to Renault about year one engagements, no hint at all of arrangements into year two. How many years was the original contract for? Was it a five- or three-year contract?
Marc Ó Cathasaigh (Waterford, Green Party)
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Yes.
Marc Ó Cathasaigh (Waterford, Green Party)
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You only spoke about year one arrangements.
Marc Ó Cathasaigh (Waterford, Green Party)
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My question then, and it may not be to Ms Geraldine O'Leary, is whether Renault was aware of the underwriting agreement.
Marc Ó Cathasaigh (Waterford, Green Party)
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Was Renault aware that if it removed itself from this contract, RTÉ was left on the hook for the remainder of the payments?
Marc Ó Cathasaigh (Waterford, Green Party)
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Was there anybody who would demur from that position, who would suggest that Renault was aware of the underwriting? No. Were there any exit penalties for Renault, which was asked to enter into this contract? It would be fairly standard practice and procedure that if somebody exited a contract before end of time, there would be exit penalties attached.
Marc Ó Cathasaigh (Waterford, Green Party)
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It entered into a contract over a number of years.
Marc Ó Cathasaigh (Waterford, Green Party)
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And decided to end the relationship.
Ms Geraldine O'Leary:
No, it did not. It was coming to the end of year two, season two, of a three-year broadcast sponsorship contract, which is standard practice in our business. I was asked to ask them if they would like to have an addendum to their contract which involved appearances by Ryan Tubridy. The broadcast sponsorship contract was up and running and in fact they renewed for the following year. The broadcast sponsorship contract was up and running. It was within the context of this contract I asked them if they were interested in three appearances by Ryan Tubridy, because it was connected to their sponsorship of the "Late Late Show", which he presented. Broadcast sponsorship ran its course and was renewed.
Marc Ó Cathasaigh (Waterford, Green Party)
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Okay, but without the additional element. It does not seem there was a great deal of protection for public funding on it. I want to take a look at the suspension of Ms Dee Forbes. The request for resignation happened first - we only found this out yesterday. It happened on Friday, 16 June if I am correct. Can Ms Anne O'Leary tell me whether I am correct in saying the recommendation that Ms Forbes be asked to resign came from the audit and risk committee?
Ms Anne O'Leary:
That is correct. As a result of the Grant Thornton report, I thought that what had occurred was significantly serious enough to ask her for her resignation. Subsequent to that, she decided not to reply to our letter on that so we then put her on suspension following a HR disciplinary approach.
Marc Ó Cathasaigh (Waterford, Green Party)
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Was the recommendation to suspend also a recommendation that you brought?
Marc Ó Cathasaigh (Waterford, Green Party)
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Then it became a board decision both to ask for the resignation but also to initiate the suspension. Is that correct?
Ms Paula Mullooly:
I might be able to help with that as company secretary, just to set out the timeline. There was an audit and risk meeting on the Friday. There was a number of recommendations out of that, including the request to ask the director general to resign. I think the chair spoke to her in relation to that. There was a response by letter either on the Sunday or the Monday, I cannot recall. There was a board meeting on the Monday where the chair of the audit and risk committee brought the recommendations to the board of the audit and risk committee. The board agreed to set up a disciplinary sub-committee to look at the disciplinary matters surrounding the director general.
Marc Ó Cathasaigh (Waterford, Green Party)
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This is a decision with very significant implications. As a board member, when this was brought to the board, what was the rationale given for initiating these proceedings? The board must have been told, "We are recommending that we ask for her resignation and we are asking for that on these grounds." What were the grounds given?
Marc Ó Cathasaigh (Waterford, Green Party)
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That was it, it was as baldly stated as that, based on the findings of the Grant Thornton report.
Marc Ó Cathasaigh (Waterford, Green Party)
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Very good. Thank you. I want to ask about the barter account, which has been much discussed. The value of transactions in and out is given to us in some of the details we have here. How many trading partners are represented within that barter account?
Marc Ó Cathasaigh (Waterford, Green Party)
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Yes.
Marc Ó Cathasaigh (Waterford, Green Party)
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Would there be any credit or debit cards attached to the barter account?
Marc Ó Cathasaigh (Waterford, Green Party)
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Not that you are aware of.
Marc Ó Cathasaigh (Waterford, Green Party)
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In terms of the type of expenditure that-----
Marc Ó Cathasaigh (Waterford, Green Party)
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It is about how it operates, whether there are credit cards. It is about transparency and having a good insight on how exactly this is being used. Is it also being used to fund things like travel? Is it being used to fund things like entertainment? What is the mechanism? What is the oversight mechanism in terms of making sure, if it is funding travel, for instance, or accommodation or entertainment, that those have a legitimate business purpose within the organisation?
Marc Ó Cathasaigh (Waterford, Green Party)
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Just in terms of bare figures, €150,000 is what ends up being paid to Tuttle Productions Limited., which is the two tranches of €75,000. The transfer from the barter account, however, is €231,000. Correct me if I am wrong.
Marc Ó Cathasaigh (Waterford, Green Party)
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Where is the €81,000?
Ms Geraldine O'Leary:
The way the barter account works is that when the campaigns come through, 50% is cash and 50% is credits. Those credits are accumulated and reconciled monthly. We can use those credits for travel. Anything we have used them for has been client related up to now. At the end of the year, if there is money in the account we cash it out and the cash-out rate is 0.65. If there is €100,000 left in the account at the end of the year, it is cashed out at €65,000 and that is put into our revenue. The cash-out rate for the barter companies is 0.65.
Marc Ó Cathasaigh (Waterford, Green Party)
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This is all very opaque. In the end of the story here, has €150,000 in fact cost us €231,000?
Marc Ó Cathasaigh (Waterford, Green Party)
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I am not sure I fully accept that answer.
I want to pick up on a statement by Mr. Lynch. At the very end of his opening statement, he said: "I have spoken to Kevin Bakhurst last night and I understand from him that his first task when he begins on 10 July will be a complete reconstitution of the executive board of RTÉ." That is a very significant statement. I want to give Mr. Lynch an opportunity to expand on it.
Mr. Adrian Lynch:
Thank you. I have been talking to Kevin over the last two weeks since I stepped up to be interim deputy director general.
We spoke this morning, particularly coming out of yesterday's meeting, about the register of interests. We are looking at immediately drawing up terms of reference for a register of interests for all senior editorial staff. In terms of the line here, though, it is up to the incoming director general to make all the necessary changes given what has happened.
Marc Ó Cathasaigh (Waterford, Green Party)
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On that issue of a register of interests, will it be extended to presenters?
Marc Ó Cathasaigh (Waterford, Green Party)
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Okay
Brian Stanley (Laois-Offaly, Sinn Fein)
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I call Deputy Colm Burke.
Colm Burke (Cork North Central, Fine Gael)
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I thank all the officials here today. I will open with the Grant Thornton report. Paragraph 2.2(g) states that "The Director General was not involved in the drafting, signing or implementation of this agreement (being the Tri-partite)". It would be set out and I am asking for a list of everyone involved in the drafting of that agreement and everyone involved in that agreement. It is important. The earlier statement said "No member of the RTÉ Executive Board, other than the Director General, had all the necessary information", yet the Grant Thornton report is stating what I just referred to. Can the witnesses reconcile these two statements?
Colm Burke (Cork North Central, Fine Gael)
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Can we have the names of all the people involved in that?
Colm Burke (Cork North Central, Fine Gael)
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Okay. You might send that on to us in writing.
Colm Burke (Cork North Central, Fine Gael)
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I move onto the issue concerning the €75,000. I address this question to Mr. Collins regarding the invoice. If someone is acting as a consultant, are they not obliged to charge VAT on the fees they levy?
Colm Burke (Cork North Central, Fine Gael)
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No, the standard invoice would have a VAT component. Am I correct?
Colm Burke (Cork North Central, Fine Gael)
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When the invoice was received in RTÉ's accounts department, how come further clarification was not looked for on this aspect?
Colm Burke (Cork North Central, Fine Gael)
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What is the scenario in relation to VAT in that case?
Colm Burke (Cork North Central, Fine Gael)
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Were you aware of the detail of the invoice, because these were described as "consultancy fees"? Surely any invoice would set that out. I have been involved in business for 30 years. Mr. Collins is a qualified financial adviser. Surely just having "consultancy fees" is not a sufficient description on an invoice? Would Mr. Collins accept this?
Colm Burke (Cork North Central, Fine Gael)
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Was there not a duty then on Mr. Collins's part to raise a query regarding what these consultancy fees were for?
Colm Burke (Cork North Central, Fine Gael)
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Okay. Let us go on.
Colm Burke (Cork North Central, Fine Gael)
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How many more invoices went through like this where there were consultancy fees marked down?
Colm Burke (Cork North Central, Fine Gael)
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Have you looked at other accounts where the description "consultancy fees" was used and those invoices went through the system without anyone raising questions?
Colm Burke (Cork North Central, Fine Gael)
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Is it not time to do such a detailed analysis if this is the-----
Colm Burke (Cork North Central, Fine Gael)
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Every other business in this country has its invoices robustly checked. I refer to any organisation. In a large organisation that is also a public service broadcaster, there is even more of an onus to cross-check everything that comes in.
Colm Burke (Cork North Central, Fine Gael)
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Yes. It is a slush fund. If we look at the definition of "slush fund", and I got this from Black's Law Dictionary, it is "A reserve of money held secretly by a company that [had] no accountability for its use". This is exactly what we are talking about. This is a slush fund, so let us stop talking about it being a barter account.
Colm Burke (Cork North Central, Fine Gael)
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There was very little accountability about the money going into it.
Colm Burke (Cork North Central, Fine Gael)
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You are in charge of the internal controls system. This is money going from RTÉ to a barter account where you do not even know what the money is for. Am I correct?
Colm Burke (Cork North Central, Fine Gael)
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You are the financial director. You have the opportunity to raise queries. You did not raise a query about this invoice. Have you raised queries concerning other invoices that were coming in during the last two to three years?
Colm Burke (Cork North Central, Fine Gael)
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Is that not more reason for asking the question, if you have not?
Colm Burke (Cork North Central, Fine Gael)
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When you became aware of the query raised by the auditors, and they obviously were concerned, you still do not appear to have had the same concern, even after the explanation from the then director general.
Colm Burke (Cork North Central, Fine Gael)
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Did Deloitte raise queries in respect of any other item in the accounts at the time?
Colm Burke (Cork North Central, Fine Gael)
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Yes.
Colm Burke (Cork North Central, Fine Gael)
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This was the only issue?
Colm Burke (Cork North Central, Fine Gael)
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Was there not, therefore, an obligation on you to make sure the issue the company had raised was fully investigated?
Mr. Richard Collins:
It was and that was what happened. When I spoke to Deloitte and gave the company the explanation, we concluded, Deloitte and I, that this was not a very detailed explanation. I suggested that Deloitte should speak directly to the director general, which representatives of the company then did.
Colm Burke (Cork North Central, Fine Gael)
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Turning to the barter account, we are talking about €115,380 being paid annually. This is an extra €40,380. Is this technically what we are talking about as a handling fee for the €75,000 or can we get a better explanation than what is being furnished to us?
Colm Burke (Cork North Central, Fine Gael)
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In other words, let us imagine a situation where I am in a legal practice and someone comes to me with a cheque for €75,000. That person says they do not want to send it on, asks me if I will put it through my account and says I will be given €40,380 for doing that.
Colm Burke (Cork North Central, Fine Gael)
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It is €40,380 for handling a cheque for €75,000.
Colm Burke (Cork North Central, Fine Gael)
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In this case, it was €75,000 that was forwarded to the agent for Ryan Tubridy and there was a charge of €40,380.
Colm Burke (Cork North Central, Fine Gael)
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-----35%.
Colm Burke (Cork North Central, Fine Gael)
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Is a handling fee of 35% being charged by any other organisation in the country? I have never heard of any other company charging a fee of 35% for one payment, and 35% each time. Would you not accept that you should have raised queries in relation to that barter account?
Colm Burke (Cork North Central, Fine Gael)
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Now-----
Colm Burke (Cork North Central, Fine Gael)
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Is it under finance control now?
Colm Burke (Cork North Central, Fine Gael)
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Every item that goes through it can be clearly identified and, as a result, there is full accountability.
Colm Burke (Cork North Central, Fine Gael)
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In the last ten years, how much money has gone through the barter account?
Colm Burke (Cork North Central, Fine Gael)
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This was in ten years.
Colm Burke (Cork North Central, Fine Gael)
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Why not use a normal payments system, rather than going through the barter account in this particular case? Why was there all the secrecy on this?
Mr. Richard Collins:
I am not here to justify the barter account. I was not happy with it when I saw it first. I cannot speculate on why it was used. It looked like it was where expenses came up relating to the commercial division that had not been budgeted for. It was a way of absorbing those expenses without causing an overrun in the accounts.
Colm Burke (Cork North Central, Fine Gael)
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Having spoken about the commercial sector, regarding the raising of credit notes, who has the authority to do this?
Colm Burke (Cork North Central, Fine Gael)
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Any divisional director, therefore, can raise a credit note. Do they have to consult with the finance department?
Colm Burke (Cork North Central, Fine Gael)
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Would they set out the detail as to why a credit note is being issued?
Colm Burke (Cork North Central, Fine Gael)
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We are talking about a credit note here of €75,000.
Surely there must be a system in place. If giving a credit note to somebody for €75,000, surely Mr. Collins as the financial controller should understand what that credit note is for.
Colm Burke (Cork North Central, Fine Gael)
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Any other organisation in the country: €75,000, no problem, just sign on the dotted line and we will give you the credit note.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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I welcome the witnesses to Leinster House again today. On the opening statements, I welcome the change in tone from RTÉ today and the emphasis, obviously, on the deceptive nature of the transaction. I hope it is a company with greater transparency, not only here today but in the forthcoming weeks and months. The impact of this, as we have seen ourselves with journalists and other staff members who have been out protesting highlighting their concerns, is that morale in RTÉ is through the floor. For me, all of the staff and the tax-paying public, the trust has also been eroded. The mission statement of RTÉ says: "To enrich [which may be a poor choice of words given the discussion today] Irish life with content that challenges, educates and entertains". I suggest we would also look at that mission statement in the next little while.
