John O'Donoghue (Kerry South, Fianna Fail)

I wish to share time with Deputies Wilkinson and Cregan.

All of us in the House are in agreement that it is important that the greyhound industry is governed by the most effective regulatory regime and that this regulatory structure provides the necessary transparency to ensure confidence in its integrity procedures by all those involved in the industry. Deputy Deenihan will be aware that this is one of the issues which has been addressed in the Dalton report. I have made it clear throughout the process that, given the nature of the issues under investigation, it was essential that the investigation should be carried out in a thorough manner with due regard for the rights of all the parties involved. Because of this, I have taken the line that it would be entirely wrong to address the issues highlighted by Mr. Dalton until his investigation had been completed. I am, therefore, somewhat surprised that Deputy Deenihan should propose the Bill at this stage, given our exchanges in this House last