I can also say it is unsatisfactory with regard to the director general, whatever her status. Yesterday at the Oireachtas Joint Committee on Tourism, Culture, Arts, Gaeltacht, Sport and Media, there was uncertainty about contracts. As I look at all the witnesses here, I wonder if all of their contracts are in order because there was really head scratching as to who had a contract, what was in order and what was not. It is unsatisfactory that we have an acting interim deputy director general who does not have the knowledge that we need. We also have other board members who are new and who cannot give us satisfactory answers. I am aware that an independent report is happening in the next couple of weeks, and hopefully within four weeks it will be reporting and that we as a committee can engage with the witnesses on that.
I will start off with Mr Collins. How long has he worked with RTÉ?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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From that point, Mr. Collins has said that he was concerned with the barter account. Yet he proceeded with it. Are there any other invoices or accounts that Mr. Collins has made payments to, substantial payments such as the €75,000, about which he has had concerns but that have been paid out, and which to this day he is not certain as to the origin or the necessity of those payments?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Is Mr. Collins certain, as the chief financial officer for the organisation, that there are no other similar payments, or payments to contractors, to employees, payments to subordinates within RTÉ or to those who supply services to RTÉ? Are there any such similar payments being made or arrangements having been made? Obviously, payments are being made in all sorts of other ways.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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You are not 100% certain.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Given the-----
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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From now?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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But for credit notes it was just signed off, right? It is not a great system, as one can appreciate.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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It comes back to finance though does it not?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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With regard to the auditors, how long have they served as auditors for the organisation? How often would the organisation change auditors?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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How long had they served?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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I welcome Ms O'Leary. I will ask Ms O'Leary about the information we gained yesterday on when people found out about what, when and who. Ms O'Leary is head of the audit and risk committee. The revelation yesterday was that the information was found on 16 March. Is that right?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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When did it come before the audit and risk committee?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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So you had a meeting on St. Patrick's Day did you?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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I understand. How come it took those three months for the Grant Thornton report to be completed?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Is this March?
Ms Anne O'Leary:
Sorry, yes, 29 March. Then we started on the terms of reference for Arthur Cox and for Grant Thornton, which were issued to them on 4 April. I was on with them, almost on a weekly basis, to try to see how they were doing. They had an awful lot of work to do. As they called it, it was their forensic accounting department, and they had a number of emails to go through to find out what kinds of conversations that people had.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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That is why it took the three months.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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How often had the audit and risk committee been meeting then, up to this issue?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Was that ordinarily every second week?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Because of this there were these meetings. I understand
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Has Ms O'Leary been on the board since 2014? Is that right?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Has Ms O'Leary always been the head of the audit and risk committee?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Ms O'Leary got the short straw then. With regard to the change in culture, which was referred to in the opening statements, given the length of time she served on the board, in Ms O'Leary's time has she seen a change in culture in RTÉ in that period?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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I know what is in it.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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From 2014, and Ms O'Leary's time on the board, up to 2016, 2017, 2018, was there a change in culture? Obviously, Ms O'Leary was having meetings every couple of weeks on the audit and risk committee. Were there things that were being flagged more often or more regularly or had things changed?
Ms Anne O'Leary:
I thought the internal audit procedure had really improved things. We were getting information that we did not have before and we were able to make changes. Peadar Faherty is the lead internal auditor and he is extraordinary. He is really good and he made sure that new procedures were put in place and that people were trained. I thought there was a much better feeling that we were all working together.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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So this has come as a complete shock to Ms O'Leary.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Okay and I thank Ms O'Leary for that.
At yesterday's Oireachtas Joint Committee on Tourism, Culture, Arts, Gaeltacht, Sport and Media, evidence was given that some RTÉ staff were given cars as brand ambassadors. Can Mr. Lynch speak to that?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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How many staff are we talking about?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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You think or you know?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Is that one staff member?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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How does a contractor, who does not have the same terms and conditions, get the bonus of a car?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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It is a pretty lucrative contract, would Mr. Lynch not think?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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What were the criteria by which a car was given to a contractor?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Who is that?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Would they then relay to the director general, DG, or is there a head of human resources? How is that done or is it all done through the DG's office?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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On the condition for a car to be given as part of the contract, is that organised by RTÉ?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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As a bonus, is it?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Who is that?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Okay. I presume that person is not here today.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Deputy, very briefly now.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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On the risk register and what was said earlier, which was very welcome, does Mr. Lynch or Mr. Collins know whether RTÉ routinely pays appearance fees for guests?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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What is the criterion?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Is there control around that?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Who is in charge of that control?
Mr. Adrian Lynch:
In terms of commission programming, there is the IPU, the independent production unit. Within that, there is a finance function which does all the contracting with independent companies that are commissioned to make programming for RTÉ. All those fees would be agreed. There is a fees committee that would look at all the fees comparatively, look at the hours and the cost.
John Brady (Wicklow, Sinn Fein)
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In the opening statement of the Chair of the RTÉ board, Ms Ní Raghallaigh stated it appeared to her that this was an act designed to deceive. That is the core point. Is that view shared by the entire board?
John Brady (Wicklow, Sinn Fein)
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Is that view shared by the executive?
John Brady (Wicklow, Sinn Fein)
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That view is shared by the executive.
John Brady (Wicklow, Sinn Fein)
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The crux of the matter is who set out to deceive and whether it was an individual, as some would like to portray it, or whether it was a number of people who came together to deceive. I am not sure if we will get to the bottom of that at this meeting but it is the crux of the question.
Returning to a point that was raised when the director of finance was asked when he was first approached by Deloitte, am I right in saying it was 7 March? At that stage Deloitte expressed concern about two of the invoices, each for €75,000. At that point, the finance director approached Dee Forbes and set out a narrative in which Dee Forbes stated that these consultancy invoices were for NK Management and related to how RTÉ restructured itself during Covid. Am I right in saying that?
John Brady (Wicklow, Sinn Fein)
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Was that in writing?
John Brady (Wicklow, Sinn Fein)
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At that point, Mr. Collins expressed that he did not have any concerns around Noel Kelly being given this type of consultancy work. That did not set off any alarm bells or raise any flags of concern for Mr. Collins.
Mr. Richard Collins:
At that stage, the expenditure had been committed so I was relaying what happened at that stage. The purpose of speaking to the director general was to find out what the background was to this. The payments were to a company controlled by Noel Kelly so it is obvious that they went to Noel Kelly.
John Brady (Wicklow, Sinn Fein)
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If he does not mind, for the record, how much is Mr. Collins paid as chief finance officer?
Brian Stanley (Laois-Offaly, Sinn Fein)
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The chair of the board said all those figures were to be published. Given that Mr. Collins is working for a public organisation, I would expect to hear that answer here today. The Deputy has asked Mr. Collins what his salary is. I would expect him to answer that question.
James O'Connor (Cork East, Fianna Fail)
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This is absolutely outrageous. The chief financial officer of RTÉ cannot tell us what he is paid. Are we supposed to buy that?
Brian Stanley (Laois-Offaly, Sinn Fein)
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The chief financial officer has been asked a question by Deputy Brady who has the floor. Mr. Collins, what is your salary?
John Brady (Wicklow, Sinn Fein)
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This is extraordinary. It has taken over a minute to get a very basic answer.
Brian Stanley (Laois-Offaly, Sinn Fein)
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We have senior staff from public bodies before the committee every week and we can get the figures for their salaries. RTÉ is supposed to be about truth, transparency and trust.
Brian Stanley (Laois-Offaly, Sinn Fein)
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It is a very basic question and I expect the answer to it for the members.
John Brady (Wicklow, Sinn Fein)
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I thank Mr. Collins for that. He has wound down a lot of my time and I hope the Chair will note that. Mr. Collins is paid an extraordinary amount of money. Essentially he became a message boy for Dee Forbes, the director general. Rather than doing his specific role, he took a message directly from the director general, did not question it and brought it back to Deloitte. Is that what Mr. Collins is telling us?
John Brady (Wicklow, Sinn Fein)
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Is it not Mr. Collins's role to discover untruths and get proper, truthful answers in relation to all financial matters?
John Brady (Wicklow, Sinn Fein)
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On the meeting on 7 March, Mr. Collins went back to Deloitte and Deloitte went back to the director general at that point with his understanding and Deloitte was unhappy with the response given at that point. Yesterday, Adrian Lynch, when asked a specific question about Ryan Tubridy's announcement on 16 March that he was stepping down from his role presenting "The Late Late Show", said there was absolutely no way he would have known this was going on in the background when that decision was taken. Does he stand over those comments?
Mr. Adrian Lynch:
To give context, because I knew it would come up, what I had actually done was I was trying to work out the day the director of content told me Ryan Tubridy had come into his office to tell him he was stepping down, so I went back and checked my email because I had sent him an email with a list of potential presenters. That was on 13 March. In my mind, I did not realise that the CFO had had contact from the auditors on 10 March or whatever. That is to clarify that.
John Brady (Wicklow, Sinn Fein)
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Ryan Tubridy could well have been informed by somebody that these concerns had been raised.
John Brady (Wicklow, Sinn Fein)
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Did Mr. Collins have any conversations with Noel Kelly or Mr. Tubridy about this process?
John Brady (Wicklow, Sinn Fein)
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Is anyone aware of any conversations or discussions that the director general may have had with the agent representing Mr. Tubridy or Mr. Tubridy himself?
John Brady (Wicklow, Sinn Fein)
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Okay. It would be reasonable to say that the process of uncovering these payments could well have influenced Ryan Tubridy’s decision to step down from his role presenting “The Late Late Show”.
John Brady (Wicklow, Sinn Fein)
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It is possible. I want to focus on the first year of the tripartite deal and the payments. Ms O’Leary already stated that she negotiated and was responsible for that part.
John Brady (Wicklow, Sinn Fein)
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On the credit note issued by Renault, who issued-----
John Brady (Wicklow, Sinn Fein)
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To Renault.
Ms Geraldine O'Leary:
My initial meeting with the client, Renault, was on 9 March. The client said he would consider it and he would run it through his finance department. The week afterwards, Covid broke out so it was not a priority for him. By the time we reconnected on it and got to see how we could work through it, it was July 2020.
John Brady (Wicklow, Sinn Fein)
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Had they sought that credit note?
Ms Geraldine O'Leary:
The client was very clear from the beginning that it would have to be cost neutral and that he did not have any incremental money. By the time it came to July, when we were raising the credit note, a large part of the value of what Renault should have gotten through its "Late Late Show" sponsorship had not happened because a key part of its broadcast sponsorship, which is the three-year contract I referred to earlier, included 20 tickets per week and hospitality at RTÉ. That value did not happen from 20 March through to September because of Covid.
John Brady (Wicklow, Sinn Fein)
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Where did the request for the credit note go from there?
John Brady (Wicklow, Sinn Fein)
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Did Mr. Collins see that request at that stage?
John Brady (Wicklow, Sinn Fein)
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What was the nature of the request? What was explicitly stated on it that the credit note was for?
John Brady (Wicklow, Sinn Fein)
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Did not cop? Did Mr. Collins ask?
John Brady (Wicklow, Sinn Fein)
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Mr. Collins was asked to sign off on-----
John Brady (Wicklow, Sinn Fein)
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Mr. Collins was copied on an email.
John Brady (Wicklow, Sinn Fein)
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Was Mr. Collins asleep at the wheel?
John Brady (Wicklow, Sinn Fein)
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It appears Mr. Collins was asleep at the wheel on several fronts.
Mr. Richard Collins:
The director general was involved in this. I took comfort, from a control point of view, that the director general was looking at this. At the time, the Deputy must remember, I was dealing with a number of major issues in the organisation. It was early on in Covid, it looked like RTÉ could run out of cash, we had an accounting system implementation that was not going well and could have caused major problems for the business and we had two big tax audits which put us under pressure on. My focus-----
John Brady (Wicklow, Sinn Fein)
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A final point.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Ten seconds.
John Brady (Wicklow, Sinn Fein)
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It is very clear that the guarantee kicked in from year one of the contract, not, as we were told, only in years two and three. In year one, RTÉ paid €75,000. RTÉ was propping up; essentially the guarantee was there from year one, contrary to what was stated by Ms O'Leary, that she was not aware of any guarantee to underpin-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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I am going to suspend the meeting for five minutes. The next speaker will be Deputy Verona Murphy
Verona Murphy (Wexford, Independent)
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I thank the witnesses for their appearance. At a time when we have the greatest housing catastrophe in the history of our State, we have overspending in our Department of Health and there are no checks and balances, billions have been wasted annually. We have a Government that displays complete incompetence in the management of the public finances. This story comes out of a clear blue sky – manna from heaven to distract from the issues that really impact ordinary daily lives. The Government is delighted with this story because it has taken the spotlight from it on the run-up to the Dáil recess.
I have watched the rolling media brawl for nearly the last week and a half. I must admit that I have some experience with media brawl. It is clear that this media circus can be reduced to the following facts. Certain people within RTÉ conceived a scheme of deceit for a number of reasons: first, to retain the services of Ryan Tubridy; and second, to portray to the general public and to the staff of RTÉ that Tubridy had taken a pay cut. The public, certain staff at RTÉ and this committee were lied to.
No checks and balances in any system will prevent deceit and that is just a fact of life. With a large organisation such as RTÉ, people run for cover and they immediately look for a scapegoat, or scapegoats, as the case may be. In what would appear to me generally is the case, those who identified the scapegoats were quite often themselves the cause of the controversy. The act of deceit is only surpassed by the more despicable act of scapegoating. Never have I seen more obvious scapegoating than in this debacle. RTÉ conceived the scheme of the deceit and induced Ryan Tubridy, whom I do not know personally, nor do I know his family nor any of the other people who have been mentioned in relation to Ryan Tubridy, with a pay package to stay. A number of members have confirmed this week that there was no wrongdoing on Ryan Tubridy's part. The people in front of us effectively dismissed Dee Forbes and then issued a lengthy press release scapegoating her. The quality of management should be judged by the way they deal with the situations they find themselves in. I can assure those present that what I have heard today and yesterday and for the last week would indicate to me that this management does not have the skill set to deal with what is before them. All they have done is look for scapegoats.
While RTÉ says Ryan Tubridy did nothing wrong, its actions do not support that position. Tubridy no longer presents his programme. In my view, the act of taking Ryan Tubridy off air was wrong. It has compounded the controversy, while at the same time it destroyed his reputation, in the scapegoating. It was ill advised and should only have been done with the approval of the board. It is as plain as a pikestaff to any person with a modicum of common sense that this act will cost RTÉ, and of course the taxpayer, far more in compensation to Tubridy than the €150,000 we are talking about that was legally due anyway. The bill for the action will have to be delivered at some point in the future.
I have one question for this delegation. Who made the decision to take Ryan Tubridy off air, bearing in mind the continuous statements that he did nothing wrong? I assume that one of two people can answer that question, because it certainly was not anyone who is not here.
Verona Murphy (Wexford, Independent)
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I am sorry but I cannot hear Mr. Lynch for some reason.
Verona Murphy (Wexford, Independent)
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And the director of content is not here.
Verona Murphy (Wexford, Independent)
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Was that decision put before the board?
Verona Murphy (Wexford, Independent)
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Is Mr. Lynch telling me that in his capacity with someone who is not here – the director of content – he made a decision, which in effect has exposed RTÉ and the taxpayer to hundreds of thousands if not millions in compensation? That is the decision made by him.
Verona Murphy (Wexford, Independent)
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So Mr. Lynch made that decision. What was his rationale? He made the statement also that he has done nothing wrong.
Verona Murphy (Wexford, Independent)
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Is Mr. Lynch saying now that he did something wrong?
Verona Murphy (Wexford, Independent)
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So Mr. Lynch continues with the statement that Ryan Tubridy has done nothing wrong.
Verona Murphy (Wexford, Independent)
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Is there a difference? Is Mr. Lynch inferring a difference?
Verona Murphy (Wexford, Independent)
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Does Mr. Lynch think when it comes to compensation there will be a difference? Because they will only be interested in the legal element of it. We are back with the question I put to Mr. Lynch. Will he resign over the compensation that will be paid to Ryan Tubridy?
Verona Murphy (Wexford, Independent)
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That is a binary question. The answer would be "Yes" or "No". Will he resign and make himself accountable for a decision that he can be sure has ruined Ryan Tubridy? He has been taken off the air under the assertion by RTÉ that he has done nothing wrong. Mr. Lynch did not say that he did not do anything illegal. He said he had done nothing wrong. I am sure that will be brought up a number of times to Mr. Lynch. Will he resign: "Yes" or "No"?
Verona Murphy (Wexford, Independent)
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The decision was made by Mr. Lynch with just one other. I will turn to Ms Ní Raghallaigh. Is she happy that, without a shadow of a doubt, she has been exposed now, as the chair of RTÉ, to compensation?
We are all of a frame of mind here commercially that we know the realm of these types of things will run into hundreds of thousands, if not millions. He is not the only person who has been mentioned. It has been the assertion of RTÉ, from both Ms Ní Raghallaigh and Mr. Lynch, that he did nothing wrong yet we are faced with a big bill. How does Ms Ní Raghallaigh feel about that decision being made, in which she seemingly had no act or part?
Verona Murphy (Wexford, Independent)
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No-----
Verona Murphy (Wexford, Independent)
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Excuse me for one second-----
Verona Murphy (Wexford, Independent)
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This refers to editorial decision-making. Who is the editorial decision made by? Are we back to Mr. Lynch?
Verona Murphy (Wexford, Independent)
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Who is?
Verona Murphy (Wexford, Independent)
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It is Mr. Lynch at this point in time. Therefore, really, all the bluster that Ms Ní Raghallaigh has come in here with about what she is going to do is only bluster, is it not? The witnesses have exposed RTÉ among them with a massive bill for compensation to someone they assert as having done nothing wrong. They have not just thrown them all under the bus, they have backed over them and reversed at speed. Can Mr. Lynch tell me whether he is going to be accountable in the future for when the compensation is paid? If Ryan Tubridy did nothing wrong, what was the basis and rationale for taking him off the air and paying him while he is off the air and paying another presenter to do his radio programme? Is Mr. Lynch going to be accountable?
Verona Murphy (Wexford, Independent)
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So, Mr. Lynch will resign. He is going to confirm today that he will resign when that happens because as sure as night follows day, that is going to happen.
Brian Stanley (Laois-Offaly, Sinn Fein)
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The Deputy is over time.
Verona Murphy (Wexford, Independent)
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I am sorry, Chair, we need to clarify that. Is Mr. Lynch saying he will resign and be accountable?
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank Deputy Murphy.
Verona Murphy (Wexford, Independent)
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Well, then, talk is cheap.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I call Deputy Dillon.
Alan Dillon (Mayo, Fine Gael)
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We accept the witnesses' appearance here before us today and appreciate their co-operation. Back in September 2020, RTÉ campaigned on "Truth Matters". I have to assume today that all of the witnesses in front of us at the Committee of Public Accounts are here to tell the truth. However, I still cannot find where the truth is or how we can determine the real sequence of events that occurred. Certainly, that reminds me of a famous line from Theodore Roosevelt in 1912, who said that looking for the truth is like nailing jelly to the wall.
After yesterday's committee meeting and what we have heard again today - we have been in public session for nearly two hours - many facts are still unknown. We want even further detail with regard to the sequence of events. I will direct this question to the chief financial officer, CFO, Mr. Collins. With regard to RTÉ's payment to Mr. Noel Kelly for services provided during Covid-19, these were really payments for Ryan Tubridy and Renault. Is that correct, yes or no?
Alan Dillon (Mayo, Fine Gael)
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I am sorry, Ms O'Leary. My questions are directed to the CFO. Mr. Collins said earlier that he needed to consult his notes. What is contained within his notes that would have led him to previously state that?
Alan Dillon (Mayo, Fine Gael)
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Mr. Collins said previously that he needed to consult his notes in relation to the questions that we asked previously.
Alan Dillon (Mayo, Fine Gael)
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Would Mr. Collins determine these types of payments in a serious manner with regard to their intent, as Deputy Burke discussed, around consultancy fees and the obligations around VAT exemptions that were put through a barter?
Alan Dillon (Mayo, Fine Gael)
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The chair of the board outlined in her initial statement that there were deceitful practices in play here. Would Mr. Collins agree with that?
Alan Dillon (Mayo, Fine Gael)
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Would "Prime Time Investigates" call it fraud? Would Mr. Collins agree?
Alan Dillon (Mayo, Fine Gael)
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In what context?
Alan Dillon (Mayo, Fine Gael)
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Raising invoices for something knowing that it is not what it is-----
Alan Dillon (Mayo, Fine Gael)
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Would Mr. Collins not determine that - wrongfully knowing - to be fraud ?
Alan Dillon (Mayo, Fine Gael)
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What other external contractors did RTÉ pay for advice during Covid-19?
Alan Dillon (Mayo, Fine Gael)
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Would RTÉ have issued any credit notes during Covid similar to this?
Alan Dillon (Mayo, Fine Gael)
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This is, therefore, a once-off.
Alan Dillon (Mayo, Fine Gael)
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Was Ms O'Leary consulted around 7 March, or before 17 March, about the Deloitte query?
Alan Dillon (Mayo, Fine Gael)
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No one communicated to her that these issues were being flagged.
Alan Dillon (Mayo, Fine Gael)
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Why did the CFO, Mr. Collins, not raise that with the person who was in a position to authorise these invoices?
Alan Dillon (Mayo, Fine Gael)
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Did RTÉ pay for the three Renault events? How much did that cost?
Ms Geraldine O'Leary:
Yes. I will clarify before I say that and go straight back to it. It is very important to say that Renault was not involved in years two and three. When the Deputy referred to the invoices that went through the barter company, they had no connection with Renault. I want to be very clear about that. In year one, yes, Renault paid Noel Kelly Management for the three events but, ultimately, it got a credit note, so it was cost-neutral.
Alan Dillon (Mayo, Fine Gael)
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How much was the credit note?
Alan Dillon (Mayo, Fine Gael)
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How much were the events that RTÉ subsequently paid for?
Alan Dillon (Mayo, Fine Gael)
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How much was it to actually host the events?
Alan Dillon (Mayo, Fine Gael)
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Are these events accounted for in RTÉ's annual audited accounts?
Alan Dillon (Mayo, Fine Gael)
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With regard to other events that RTÉ would host, be it hospitality or events through the barter account, can Ms O'Leary give us some recent events that RTÉ would have paid for through a barter account and the types of events?
Alan Dillon (Mayo, Fine Gael)
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Mr. Collins referenced €1.25 million over the last ten years through barter accounts.
Alan Dillon (Mayo, Fine Gael)
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Can Ms Collins give us the top three?
Alan Dillon (Mayo, Fine Gael)
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Yes.
Is the Deputy looking back historically now?
Alan Dillon (Mayo, Fine Gael)
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I am looking at the period 2017 to 2020.
Alan Dillon (Mayo, Fine Gael)
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Can the witness identify those clients?
Alan Dillon (Mayo, Fine Gael)
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Can Ms O'Leary do so?
Alan Dillon (Mayo, Fine Gael)
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This was taxpayers' money.
Alan Dillon (Mayo, Fine Gael)
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Can you give us one more example from the top range?
Alan Dillon (Mayo, Fine Gael)
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A sum of €138,000 of taxpayers' money through a barter account. Can Mr. Collins give me one more example?
Alan Dillon (Mayo, Fine Gael)
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What does the chair of the board make of what we are being told here today in relation to the transactions in the barter account?
Ms Si?n N? Raghallaigh:
It is outrageous. Expenditure like that should go through the procurement system. I believe that has now been put in place. It would be up to department heads to validate and request through the procurement system if they are going to do entertainment or sporting events on that scale in order to entertain advertising agencies.
Alan Dillon (Mayo, Fine Gael)
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I want to bring Ms Ní Raghallaigh back to her request to the director general for her resignation. Why did Ms Ní Raghallaigh not call the Minister at the time?
Alan Dillon (Mayo, Fine Gael)
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Did the witness not think this was really important information to present to the Minister at the time?
Alan Dillon (Mayo, Fine Gael)
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Why did Ms Ní Raghallaigh go on the RTÉ "Six One News" and not indicate that she had actually requested the resignation of the director general?
Alan Dillon (Mayo, Fine Gael)
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You mentioned disciplinary processes.
Alan Dillon (Mayo, Fine Gael)
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Ms Ní Raghallaigh did not establish the full facts of what was happening. Was that not a huge mistake?
Alan Dillon (Mayo, Fine Gael)
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If there was a process in place, why did Ms Ní Raghallaigh agree to go on RTÉ news when she knew that she would not give a current picture at the time?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Thank you. The public position at that point was that she was actually on holidays. Is that correct?
Paul McAuliffe (Dublin North West, Fianna Fail)
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I have the benefit of having sat through two nearly full sessions now. There has been a lot of discussion about the barter account and about invoices and so on. I want to come back to the issue of the tripartite agreement. In what was an excellent piece of public service broadcasting on "Prime Time", Mark Coughlan gave a great summation of what has happened here. He described the tripartite agreement as involving the three parties - Mr. Ryan Tubridy, RTÉ and Renault. The Grant Thornton report consistently says that this was a cost-neutral agreement for the sponsor. I want to know about the knowledge of the tripartite agreement prior to March of this year, and knowledge of it being cost-neutral. I will ask each of the witnesses this question. Was Ms O'Leary aware of a tripartite agreement and if so, was she aware of it being cost-neutral?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Was Mr. Collins aware of a tripartite agreement and was he aware of it being cost-neutral?
Paul McAuliffe (Dublin North West, Fianna Fail)
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To my question about knowing about the agreement being cost-neutral the witness has said he did not know.
I will ask Mr. Coveney the same question. Was he aware of it being cost-neutral?
Paul McAuliffe (Dublin North West, Fianna Fail)
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The witness has no knowledge of a tripartite agreement.
Was Ms Doherty aware of a tripartite agreement and it's cost-neutral nature?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Was Ms Mullooly aware of the cost-neutral nature of a tripartite agreement?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Since March 2021 Ms Mullooly has been aware of the tripartite agreement and the terms of it. Is that correct?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Okay. I will not ask the other witnesses the same questions. I am assuming that either by the evidence they have given already, or their distance or time served in the organisation that they would not be aware. Am I correct in saying that nobody else was aware of a tripartite agreement or its cost-neutral nature?
Let me come back then to the second part of what Mark Coughlan described to us on 27 June. He said it seemed surprising the RTÉ did a deal, which saw its income from sponsorship reduced in exchange for guaranteeing Mr. Tubridy's income. He said that RTÉ agreed to give Renault a discount of €75,000. Renault agreed to pay €75,000 to Mr. Tubridy. Through his agent, Mr. Tubridy agreed to attend certain events. We all know that people make arrangements outside of their employment or their contract. We often use the phrase "nixer" for this arrangement. However, in this situation, the nixer was actually initiated by RTÉ. The organisation initiated the concept of a tripartite agreement where it voluntarily reduced its income. Is that correct, Ms O'Leary?
Ms Geraldine O'Leary:
I met the client and discussed it with him. He was very clear that it was contrary to his wishes. I communicated this to the director general. My priority as commercial director is client relationships. I said that the client was very clear that he would not add an additional €75,000 to his existing contract.
Paul McAuliffe (Dublin North West, Fianna Fail)
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I want to be clear on this. The €75,000 would not be paid to RTÉ, and it would be paid to Mr. Tubridy.
Paul McAuliffe (Dublin North West, Fianna Fail)
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As the commercial director, is the witness usually in the business of voluntarily giving away €75,000 of revenue?
Paul McAuliffe (Dublin North West, Fianna Fail)
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In that case, why did the witness do so?
Paul McAuliffe (Dublin North West, Fianna Fail)
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The witness was instructed by the director general to forego €75,000. At that point, the witness was aware that the €75,000 would not be included in payments made directly from RTÉ to Mr. Ryan Tubridy. Is that correct?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Surely Ms O'Leary had to have been aware of the arrangement? The deal was structured in order to keep €75,000 of RTÉ's income off the books, and that it would be paid directly from the sponsor to Mr. Tubridy. That is what the deal did. It took €75,000 of income, that otherwise would have come to RTÉ, and paid it directly to Mr. Tubridy. How could you not have known that the money would never be included in declared payments for RTÉ?
Ms Geraldine O'Leary:
I apologise if this is a frustrating answer for the Deputy, but I have nothing to do with the release of top tens. I had no idea about what that €75,000 represented as part of the overall contract. If there was a motive, which there appears to have been, to conceal, that was not clear to me because I did not have-----
Paul McAuliffe (Dublin North West, Fianna Fail)
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Ms O'Leary's answer is simply not credible. It is like as if she was working in advertising in a bus company, and we said to the advertisers: "Do not to pay the bus company directly, pay the bus driver instead and then nobody in the garage will know that the bus drive is on more money than everybody else."
Paul McAuliffe (Dublin North West, Fianna Fail)
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Does Ms O'Leary know that RTÉ forwent €75,000 worth of income that it would otherwise have received?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Does Ms O'Leary know that that income was going to Ryan Tubridy?
Paul McAuliffe (Dublin North West, Fianna Fail)
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So RTÉ was paying €75,000 to Ryan Tubridy through a vehicle called the tripartite agreement.
Paul McAuliffe (Dublin North West, Fianna Fail)
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I will return to the credit note. I have to ask Mr. Collins the same question. Does he accept that the tripartite agreement was essentially a vehicle to keep €75,000 of revenue that would have otherwise come to RTÉ off the books so it would go directly to Ryan Tubridy?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Mr. Collins's evidence is that he had no involvement in the negotiation of the tripartite agreement, no involvement in its working out and no knowledge of it being cost neutral. I am sure he is aware of the RTÉ statement that was issued this week. In the statement, under the second point, it says:
Once it has been agreed in principle by the relevant editorial lead the process of negotiating the contracts of RTÉ's top 10 most highly paid on-air presenters is conducted by the CFO, with advice from the legal department.
That was either Mr. Collins or Ms Breda O'Keeffe, the previous CFO. Is that correct?
Paul McAuliffe (Dublin North West, Fianna Fail)
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Mr. Collins worked from January up to March, but there are also further dealings up to June. So between January and June, when the RTÉ statement says Mr. Collins should have been taking the lead on the contract, he had no involvement.
Paul McAuliffe (Dublin North West, Fianna Fail)
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Mr. Collins had no knowledge of the tripartite agreement.
Paul McAuliffe (Dublin North West, Fianna Fail)
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That was not my question. My question is whether Mr. Collins had any knowledge of the tripartite agreement.
Paul McAuliffe (Dublin North West, Fianna Fail)
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Why would RTÉ be-----
Paul McAuliffe (Dublin North West, Fianna Fail)
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Why would RTÉ be party to an agreement to generate earnings for Ryan Tubridy?
Paul McAuliffe (Dublin North West, Fianna Fail)
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RTÉ could only have been party to a tripartite agreement if it had an involvement in it. The only involvement it could have had is either to make the payment directly to Ryan Tubridy or to forgo income coming from Renault. When Mr. Collins was aware of a tripartite agreement, he must have been aware that RTÉ-----
Paul McAuliffe (Dublin North West, Fianna Fail)
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Mr. Collins was not aware of any tripartite agreement.
Paul McAuliffe (Dublin North West, Fianna Fail)
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The Grant Thornton report puts it more bluntly. It also refers to the legal department. I think Ms O'Leary has already said she was aware of it. In 2.8(b) of the auditor's report, it says: "The Commercial Brand were prepared to engage but their engagement would have to be [on a] cost neutral [basis]." Mr. Collins has stated that. It says in 2.5:
The RTÉ Legal Team's understanding of the contractual obligations in relation to the phrase €75,000 from commercial relationship is: (a) That €75,000 of the RTÉ sponsorship income from the third party commercial sponsor would be paid directly to the Talent by the third party commercial sponsor.
Ms Mullooly said she was not aware of the cost-neutral nature of the payment, but she was aware that money would be paid directly to Ryan Tubridy from the commercial agent.
Paul McAuliffe (Dublin North West, Fianna Fail)
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When the phrase "RTÉ legal team" was used-----
Paul McAuliffe (Dublin North West, Fianna Fail)
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So the RTÉ solicitor was aware of the cost-neutral nature of the agreement.
Paul McAuliffe (Dublin North West, Fianna Fail)
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Knowing that it was reducing the fee that would otherwise normally have come to RTÉ.
Paul McAuliffe (Dublin North West, Fianna Fail)
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Surely a solicitor would query why RTÉ would be party to a negotiation that had nothing to do with it.
Paul McAuliffe (Dublin North West, Fianna Fail)
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Unless it was reducing its income or in some other way being involved in the activity, why would RTÉ be involved in raising money separately for Ryan Tubridy?
Ms Paula Mullooly:
The contractual arrangement comprised the first part. There were a couple of side letters and then this commercial arrangement. The commercial arrangement was initially to be brokered by RTÉ, but the agent was insisting that RTÉ be a part of it and that the agreement for that would be that €75,000 would be paid directly from the commercial partner to the presenter.
Paul McAuliffe (Dublin North West, Fianna Fail)
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I have just one last question.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Very briefly.
Paul McAuliffe (Dublin North West, Fianna Fail)
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I am conscious of the exit fee of €120,000 that was referred to. I am also conscious that it is the subject of a Grant Thornton report. For anybody looking in at that, most people are familiar with the term "balloon payment" where you have a payment at the very end and that reduces your payments in the immediate term. If there was a balloon payment at the end of a contract, that would substantially reduce the declared income each year for Mr. Tubridy. If the €120,000 had to have been paid, would the declared income of Mr. Tubridy have increased by €120,000? Can Mr. Lynch see how that would be a significant issue when RTÉ was looking for a 15% reduction from everybody else? Not only am I suggesting that this is an orchestrated instrument to reduce his payments, I am also suggesting that putting the exit payment, or the balloon payment, at the end, that also sought to reduce his annual declared income over several years.
Mr. Adrian Lynch:
First, I was not aware of the cost-neutral element within this. Second, in terms of what Grant Thornton will tell us – there has been a lot of confusion about the €120,000 – is how it has actually been treated in the accounts. Was it used to reduce Ryan Tubridy's overall earnings in that period of time, as a kind of retrospective credit? Grant Thornton is investigating that.
Paul McAuliffe (Dublin North West, Fianna Fail)
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But it could have been used to reduce his declared income.
Alan Kelly (Tipperary, Labour)
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I welcome the witnesses. I have been knocking around here for a good while and this is the most extraordinary meeting I have had in the Committee of Public Accounts, and I have been to a lot of them. I have so many questions I could be here all day. I know I will have two rounds. I want to make a series of points first and then I will get to the questions.
First, I hope Dee Forbes does come in. If she does, I reckon it will help with a range of the issues that have been raised here. I do not think it would necessarily be good for a number of members of the executive.
Second, by next Thursday, I want the witnesses to provide the following: a copy of all bank accounts for RTÉ, where they are located and how often they are reconciled; and a copy of all barter accounts. On the latter, I include ones in TG4 or anywhere else, going back for the past 20 years. That is how far we have to go back. I remember the scenarios whereby a bike was brought on to the show for a former host of "The Late Late Show" or the golf clubs that were given to Ryan Tubridy. We have to go back a long way. I want the barter accounts for the past 20 years. If there are more of them, so be it.
The witnesses have already agreed to provide details of their salaries to us next week, but I also want to know if there are any pension top-ups or if there are any other benefits.
In the context of brand ambassadors and car payments, when did car payments come in or any other form of payment to supplement people's incomes? A former colleague, Tommy Broughan, raised the issue of cars for RTÉ stars in the Dáil in 2005. That tells us how far back we are looking. When did they come in?
I also want a full audit over the past five years of appearances by the top 20 stars in RTÉ on shows that they were not involved in. This cross-fertilisation is also valuable. We need to find out what was going on, if this was part of any deal, etc.
Can we get a full list of all talent agents that have done contracts with RTÉ? Do any of the talent agents have any shares or ownership of any shows that have been contracted by RTÉ? I ask the witnesses to provide a full audited list.
On the barter accounts, RTÉ listed out some of the issues regarding tickets etc., including Champion’s League finals and rugby. I note the former head of RTÉ news and current affairs was at the Champion’s League final in 2019. It is up publicly; that is the only reason I can say it. Can we get a full list of all payments, all tickets and where they were divulged to?
I will get into some core questions and would appreciate short, sharp answers. I am not trying to be rude, rather it is just that I do not have much time. I think I am the only person in this committee who is a former Minister. I want to say this to the chair, and I do not know you. If you went to a meeting with me and did not tell me what you did not tell the Minister, Deputy Catherine Martin, in relation to asking for the resignation of the director general, you would not be in the position now. I do not think any Minister would put up with that and I do not expect this Minister to put up with it. That is information you have to tell the Minister. I went through some of the most difficult things as a Minister during my period and that is something you would have to tell the Minister. I ask the previous chair whether, in her opinion, she would have told the Minister.
Alan Kelly (Tipperary, Labour)
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Thank you. That is all.
I wish to ask a question of the Department official who was here last week and who, by the way, neglected to tell any of us anything about this. I want to know the following. Would she have expected that her Minister would have been told in that meeting?
Alan Kelly (Tipperary, Labour)
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No, but she asked for her resignation and she did not tell the Minister. Would Ms Licken have expected that she would have told her?
Alan Kelly (Tipperary, Labour)
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But not that she had asked for her resignation.
Alan Kelly (Tipperary, Labour)
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Can I ask Ms Licken the following questions as a representative of the Department? We need to focus in on the Department much more than we have. When was the Department or any official aware of a barter account or barter accounts?
Alan Kelly (Tipperary, Labour)
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Nobody in the Department was aware until Thursday about the payments to Renault - that whole saga - or the issues in respect of Ryan Tubridy's salary until that Thursday.
Alan Kelly (Tipperary, Labour)
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When did you become aware and in what context?
Alan Kelly (Tipperary, Labour)
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Okay. That is fine. I think the rest of it is on the record.
I want to get through two more questions and possibly a third. Can we get a copy of this famous Teams call that took place – the tripartite?
Alan Kelly (Tipperary, Labour)
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Presumably, that is recorded.
Alan Kelly (Tipperary, Labour)
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Is that not standard practice for calls like that?
Alan Kelly (Tipperary, Labour)
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There are no minutes.
Alan Kelly (Tipperary, Labour)
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Who was the lawyer?
Alan Kelly (Tipperary, Labour)
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No problem. That is fine. Will you provide a copy of the note to us please by next Thursday?
Ms Paula Mullooly:
Sorry, can I intervene? The note forms part of the legal advice in the context of this file. It is covered by legal professional privilege. I have an issue in the context of this matter where there is a number of active and threatened litigation and I need to protect the legal professional privilege in respect of this matter.
Alan Kelly (Tipperary, Labour)
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Chair, we will take advice on that legally as well. We will then come back to Ms Mullooly. I suspect-----
Alan Kelly (Tipperary, Labour)
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I suspect that we are entitled to it. I will move on for time purposes. I wish to go through the timeline of what happened in March. Regarding this issue with Deloitte, the dates of 16 March and 17 March and Mr. Tubridy's resignation, the whole country is talking about this. The coincidence is incredible. I wish to ask everybody in the room the following question: Is anybody aware of anyone who may of spoken Mr. Tubridy, his agent or anyone belonging to him about what was coming down the line prior to 16 March, when he announced he was finishing up at "The Late Late Show"? Is anybody in the room aware of anything like that? No. Okay. That is fine.
Mr. Collins became aware on 7 March, he informed the director general on 8 March. Mr. Tubridy said he was finishing up on 16 March and then, on St. Patrick's Day - no issue with Deloitte - this meeting was called. In the statement by the RTÉ board on 23 June, the second paragraph states "Later in the same week, members of the Audit and Risk Committee ... of the RTÉ board were contacted by the auditors to alert them about concerns they had about a number of issues." In Mr. Collins's previous evidence, he said there was "an issue". This is stated there were a number of issues. What are the other issues?
Ms Anne O'Leary:
There were two invoices. All they said to me is that there were two invoices they were looking into, so I went directly. Another member of the audit and risk committee had a call with the people in Deloitte on 18 March and then on 21 March, we had a wider meeting of the entire ARC group. That is what started off the procedure of me getting the terms and reference ready for Grant Thornton, which went out on-----
Alan Kelly (Tipperary, Labour)
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It was only really the one multiple issue of two invoices.
Alan Kelly (Tipperary, Labour)
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Are you saying that is what is meant by "a number of issues" in the RTÉ board's statement?
Alan Kelly (Tipperary, Labour)
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Mr. Collins? Same?
Alan Kelly (Tipperary, Labour)
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Okay. Only one issue. I have another question. I refer to a statement made this week that Mr. Tubridy's contract has come to an end. I am no genius and I am not legally qualified but looking at precedent in respect of other people in RTÉ, I found that an extraordinary statement and I thought it was going to be a big problem straight away. Precedent would show that loads of people step down from TV programmes - I think Deputy Murphy went through this earlier - but they continued on. In fairness, the likes of Claire Byrne gave up. Who signed off on saying that, considering the absolute obvious risk involved?
Mr. Adrian Lynch:
Regarding that, yesterday I told the Oireachtas joint committee that his television and radio contract came to an end at the end of May. There were negotiations around a radio-only contract and those negotiations have been suspended. That was it. It seems to have got a bit confused with the termination of the contract that was negotiated between 2020 and 2025.
Alan Kelly (Tipperary, Labour)
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I think RTÉ has serious issues. I have one final question. In relation to the new presenter's salary - in fairness, he asked for it to be public - were there any changes made to the remuneration that was agreed with him versus what was announced in the past 24 hours? Were any changes made in the past week or so in respect of that and if so, what were they?
Alan Kelly (Tipperary, Labour)
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So the drop is €30,000.
Alan Kelly (Tipperary, Labour)
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Just to be clear, it is €250,000 and he is getting €20,000 for pre-production, I presume, and all that sort of stuff.
Alan Kelly (Tipperary, Labour)
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He waived €50,000 of what?
Brian Stanley (Laois-Offaly, Sinn Fein)
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On the legal privilege mentioned, could we ask RTÉ to consider waiving that in relation to that document?
Ms Paula Mullooly:
I do not think I am in a position to do that. I am happy to be here and answer questions as best I can within the confines of dealing with that legal privilege. There are very significant legal issues around that. In fairness, I anticipated that this question would arise and sought external legal advice on it last night. I got strong legal advice on the point.
Catherine Murphy (Kildare North, Social Democrats)
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I did not think there would be any questions left but clearly there are. I wish to address my first questions to Ms Geraldine O’Leary. I picked up on what she said yesterday about the invoice. She stated:
I am not normally somebody who raises invoices. That is not part of what I do. This was an unusual situation where I was asked by the director...
That is directly what she said.
If this was something that was not unusual or that was routine, I would not expect her to remember it but this was unusual. This was really unusual. One does not normally do this. Ms O'Leary was asked to make out an invoice for "consultancy" services. Did she know there was a problem with this last year - not this year - when people internally started raising concerns with her? Did she believe there was a need to keep this under wraps at that stage?
Ms Geraldine O'Leary:
I did not deliberately keep anything under wraps. As I have said from the beginning, this was unusual because I had never been involved in any element of a contract with the presenter. We have gone through year one already. In year two, in 2021, the director general asked me if there were any commercial partnership possibilities and I said "No". I did not go back to Renault because we already owed it for the previous year-----
Catherine Murphy (Kildare North, Social Democrats)
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I do not want a big, long response.
Catherine Murphy (Kildare North, Social Democrats)
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I am asking about last year. Did she know there was a problem, when people internally raised this with her, with this invoice?
Catherine Murphy (Kildare North, Social Democrats)
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I am talking about last year. Was this raised with her last year?
Catherine Murphy (Kildare North, Social Democrats)
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So Ms O'Leary is saying, categorically, that nothing was raised with her last year in relation to this invoice. She is absolutely categoric about that.
Catherine Murphy (Kildare North, Social Democrats)
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What did she tell her staff to do when they asked her what the consultancy services were for?
Catherine Murphy (Kildare North, Social Democrats)
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I have worked in offices over the years. When one is asked to raise an invoice, one will put on the invoice what it is for so that the person on the other side will know what he or she is paying for. Ms O'Leary is raising an invoice for consultancy fees and this goes to the heart of "an act designed to deceive" that we talked about earlier. We have an invoice that Ms O'Leary is raising. She has been instructed to raise it. She does not normally do this. She cannot recall some aspects of it. It does not name Ryan Tubridy or his company but in this whole arrangement, he would have been the beneficial interest. What did the person who raised this invoice in Ms O'Leary's office, on her behalf, say to her? What did the person say in terms of what to put on the invoice?
Catherine Murphy (Kildare North, Social Democrats)
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So Noel Kelly was saying what should go on the invoice. Is that correct?
Ms Geraldine O'Leary:
Well, I have repeatedly said that I do not remember whether it was the director general or Noel Kelly. My personal assistant and I have discussed it at length and neither of us is certain. My assistant was asked to raise the invoice and to do that, she had to consult with or talk to Noel Kelly, give him the billing details etc., so that was done.
Catherine Murphy (Kildare North, Social Democrats)
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Ms O'Leary would have led the week-long trip to Japan for the rugby world cup. Is that correct?
Catherine Murphy (Kildare North, Social Democrats)
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She would have benefited from that. Has she had an involvement with anything else involving the barter account?
Catherine Murphy (Kildare North, Social Democrats)
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In what kinds of things would Ms O'Leary have been personally involved?
Catherine Murphy (Kildare North, Social Democrats)
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Is there anything like the rugby world cup trip?
Catherine Murphy (Kildare North, Social Democrats)
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I want to move on to ask about the remuneration and development subcommittee, headed by Ms Doherty. According to the records, that subcommittee met 16 times between 2012 and 2016. It met six times between 2017 and 2021 but it did not meet at all in 2020. Again, according to the records, other permanent subcommittees met regularly in 2020 and 2021. The significant issues that we are talking about here today would have been under the purview of this particular committee, including the so-called balloon payment at the end of a contract. Why was this so? Who causes this committee to meet?
Catherine Murphy (Kildare North, Social Democrats)
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I have very little time so-----
Ms Moya Doherty:
Then I had a personal illness and betwixt and between, these fell through the gaps. How and ever, in my role as chair of the board, together with the chair of the auditing committee, I kept in regular communication with the director general on the issues under the remuneration committee, which were essentially consulting on top ten talent and also consulting on executive pay.
Catherine Murphy (Kildare North, Social Democrats)
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I am glad to hear that the top ten talent thing is being consigned to the bin but obviously the top of the top ten is Ryan Tubridy.
Catherine Murphy (Kildare North, Social Democrats)
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We are going around in a circle here. Would Ms Doherty say that Ms Forbes encouraged her not to have a meeting?
Catherine Murphy (Kildare North, Social Democrats)
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Had there been a meeting of this committee, would these issues have been discussed?
Catherine Murphy (Kildare North, Social Democrats)
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It just seems that all these silos were in place. If everybody did their job properly and interacted, these things would not have been possible. People would have asked questions.
I want to move on to Mr. Collins and the response he gave us earlier in relation to Deloitte asking him the question and then him asking Ms Forbes, who gave him a very convoluted answer. Does he feel that she was not being truthful with him in the response that she gave to him at that point?
Catherine Murphy (Kildare North, Social Democrats)
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From what Mr. Collins knows now-----
Catherine Murphy (Kildare North, Social Democrats)
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My next question is for legal. Do barter accounts have the potential to breach state aid rules?
Catherine Murphy (Kildare North, Social Democrats)
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What would happen if RTÉ was paying salaries by issuing invoices describing consultancy that did not happen? What if, in fact, it was for the remuneration of somebody who would otherwise be paid directly by RTÉ?
Catherine Murphy (Kildare North, Social Democrats)
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I ask that Ms Mullooly come back to us with that answer.
Catherine Murphy (Kildare North, Social Democrats)
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Could Mr. Collins give us the list of barter accounts? Does he have that list in front of him?
Catherine Murphy (Kildare North, Social Democrats)
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Is there a list of barter accounts?
Catherine Murphy (Kildare North, Social Democrats)
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What is the extent of the transactions?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Thank you, Deputy Murphy. You have time for one more very brief question.
Catherine Murphy (Kildare North, Social Democrats)
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I will come back in again in the next round.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Mr. Collins, in relation to contractors providing services to RTÉ, obviously there would be a lot of them, including IT experts, stars and so on. Contractors would come in many different guises.
Does RTÉ always request a tax clearance certificate for contractors?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Can Mr. Collins guarantee this committee and the public that no contractors work for RTÉ without tax clearance certificates?
Brian Stanley (Laois-Offaly, Sinn Fein)
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The code, however, for a semi-State company would endeavour-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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-----to ensure that, for any payments that are made.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Before you engage the contractor-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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-----would RTÉ ensure it is tax compliant?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay. Is Mr. Collins 100% confident that there are not any loose ends here?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Would there be any over a number of years?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay. Mr. Collins stated that the previous CFO did not brief him on the tripartite agreement in 2020, when Mr. Collins came in. I question the credibility of this. Mr. Collins stated that the person, as the former CFO, should have briefed him. That did not happen, according to what Mr. Collins said.
Brian Stanley (Laois-Offaly, Sinn Fein)
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It is in relation to the actual salary piece. Can we just deal with the salary piece? Mr. Collins is saying that he was across that deal. I am reflecting on the answers he gave on that. He said that he concluded the standard part. I am trying to picture the scenario where Mr. Collins is concluding the standard part of Ryan Tubridy's salary, who had €440,000 or €495,000, whichever it was, in different years. Surely, before Mr. Collins could do that, he would have to know the basics around what kind of income Mr. Tubridy was already in receipt of, be it from the diversionary route or, as we now know, the concealment route, in addition to knowing the details of the regular, main payment.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Surely, he was briefed on that.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Did Mr. Collins ask whether there were any top-ups, side deals or diversionary routes?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay. I will ask about the end-of-year bonuses from 2017 to 2019 and the €120,000. As I understand it, Mr. Collins stated that was never paid and never accrued, yet the recipient actually finished up with it.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay. It was deducted from his published earnings.
Mr. Richard Collins:
Yes. They are two separate matters. He was due a €120,000 bonus at the end of his contract. It was never paid and never accrued. That is one matter. A separate matter is that €120,000 was deducted from his actual earnings when the published earnings were being calculated from 2017 to 2019.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Correct.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I will take Mr. Collins back to the consultancy and the agent, Noel Kelly, providing services to RTÉ. How much was the figure for that?
Brian Stanley (Laois-Offaly, Sinn Fein)
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The consultancy. The invoice came with "consultancy" written on it.
Brian Stanley (Laois-Offaly, Sinn Fein)
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How much was the invoice for?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Are there any others?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Grant Thornton found that there was no evidence of consultancy. Is that correct?
Brian Stanley (Laois-Offaly, Sinn Fein)
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There is no evidence of it.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay. On consultancy, if somebody came in to advise you who had been negotiating on behalf of agents and negotiating on behalf of a number of agents in RTÉ, does Mr. Collins think it is appropriate that they would be hired to do some consultancy work and to advise RTÉ, its team here, and Ms Dee Forbes etc. on strategy and how to deal with all of that? Is that appropriate?
Brian Stanley (Laois-Offaly, Sinn Fein)
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On reflection. This man had the whole thing in the palm of his hand. According to the Grant Thornton report, he wrote the letter demanding the final settlement. He sent a letter for the board and the director general to sign. He had the power of God, by the look of that and according to the Grant Thornton report. Surely, the minute you saw the letter, not just a red light would start flashing but you would press the "on" button on the shredder and put the letter into it, at that point.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Would Mr. Collins not ask who the directors of the company were?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay. I will move on to Ms Forbes's resignation being asked for. Ms Licken was before the committee last week. When she came to the committee, how much awareness had she of what was happening in RTÉ and what was unfolding, in a general way?
Ms Katherine Licken:
We did not have the detail of it. We did not have the detail until after the appearance here last week. We knew that an issue was unfolding. We knew it was with the board, that it was in process and that that process had not concluded. We expected it to conclude at some point at the end of the week, working towards possibly Thursday afternoon or Friday.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Did Ms Licken know what it related to?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Did Ms Licken know that it related to false figures regarding pay levels for what is described as talent?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Did any officials attend the meeting on Saturday, 24 June?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Ms Quill attended as well. On the issue around Ms Forbes, the fact is that on Thursday the public position was that she was on holidays, and on Friday it was said she was suspended. Was there any discussion of that at the meeting? Did that come up?
Brian Stanley (Laois-Offaly, Sinn Fein)
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I am asking about that inconsistency.
Brian Stanley (Laois-Offaly, Sinn Fein)
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The officials knew on Thursday.
Brian Stanley (Laois-Offaly, Sinn Fein)
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The officials knew that the public statement put out by RTÉ that Ms Forbes was on holidays that Thursday was not correct.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Right. The officials knew the statement put out by RTÉ was incorrect.
Brian Stanley (Laois-Offaly, Sinn Fein)
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It was reported that she was on holidays. Is that correct?
Brian Stanley (Laois-Offaly, Sinn Fein)
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That was what was being reported.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I will ask about Mr. Coveney's role in RTÉ. Is his role strategy?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Mr. Coveney worked hand in glove with the director general-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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-----advising her.
Brian Stanley (Laois-Offaly, Sinn Fein)
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How many years has Mr. Coveney been in that role?
Brian Stanley (Laois-Offaly, Sinn Fein)
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You have been director of strategy for five years.
Brian Stanley (Laois-Offaly, Sinn Fein)
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You would have had a very close working relationship with Ms Forbes.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Did she ever discuss with you matters in relation to the retention of the top stars?
Mr. Rory Coveney:
No. We never had a conversation about this. I know that might sound strange because we were very close, and I hope we will be at some stage again when this has all passed, but we never had a conversation about this. I have never had a role in top talent negotiations or discussions. I do not have responsibility for it. So "No" is the answer.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Let me put this to you. On numerous occasions, members of this committee have asked RTÉ management about the high levels of remuneration for the top talent, so to speak. The justification always was that they would walk. They said they had to try to retain them and there was a competitive market out there. You will have observed those meetings here. I cannot recall whether you were present at any of them. Were you at some of those meetings?
Brian Stanley (Laois-Offaly, Sinn Fein)
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I am sure you would have observed some of them as well. You would have heard reports back from those meetings and you would have been involved in preparations for them, along with Dee Forbes and other senior staff, as the head of strategy. Much play was made by the senior people at the top of RTÉ of the importance of retaining that talent. If that is the case, and you were head of strategy for five years and you have a close relationship with the director general, you are asking me to believe the area around these issues was never discussed with the director general.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Did you-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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I have seen the grid.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I will ask a very specific question about it. Have you ever discussed with Ms Forbes or other senior executive in RTÉ that whole area of having to pay significant salaries - what would be counted as very high salaries - or payments or fees, as they are sometimes referred to because they are contractors, to retain that talent? Was that necessary? Was there ever a discussion around the necessity of that?
Brian Stanley (Laois-Offaly, Sinn Fein)
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As the head of strategy-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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Just to keep it short, the necessity of payment would be discussed. It had to have been over the past five years. What else would you be doing?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay.
Brian Stanley (Laois-Offaly, Sinn Fein)
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When those discussions were taking place did anybody in the room ever ask where they would walk to? Was that question ever asked?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Is the market that big out there in this country?
Brian Stanley (Laois-Offaly, Sinn Fein)
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I am glad you agree with me that it is time to reflect on that.
Brian Stanley (Laois-Offaly, Sinn Fein)
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There is also the back question to that. If somebody did walk, I think we could be fairly confident that we would fill those positions for €445,000 or €495,000 a year. I am absolutely confident that if those jobs were advertised, RTÉ would get enough applications and that there would be long list. I am sure it would have to make a short-list for interviews. It would not be a case of having only one or two applications. Most people involved in recruitment would say it is a very attractive position in a very attractive company and it is a highly rated position. Anybody working in a recruitment agency would tell you that. I thank Mr. Coveney.
I will bring members in for a second round of questioning. We are trying to get finished up so I will set some ground rules. We could take a second break but I propose that we take four minutes each and that we try to wrap up at around 5.15 p.m. It would save us from having another break. Is everyone happy with that? Agreed.
James O'Connor (Cork East, Fianna Fail)
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I thank the Cathaoirleach. This meeting has taken a very dark turn from what we started out with today and what we saw yesterday. This is because a number of things have been said in the room. There have been denials and a change in vocabulary and tone. Something that really struck home to me was related to the barter fund. To have the former chair of RTÉ describe it as a "slush fund" is enormously significant. I want to give Ms Doherty an opportunity to expand on what she said. To me it has very deep ramifications. Ms Doherty was leading the organisation while much of this was going on, in terms of her capacity on the board. I would like to know what she means when she says "slush fund".
Ms Moya Doherty:
My colleague behind me, and because he is behind me I cannot see him, went to the dictionary and looked up the definition of a "barter fund". That struck me as quite an horrific definition. From my perspective, and that of my colleagues Dr. P.J Matthews, Anne O'Leary and Robert Shortt who were on the board with me, none of us knew of the existence of this barter fund. It was outside of the financial department and, therefore, not reported to us as a board during our monthly meetings and did not exist in the monthly management accounts. For me, as chair, and for my colleagues on the board, that is staggering and absolutely shocking. We did not even pick up in the corridors of RTÉ the existence of the barter fund. I appreciate, from my education about the barter fund of late, that it is something that is common in commercial. How and ever, it raises the bigger issue now about the tension between commercial and public service. That is a debate-----
James O'Connor (Cork East, Fianna Fail)
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I will have to stop Ms Doherty because my time is very limited. She has been very generous in that answer.
My next question is for Mr. Shortt. I am sorry to put him on the spot but we know the significance of his presence here on behalf of his organisation and the team he represents on the board. Was there widespread knowledge in the broadcasting team and were the lesser public figures on RTÉ - by which I mean those involved in TV broadcasting in Ireland with whom we would not be as familiar - aware of the significant amount of finances involved in the barter funds, yes or no?
James O'Connor (Cork East, Fianna Fail)
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Yes, and please keep the answer as short as possible as my time is quite limited.
James O'Connor (Cork East, Fianna Fail)
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How did Mr. Shortt feel about it?
Mr. Robert Shortt:
I was shocked. It took me a while even to try to understand that. Having said that, it obviously exists in the commercial world, and I fully accept that, but it was not widely known. It is very important to state, with regard to people working in news and current affairs and other parts of the organisation, there is a very clear distinction between the activities in the commercial section and what we do. We would not have known about a barter account. It would not have been appropriate for us to know about a barter account and what went on in a barter account.
James O'Connor (Cork East, Fianna Fail)
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Were ordinary staff in RTÉ as familiar as we here have now become with the amount of perks there were with this job? We have heard about Champions League final tickets and IRFU ten-year tickets. There seems to be a Las Vegas-style culture and a Celtic tiger culture that has persisted in RTÉ. Is that something the staff are familiar with?
Mr. Robert Shortt:
I do not mean to make a joke here but in RTÉ the joke is that the RTÉ Guideis the perk. You might get a free RTÉ Guide every week but that is about it and, I might add, you might not get the ChristmasRTÉ Guide. Staff generally do not have any sight of what has been described here today. Having listened, I know a lot more about a barter account now than I did back in March, and I can see why such an account works in the commercial world. but it was something I had no knowledge of prior to this.
James O'Connor (Cork East, Fianna Fail)
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I ask the chair of the board, from what she has heard and seen so far and from what she knows, whether she has any fear that any of this amounts to criminality or fraud.
James O'Connor (Cork East, Fianna Fail)
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There does not seem to be much that is standard about this particular barter account.
James O'Connor (Cork East, Fianna Fail)
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It seems to be incredibly complex. Considering the amount of public money involved in the transactions with this barter account, we are going to need to see an awful lot more detail. I fully support the point made by Deputy Kelly. We need everything on this, from top to bottom. This is not going to go away. As a matter of fact, because of today's meeting the situation is going to get worse. I am out of time. It is imperative that the board furnishes this committee and the public with that information in a matter of days, let alone for next week's meeting. It needs to be done urgently.
Imelda Munster (Louth, Sinn Fein)
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My question is to the commercial director. I want to take her back to year one of the tripartite agreement. She had negotiated with Renault to pay Ryan Tubridy €75,000. Is that right?
Imelda Munster (Louth, Sinn Fein)
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RTÉ then issued a credit note to Renault for €75,000.
Imelda Munster (Louth, Sinn Fein)
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I am curious as to the logic in asking Renault to pay and then RTÉ to pay it back.
Ms Geraldine O'Leary:
To repeat, once the deal had been done, I was asked to represent this to Renault, which I did. Ideally, I am sure the hope was that Renault would have extra money to pay Ryan Tubridy separately but it had not. From my perspective, this is a loyal and supportive client. Once the cost-neutrality principle was accepted by the director general, the client was getting three high-profile events for its business.
Imelda Munster (Louth, Sinn Fein)
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Most people would see that the only logic for that was to conceal the payments. The other point is that it was not cost-neutral because RTÉ paid the €75,000.
Imelda Munster (Louth, Sinn Fein)
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It was cost-neutral to the client but not to the taxpayer. There is talk about it being "cost-neutral", but RTÉ paid in years one, two and three.
Imelda Munster (Louth, Sinn Fein)
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Yes, but it was not cost-neutral to the taxpayer. We paid in years one, two and three of that tripartite agreement.
I will ask a question of Mr. Collins. That credit note went through his department, the finance department, did it not?
Imelda Munster (Louth, Sinn Fein)
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Who authorised that?
Imelda Munster (Louth, Sinn Fein)
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I am asking about when it came through Mr. Collins' department.
Imelda Munster (Louth, Sinn Fein)
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With you?
Imelda Munster (Louth, Sinn Fein)
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Mr. Collins would have known it was part of the tripartite agreement.
Imelda Munster (Louth, Sinn Fein)
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Right, here we go again. All of a sudden, we were paying Renault for a fee it paid to Ryan Tubridy. We were paying for something we should not have been paying for if things were done properly. This credit note came through Mr. Collins' department. Is he saying he did not ask what the story with it was? Did nobody tell him this was part of the tripartite agreement?
Imelda Munster (Louth, Sinn Fein)
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This was year one.
Imelda Munster (Louth, Sinn Fein)
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It was part of the tripartite agreement.
Imelda Munster (Louth, Sinn Fein)
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Mr. Collins just said it was not. Will you stop?
Imelda Munster (Louth, Sinn Fein)
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At that stage, did Mr. Collins, as chief financial officer - I do not want to have to say that once more - not ask questions?
Imelda Munster (Louth, Sinn Fein)
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Take your time now.
Imelda Munster (Louth, Sinn Fein)
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In hindsight, yes.
Imelda Munster (Louth, Sinn Fein)
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It appears to me-----
Imelda Munster (Louth, Sinn Fein)
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-----that Mr. Collins has been consistent in one thing. He has been consistent in failing to do his job as chief financial officer.
I know time is of the essence. I want to come back to the slush fund. Ms O'Leary called out a few examples. There was a U2 concert in Croke Park on 14 May 2019. Will she look up and tell us how much that cost? Was it Ms O'Leary who organised that?
Imelda Munster (Louth, Sinn Fein)
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Ms O'Leary would have organised that.
Imelda Munster (Louth, Sinn Fein)
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Would there have been family members at that?
Imelda Munster (Louth, Sinn Fein)
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That particular U2 concert.
Imelda Munster (Louth, Sinn Fein)
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All right.
Imelda Munster (Louth, Sinn Fein)
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All right. There were two of you there.
Imelda Munster (Louth, Sinn Fein)
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Ms O'Leary thinks she attended with her husband. A coach was hired to take her from the Twenty2 restaurant in Drumcondra, which has now closed, to Croke Park.
Imelda Munster (Louth, Sinn Fein)
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That is fairly flippant with taxpayers' money.
Imelda Munster (Louth, Sinn Fein)
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Hold on. What galls the public is that RTÉ cried poverty constantly and here was Ms O'Leary, as commercial director, with a redundant chief financial officer who was not aware of anything, flashing taxpayers' money by hiring a coach to take her from Drumcondra to Croke Park. She brought the hubby along. There was another gig at the K Club.
Brian Stanley (Laois-Offaly, Sinn Fein)
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The Deputy is over time.
Imelda Munster (Louth, Sinn Fein)
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I will finish on this point. I want a figure for the cost of that Croke Park gig and while Ms O'Leary is here, a figure for attendance at the K Club on 27 May 2019. There were about five or six months between those two big hooleys.
Brian Stanley (Laois-Offaly, Sinn Fein)
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We will get those figures.
Imelda Munster (Louth, Sinn Fein)
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How much was the cost for those? Did Ms O'Leary also organise the K Club event?
Imelda Munster (Louth, Sinn Fein)
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Did she attend the event?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Can we have those figures for Deputy Munster and the committee before the end of the meeting?
Marc Ó Cathasaigh (Waterford, Green Party)
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I will return to the issue of the remuneration committee that was raised by Deputy Catherine Murphy. According to the RTÉ website, the remuneration and management committee has a specific remit in terms of reviewing policy in relation to the top talent contractor contracts. That is very specific to what we are talking about. It is also to review the remuneration of executives and the director general. I understand Ms Doherty was a member of the committee at the time. Was Ms O'Leary also a member?
Marc Ó Cathasaigh (Waterford, Green Party)
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Ms Doherty was chair of the committee. It met every year from 2004 to 2021, which I have records for, apart from this particular year, which is an extraordinary coincidence, if I am honest. It did, however, meet in 2021. That was when we would have expected to have seen the outworking of this underwriting. Were any details discussed at the meeting of the remuneration committee about the underwriting?
Marc Ó Cathasaigh (Waterford, Green Party)
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Ms Doherty would have expected the details of that underwriting to be presented to the committee in the normal course of things.
Marc Ó Cathasaigh (Waterford, Green Party)
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Who speaks at that committee? Ms Doherty convenes a meeting. Who else attends and who presents the details the committee is supposed to review?
Marc Ó Cathasaigh (Waterford, Green Party)
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In 2021, did the director general present to the committee when it met?
Marc Ó Cathasaigh (Waterford, Green Party)
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The committee met at this time. The period should have covered the Renault deal, considering there had not been a meeting in 2020. It should also have covered the underwriting.
Marc Ó Cathasaigh (Waterford, Green Party)
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The director general did not come or consult the committee on this occasion. Did anybody come in her stead?
Ms Paula Mullooly:
No. May I say something here? This question is being directed to the chair of the audit and risk committee and the previous chair.
I am the company secretary to the board, so if there was a lapse in calling meetings during that time, I must bear some responsibility for that. I needed to pursue it more vigorously and I did not.
Marc Ó Cathasaigh (Waterford, Green Party)
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I assume this committee would have expected to know if there was a discrepancy between the figure of €440,000 that was published versus the €515,000 that was actually making its way to Mr. Tubridy. The committee would have expected to hear that information on the meeting of 2021.
Marc Ó Cathasaigh (Waterford, Green Party)
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It goes back to that opening statement where-----
Marc Ó Cathasaigh (Waterford, Green Party)
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As Ms. Ní Raghallaigh said, it appears that this was an act designed to deceive or, at the very best, to conceal. It should have been presented to that committee. Regarding the payments that came through this clandestine and labyrinthine method of invoices and the divil and all, there is the issue of tax compliance. These have moved between jurisdictions and we have been told there is no VAT liability because they emanated from the UK. They are part of a payment in lieu of salary or as a top-up to salary. Are we satisfied that the tax liabilities have been covered off? In the end of year reporting in terms of tax liabilities, were the transactions undertaken by the barter account - this one is the largest and most notable - adequately captured when preparing and submitting tax returns at end of year?
Marc Ó Cathasaigh (Waterford, Green Party)
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The witnesses are not currently satisfied that the tax liability is adequately provided for?
Colm Burke (Cork North Central, Fine Gael)
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Can we get a hold of the details of every payment made into that account and details of what it was used for over the last ten years?
Colm Burke (Cork North Central, Fine Gael)
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That will be made available to us.
I would like to ask the director of commercial, Ms Geraldine O'Leary, about the barter account. I know it was accepted practice to use a barter account but did she see a need at any stage for legal advice about the use of that account?
Colm Burke (Cork North Central, Fine Gael)
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Did it occur to Ms O'Leary that even though it might have been practice - many cases are going through the High Court - something might have been practised within an organisation for a long number of years but might not necessarily be legal? Did it ever occur to Ms O'Leary that she should look for legal advice about how this matter was being dealt with?
Colm Burke (Cork North Central, Fine Gael)
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Regarding the legal adviser, was Ms Mullooly aware of the existence of the barter account? When did she become aware of it?
Colm Burke (Cork North Central, Fine Gael)
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Moneys were going out - surely someone at some stage would have looked to Ms Mullooly for legal advice?
Colm Burke (Cork North Central, Fine Gael)
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Many questions are arising out of the evidence given yesterday and today. Can I take it from the chair that everyone who made themselves available will be available, should the committee require anyone to come back in?
Colm Burke (Cork North Central, Fine Gael)
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Will Ms Ní Raghallaigh make absolutely sure that occurs and that we will not be left in limbo and unable to get answers to further questions we might want to ask?
Colm Burke (Cork North Central, Fine Gael)
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Ms Ní Raghallaigh will undertake to do that. On reorganisation, given what has occurred, is a process now going to be set in place to put in proper structures to make sure something like this does not happen again?
Colm Burke (Cork North Central, Fine Gael)
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In what kind of timescale would Ms Ní Raghallaigh hope to have that done?
Ms Si?n N? Raghallaigh:
We are dealing with everything that we can immediately. Some of the changes that have to happen are simple and some are a bit more complex. That will be done over a period of time. I do not know - I would say in the next month, I hope, we will have tightened up on everything. We have already started the changes, to be clear.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Dr. Matthews is on mute but perhaps he can respond in a second. I wish to ask him what I asked Ms Anne O'Leary earlier, because he is also one of the longest-serving members on the board, alongside Ms Anne O'Leary. He has been a member since 2014. Did he witness a change in culture since 2016 or 2017?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Dr. Matthews is in his second term as director, is that correct?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Has Dr. Matthews seen a change in culture over that period, given that he has worked alongside two directors general of the organisation?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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That is fine. Did he witness a change in culture? That is my question.
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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I thank Dr. Matthews. My time is limited. I appreciate his response.
To stick with the barter account, perhaps Mr. Collins could respond. When was it first established?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Mr. Collins said he was in from 2020. It is unfortunate for him because he has inherited this somewhat. I wish to ask Mr. Lynch if there was any whistleblowing in RTÉ over the last number of years?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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There has never been any whistleblowing or complaints made?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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None at all. Is a procedure in place?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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Who oversaw the barter account? Was it just the director general or was there anybody else?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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There was nobody else, except when Mr. Collins became aware of it. Is that correct?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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We went through this earlier and, ultimately, it comes back to finance. Is that right?
Cormac Devlin (Dún Laoghaire, Fianna Fail)
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I will put it a different way. In terms of the ten-year season tickets, the Rugby World Cup, U2, golfing and all the other activities, it looks like this harks back to FÁS. FÁS got caught and it was reformed. RTÉ has been caught, I suppose, but there are the same insinuations that there was a kind of slush fund, to use the words. I grew up with RTÉ and programmes like "The Den" and "Planet Zog" - you must be living on it if you are asking us to believe that no one else knew. Were any directors of the board at any of these events? Nobody? The thing is that people must have known that such and such was going off to U2, the K Club and the dinners, along with their partners and possibly their families. Nobody asked any questions, with the exception of Mr. Shortt, who was elected to his position, and the staff of the organisation, who must really wonder what was going on because they might get a free RTÉ Guidethe odd time - wow. It was not being run for the benefit of the staff or the taxpayers.
John Brady (Wicklow, Sinn Fein)
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I wish to go back to a statement Mr. Collins made earlier in relation to the agreement that was in place with Mr. Tubridy.
He spoke about the concealment and the deception. He also made a statement where he described the taxpayer as being defrauded.
John Brady (Wicklow, Sinn Fein)
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Okay. Mr. Collins stated that the taxpayer was defrauded, so that is a very serious-----
John Brady (Wicklow, Sinn Fein)
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Okay, in his opinion. Has Mr. Collins spoken to An Garda Síochána and made a statement about that?
John Brady (Wicklow, Sinn Fein)
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Does Mr. Collins intend on making a statement to the Garda? Defrauding is a serious offence. It is unlawful, and that is a statement that Mr. Collins has made. On that basis, will he speak to the Garda?
John Brady (Wicklow, Sinn Fein)
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I think Mr. Collins should because he made a very bold statement.
The barter account was set up in 2014. We also have the former director of commercial for RTÉ online - Mr. Willie O'Reilly. Was he the director that the time when that account was set up?
John Brady (Wicklow, Sinn Fein)
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Mr. O'Reilly was the former director of commercial. Was he responsible for the establishment of the barter account?
John Brady (Wicklow, Sinn Fein)
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I thank Mr. O'Reilly. Is it correct that Ms Geraldine O'Leary took over the position in 2019?
John Brady (Wicklow, Sinn Fein)
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The account in place at that stage.
John Brady (Wicklow, Sinn Fein)
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We have heard some of the grotesque expenditures, some of which are headline figures, I imagine. There was media reporting of the trip to Tokyo at the time. I think it was in the Mail on Sunday. Can Ms O'Leary repeat for us again how much that particular trip cost?
John Brady (Wicklow, Sinn Fein)
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I think Mr. Collins made reference to it earlier on. It was in the region of €111,000.
John Brady (Wicklow, Sinn Fein)
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That media report, dated 22 September 2019, said that there were six people on that trip. Ms O'Leary was one of those six.
John Brady (Wicklow, Sinn Fein)
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That was more than €18,500 per head for that trip, doing simple maths.
John Brady (Wicklow, Sinn Fein)
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Okay, but it is still an extraordinary amount.
That report was published in 2019. The former chair of the RTÉ board, Ms Moya Doherty, stated that she had no knowledge of the barter account. I am sure when this was rightly picked up by the media back in 2019, it was a topic of conversation at the board. Was it?
John Brady (Wicklow, Sinn Fein)
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This article was published in 2019 regarding the trip to Tokyo by RTÉ and others. There was a lot of criticism that this trip had taken place at the same time as a series of cuts being made at RTÉ. I am sure that particular trip was a topic of conversation at board level.
John Brady (Wicklow, Sinn Fein)
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I am sure a legitimate question would have been asked as to where the money came from to pay for that trip. Does Ms Doherty recall?
Mr. Robert Shortt:
I cannot recall whether the question was asked but I definitely had the assumption that RTÉ paid for the trip. We were not made aware, at that point, that it had gone through something that we now know to be a barter account. However, there was a lot of disquiet about what had happened and what had been reported.
John Brady (Wicklow, Sinn Fein)
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There was no proper accounting given as to where the money came from.
John Brady (Wicklow, Sinn Fein)
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To finish, I asked yesterday at the Oireachtas Joint Committee on Tourism, Culture, Arts, Sport and Media that the accounts from the barter account would be published. Can I ask that they would be published here at this committee, as well as the five-year contract for Ryan Tubridy, and the tripartite agreement? It was also stated yesterday by Ms Geraldine O'Leary that on an annual basis, she publishes an account of any benefits that she accrues from the barter account. Am I correct?
John Brady (Wicklow, Sinn Fein)
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Ms. O'Leary publishes that every year. Can I ask if the Committee of Public Accounts could also be provided with that, and any side letters that have been published or given relating to any of those negotiations or agreements?
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank Deputy Brady. On the side letters, can the witnesses ensure that we get a copy of the letter from Mr. Noel Kelly, which was sent in the final stages of the 2020 agreement and referred to in the Grant Thornton report?
Brian Stanley (Laois-Offaly, Sinn Fein)
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That is correct and if there was a final exchange of any correspondence about what was actually agreed.
Verona Murphy (Wexford, Independent)
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I want to ask Mr. Robert Shortt on behalf of the good staff, or the ordinary staff, of RTÉ, who are all talented, what he considers to be an appropriate sanction, based on what he is hearing today, or what is going to go on, and the Grant Thornton report. Does he believe he is going to get accountability from this process?
Mr. Robert Shortt:
Yes, I believe we are going to get accountability from this process, and that has been the intention of the board at least in beginning the process, to bring us to where we are at now. I fully accept that it is extremely frustrating. It is an ugly process, and one that is also dragging the organisation through enormous damage reputationally in terms of staff morale. If I did not believe we were going to get accountability, I would not be engaged in it.
Verona Murphy (Wexford, Independent)
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What does Mr. Shortt believe it should look like?
Mr. Robert Shortt:
I do not think that is for me to say. There is a process in place where we are getting there. We have already taken actions that have been called into question in an attempt to try to bring in a level of accountability for the now former director general. That was not an easy decision to make. Obviously, we were patiently waiting for the first Grant Thornton report to be completed, and then it went through our own meeting at the audit and risk committee. There were three full board meetings and at that stage the process of accountability was under way before we made what was also a very difficult decision to suspend the director general. As a member of staff, that is a decision that went through a lot of rigorous discussion. It was a big decision to make, and we did not take it lightly.
Verona Murphy (Wexford, Independent)
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I appreciate that, and I can see from Mr. Shortt's face through this whole thing that this is painful. I can just imagine. It is the deceit, and the whole thing was designed to deceive staff and make them believe that they had to take pay cuts because the top talent, as they were referred to previously, had taken them.
At the same time, Mr. Shortt talked about the lengthy process that was undertaken when it came to Ms Forbes. What have we learned? The coffers of RTÉ, as I previously stated, are going to suffer on the basis of compensation that will be paid for the process not being undergone, with what Mr. Lynch's actions were. I cannot remember who Mr. Lynch said he made the decision with not to put Mr. Tubridy back on the air.
Verona Murphy (Wexford, Independent)
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That is going to strain the finances of RTÉ further because I am sure the Government is not going to pick up the tab, nor should it. What level of learning have we with incompetent decisions? The witnesses took weeks, as a board, for someone who was leaving anyway, and six weeks from her role being fulfilled as the DG-----
Verona Murphy (Wexford, Independent)
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No, sorry. The board took a week to decide on someone who had only six weeks left in the role.
This decision was made by a board. Is that not correct?
Verona Murphy (Wexford, Independent)
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This decision that Mr. Lynch made was made by two people. We are talking about a mistake, or whatever it is going to be called, that has cost €150,000. This will cost hundreds of thousands, if not millions, of euro. Where are we going to see accountability? At the end of the day, Mr. Lynch said he will not resign. He is not being asked to take a reduction in salary. When that bill has to be accounted for, however, who will take the reduction in salary and ultimately become accountable, other than the people Mr. Shortt represents? I do not call that accountability. I do not know what accountability looks like here but I know certainly there is nobody in front of it.
Mr. Robert Shortt:
I am sorry; I will go some way to answering that. There is also accountability to the public and accountability to what RTÉ stands for, which is the truth. I know that may be difficult for people to accept given everything that has been happening, but as far as staff are concerned, that is very much what we understand our jobs to be. I do not know what, as the Deputy asserts, there may be in terms of the risks that have arisen because of the way we have dealt with this, but we have made decisions. We felt we had to make decisions. In terms of the decision regarding Ryan Tubridy being on air, that was not a board decision, nor should it ever be a board decision. The idea that a board would have some say-so in who is on the air in RTÉ would quite frankly-----
Verona Murphy (Wexford, Independent)
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No, I agree with that. I do not mean the board-----
Verona Murphy (Wexford, Independent)
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I mean the full executive should have been aware of a decision that was going to result in a payout of hundreds of thousands, if not millions, of euro at the end of this. That will be the end result. There will not be accountability. Nobody will be sacked because the scapegoats are already in place.
Mr. Robert Shortt:
I can only assure the Deputy, as a board member who has a responsibility both to staff but also, indirectly through the Minister, to the Oireachtas, that accountability will be something that I will be very focused on delivering for staff, for the Oireachtas, through the Minister, and for the public.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank the Deputy.
Verona Murphy (Wexford, Independent)
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That is why I asked. I asked what it looked like.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank Mr. Shortt. I call Deputy Dillon.
Alan Dillon (Mayo, Fine Gael)
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The scars of today's meeting of the Committee of Public Accounts will run deep for RTÉ for years to come, especially after what we have listened to today. It has been exceptional for any members here to witness it. We heard about fraudulent invoices, off-balance sheets and accountancy practices. We have the concealment of payments. We heard of a €1.25 million slush fund for IRFU world cup tickets and Champions League tickets, and there is much more to come. I ask the CFO again whether he accepts that RTÉ voluntarily decided to spend a further €81,000 to hide the unbudgeted expense, that is, the invoices to Mr. Noel Kelly, by putting it through the barter account.
Alan Dillon (Mayo, Fine Gael)
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I will ask again. Who made the decision to put it through the barter account?
Alan Dillon (Mayo, Fine Gael)
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The payment for the invoice was €150,000. Everyone knew that, with commission fees, the payment was going to increase by an extra €81,000. Who made that decision?
Alan Dillon (Mayo, Fine Gael)
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That was done knowing that this substantial additional fee would be applied.
Alan Dillon (Mayo, Fine Gael)
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It was done not knowing who the recipient was.
Alan Dillon (Mayo, Fine Gael)
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I do not think that is credible. Again, we are looking-----
Alan Dillon (Mayo, Fine Gael)
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As I said earlier, truth matters-----
Alan Dillon (Mayo, Fine Gael)
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-----and we are looking for-----
Alan Dillon (Mayo, Fine Gael)
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Truth matters.
Alan Dillon (Mayo, Fine Gael)
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As RTÉ is our public broadcaster, it is really important. I do not think it is credible to say that.
Alan Dillon (Mayo, Fine Gael)
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Can Ms O'Leary confirm if the former head of news attended the Champions League final in 2019 with the cost paid from the barter account?
Alan Dillon (Mayo, Fine Gael)
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Were his expenses paid through the barter account?
Alan Dillon (Mayo, Fine Gael)
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Okay. My next question is for the acting director general. Who is replacing Ms Dee Forbes as the director of RTÉ's private company, GAAGO?
Alan Dillon (Mayo, Fine Gael)
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When will a decision be made?
Alan Dillon (Mayo, Fine Gael)
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Will Mr. Lynch also provide the committee with the up-to-date subscription numbers for GAAGO for the 2023 championship season? Is that something he can provide?
Alan Dillon (Mayo, Fine Gael)
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Okay. I thank Mr. Lynch.
My final questions are directed to the chair of the board. Normally in a crisis, the natural inclination is to come forward with all the information and get a resolution. As I said earlier, however, Ms Ní Raghallaigh went on RTÉ news when she knew she would not give a correct picture at the time. What has been painfully evident here is what happened subsequently. We are trying to establish the facts but things are getting worse by the day. On the basis of what Ms Ní Raghallaigh said at the start of today's session in terms of an act designed to deceive, how confident is she in all her RTÉ colleagues to fix this?
Alan Dillon (Mayo, Fine Gael)
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I would blame the board as well for not coming forward with all the information-----
Alan Dillon (Mayo, Fine Gael)
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-----when we asked Ms Ní Raghallaigh yesterday.
Alan Dillon (Mayo, Fine Gael)
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I ask Ms Ní Raghallaigh to respond.
Alan Dillon (Mayo, Fine Gael)
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With regard to the question, how confident is Ms Ní Raghallaigh in the executive management to fix the situation?
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank the Deputy.
Alan Dillon (Mayo, Fine Gael)
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Is Ms Ní Raghallaigh's position as RTÉ chair tenable?
Alan Dillon (Mayo, Fine Gael)
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What about the mistake of not informing the Minister in relation to the resignation that Ms Ní Raghallaigh requested?
Brian Stanley (Laois-Offaly, Sinn Fein)
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The Deputy is way over time.
Brian Stanley (Laois-Offaly, Sinn Fein)
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I thank Deputy Dillon. I call Deputy Kelly.
Alan Kelly (Tipperary, Labour)
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I have a few more requests and then three questions. First, "Toy Show - The Musical" has cost a fortune and been an unmitigated disaster. Can we get the figures behind how much it has cost? Obviously, the show will not see the light of day again.
The second issue relates to the legal advice I spoke about earlier. I am not legally qualified but one member of the committee is. I have also had at least ten people email me and send me messages on WhatsApp. It is actually not Ms Ní Raghallaigh's decision. It is the decision of the board and the chairperson. I ask her to reflect given that there are hundreds of thousands of people watching this. That note is central. I believe Ms Ní Raghallaigh should waive privilege and give it to us as a committee.
I have received so many emails, text messages and WhatsApp messages. It is amazing the number of people who are asking about cars - this is going back years - and other corporate deals. Can Ms Ní Raghallaigh write to staff asking whether any side deals have been made with people who are being contracted in, regardless of whether they have an agent, and whether they are getting any corporate hospitality, cars or anything else and bring that information forward?
Unless everyone out there is wrong, people are saying there is a lot of this going on. The committee would also like the minutes of all of the executive board meetings for the past five years. It is obvious that we need to meet the head of content. He seems to be a critical component in all of this. Did Mr. O'Reilly say the barter account was in place when he joined in 2012 or 2014? I do not want to get it wrong.
Alan Kelly (Tipperary, Labour)
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You were there since 2012, so it was before then. Ten years is not enough. You need to go back 20 years, so that is 20 years for the barter account. With regard to RTÉ and Renault, is it true that crews and facilities were used for recording and performance at Renault gigs as part of this deal? How much did that cost? Is it true that RTÉ staff, crews and equipment were used at different Renault gigs as part of this deal?
Alan Kelly (Tipperary, Labour)
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You do not know. Does anyone know?
Ms Geraldine O'Leary:
Obviously, I was across them and we used an event management company. I will go through the detail. To the best of my knowledge the producer who worked with us was from RTÉ, and was a former producer on "The Late Late Show." I was there, but that was as part of my job. I understand that we did not use RTÉ equipment. That is my understanding.
Alan Kelly (Tipperary, Labour)
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You did not use RTÉ equipment but you used RTÉ crews.
Alan Kelly (Tipperary, Labour)
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It is the opinion of quite a number of people in RTÉ that you did.
Alan Kelly (Tipperary, Labour)
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You might come back to me on that. The second issue relates to Ryan Tubridy's TV and radio contract, which the acting DG has said ended in May. Since May, under what contract is he operating on RTÉ radio?
Alan Kelly (Tipperary, Labour)
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I did not ask that. Under what contract was he operating until he was taken off air, because he has finished up with "The Late Late Show."
Alan Kelly (Tipperary, Labour)
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This is my third time asking this. Surely, you cannot be employed, particularly by a State organisation, and not have a contract. There is a gap here. Under what contract is he currently employed?
Alan Kelly (Tipperary, Labour)
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He does not have a contract. The old contract is over. A new contract offer has gone out for the radio stuff. I understand that. This has not been agreed, so now he does not have a contract for the period between coming off of "The Late Late Show" and being suspended. Suspended is the wrong term and I withdraw it. He was taken off air.
Alan Kelly (Tipperary, Labour)
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Is he still being paid?
Ms Paula Mullooly:
I will clarify that, to the best of my knowledge, we have stated that the previous contract is at an end. I know the agent disputes that. There is no written contract in place at the moment. I personally do not know if there has been an agreement to cover his appearances on radio until such time as a new contract is arranged.
Alan Kelly (Tipperary, Labour)
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This is extraordinary stuff.
Brian Stanley (Laois-Offaly, Sinn Fein)
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You are over time, Deputy but go on-----
Alan Kelly (Tipperary, Labour)
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I know, but we have to tease this out. I will ask one quick final question. How can somebody be employed on one contract, which finishes up, be offered another contract that has not been signed, but yet be working? How do you work out the payroll? I know payroll might not be a big deal for some of these people because they are so high. How do you work out the payroll? How does somebody get paid?
Alan Kelly (Tipperary, Labour)
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Another oral agreement.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Can anybody else here answer that question?
Alan Kelly (Tipperary, Labour)
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Can you find out? The last question is for the acting DG. You said that you spoke with the incoming DG.
Alan Kelly (Tipperary, Labour)
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Fair play to you. You told us that he said there would be a complete reconfiguration of the executive board.
Alan Kelly (Tipperary, Labour)
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I accept that; it will not be you. From what you discussed with him there will be a complete reconfiguration.
Alan Kelly (Tipperary, Labour)
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In your view, as you are the only one who had this conversation, what does that actually mean? There are people in jobs, and it is obvious the whole thing has to change.
Alan Kelly (Tipperary, Labour)
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What does a complete reconfiguration mean? Does it mean people will be sacked? Will they be taken out of jobs? Does it mean he starts again? What is the flavour? The people who work for RTÉ, and their families, are watching and they want to know this answer.
Alan Kelly (Tipperary, Labour)
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They will all change.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Thank you, Deputy.
Alan Kelly (Tipperary, Labour)
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There will be changes on the executive board.
Alan Kelly (Tipperary, Labour)
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You suspect there will be changes on the executive board.
Catherine Murphy (Kildare North, Social Democrats)
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I want to come back to the €75,000 top-up benefit for Mr. Tubridy. It was €40,380 in additional costs. That was over 2021 and 2022. We were told that Renault chose to discontinue the events that were cost neutral. I know Covid hit in 2020 but it strikes me as strange that you would discontinue something that is cost neutral. Was there any other reason?
Catherine Murphy (Kildare North, Social Democrats)
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Okay. Did RTÉ contractors have to make declarations of incomes or interests? I have asked a lot of parliamentary questions about influencers across various Departments, and you can see influencer appearances and posting things on social media. Do contractors have to make declarations? I would have thought that is something, which would make all of this transparent.
Catherine Murphy (Kildare North, Social Democrats)
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With the remuneration committee, would you have been aware that there was pressure from an agent? Do RTÉ deal with many agents in terms of staff? Is it a handful?
Catherine Murphy (Kildare North, Social Democrats)
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Okay, so the remuneration committee deals with the agent. It does not deal directly. The agent will deal with the substance of what is to be paid, in the context of what is available and so on. Who deals directly with the agent?
Catherine Murphy (Kildare North, Social Democrats)
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Only the CFO.
Catherine Murphy (Kildare North, Social Democrats)
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The CFO would have had discussions with Noel Kelly about Ryan Tubridy. He would have been the primary person dealing with it.
Catherine Murphy (Kildare North, Social Democrats)
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Both of those would have had discussions. It was not exclusively the director general who would have had discussions. She said she would have led the discussions-----
Catherine Murphy (Kildare North, Social Democrats)
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Yes.
Catherine Murphy (Kildare North, Social Democrats)
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Would they have been sidelined on this particular occasion?
Would the chief financial officer and the director of content have been sidelined on this occasion?
Catherine Murphy (Kildare North, Social Democrats)
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Yes, but if somebody had a job to do and then somebody else was doing their job, you would expect they would be pretty annoyed that they were not allowed to do their job. Were people sidelined on this in the context of the negotiations with Noel Kelly? If they were involved, they knew they would not have been-----
Mr. Richard Collins:
I think, to be honest, the director general kept people out of those negotiations. The director general led these negotiations. That is quite exceptional in my experience. Obviously, I was only in to RTÉ when this was all going on, so I had no previous experience of how the negotiations went. Since then, negotiations would be led by me, with the director of content inputting, and some legal advice as well.
Catherine Murphy (Kildare North, Social Democrats)
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If you are going to pay something you have to have the amount in your account in order that you can actually make an offer and pay. They would have been aware that there would have been a difficulty with making an additional payment, presumably.
Catherine Murphy (Kildare North, Social Democrats)
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But it appears there was substantial pressure on from the agent to conclude this agreement, and €75,000 was underwritten.
Catherine Murphy (Kildare North, Social Democrats)
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That amount would not have been earmarked on the account.
Catherine Murphy (Kildare North, Social Democrats)
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Would it not have-----
Catherine Murphy (Kildare North, Social Democrats)
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I know it went through the barter account there was nothing-----
Catherine Murphy (Kildare North, Social Democrats)
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The chief financial officer knew there would not have been the money to pay this. It had not come in through the remuneration committee. It had not been agreed.
Catherine Murphy (Kildare North, Social Democrats)
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Okay.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Thank you. Just a couple of final questions regarding to Ms Forbes. She claimed in her statement that she never knew about the €120,000 loyalty payments - and end-of-year payments - in the years 2017 to 2019. She had, of course, been director general since 2016. The board is stating that Ms Forbes is the only person who knew about the Renault deal, but she has stated that she does not know anything about it. You are also saying that she is the only person who knew - and this has come up a number of times today - about the payments relating to the period 2020 to 2022. When the whole situation is summed up and we look at what is taking place, do you not find that those two issues alone blow any credibility in terms of a lot of the stuff we heard here today? Would you not agree with that?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Yes.
Mr. Adrian Lynch:
Just in terms of that and in terms of the payments, I looked at everything over six days in order to prepare for this. From what I have seen, it would appear that the two people who knew about the payments were the director general and the director of commercial. In terms of the payments themselves, obviously they also came to the CFO.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Can I ask the CFO a general question on the diversionary route. I call it the diversionary route because that it what it was, diversionary. The purpose was to hide payments. One thing that struck me was the actual cost of these barter accounts. In order to move €30,000 to sponsor the events for Renault it cost more than €47,000. Paying €150,000 to Ryan Tubridy cost €230,000. You were aware of these. Were you aware of the actual level of fees that were being charged on the barter accounts?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Would you not be aware that 35% or 40% was being added?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Would you not?
Brian Stanley (Laois-Offaly, Sinn Fein)
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No.
Brian Stanley (Laois-Offaly, Sinn Fein)
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But you were aware that RTÉ was using barter accounts.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Are there 35% fee charges on all of those? Is that standard?
Mr. Richard Collins:
I do not know what is standard for barter accounts. If I can just explain, there was a lot of activity on the barter account up to 2019. There was very little activity in 2020 and 2021. Very little went through it. In 2022 then, these transactions went through. None of them were passed by me. I was not asked to raise any invoices or approve anything that went through it. In terms of the cost of the barter account, to be honest, I only became aware of it when I dug into the barter account to get a deeper understanding of it.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Can we have a list of the credit notes issued over the past ten years by RTÉ? Can that be supplied to the committee? To return to the issue of the top ten earners, who signs off on that? Who signed off on the earnings list that has been given over the years? Would that be Mr. Collins?
Mr. Richard Collins:
Yes. Let me go back to the earnings from 2017 to 2019. They would have been audited as part of the 2019 audit. They were reviewed by Deloitte at that stage. They were not published for another year until January 2021, I think. At that stage, there would have been a meeting to sign them off prior to publication.
Brian Stanley (Laois-Offaly, Sinn Fein)
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And the more recent years. Two-year stages, as I understand it, for the more recent ones.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Would you have signed off on that?
Brian Stanley (Laois-Offaly, Sinn Fein)
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You would have signed off on that.
Brian Stanley (Laois-Offaly, Sinn Fein)
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But you were aware there were extra payments-----
Brian Stanley (Laois-Offaly, Sinn Fein)
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-----in relation to Ryan Tubridy.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Ryan Tubridy, no?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Okay.
Brian Stanley (Laois-Offaly, Sinn Fein)
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Thank you. You have been taking a list of the documents required by the committee. We have the Dee Forbes contract outlined and the resignation period that is required. Can the committee have that? Can that be added to the list of documents? We will need the tripartite agreement, which was mentioned already. The Ryan Tubridy five-year contract - we need a copy of that. The draft letter sent over by Noel Kelly in the final hours of negotiations saying "Here you are". We will also need copies of the barter agreement and the arrangement that is in place. There must be some arrangement with this barter company.
Colm Burke (Cork North Central, Fine Gael)
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Can we also have a list of all transactions through that barter account?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Yes, I think we have asked for that. What will happen is that when the transcript is available and when the Minister, the secretariat and the civil servants involved have looked at it, we will send over a full list. We ask RTÉ to try to comply with that as quickly as possible. We know some of it will be laborious enough to put together, but it is really important that we get it as soon as possible.
John Brady (Wicklow, Sinn Fein)
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Mr. Collins made reference to a car allowance of €25,000 earlier on. Can the committee get a detailed breakdown as to who has that allowance within RTÉ and details of whether it is vouched or how it is paid out?
Brian Stanley (Laois-Offaly, Sinn Fein)
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Thank you. I thank the witnesses from RTÉ for attending and the officials from Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media for their work in preparing for today's meeting. I also thank the Comptroller and Auditor General for attending and assisting the committee in preparing and helping it to carry out its work. Is it agreed that the clerk with seek any follow-up information and carry out any actions arising from the meeting? Agreed. Is it also agreed that we will note and publish any of the opening statements and briefings provided for today's meeting? Agreed.
The Committee of Public Accounts is adjourned until 9.30 a.m. on Thursday, 6 July 2023. Go raibh míle maith agaibh go léir.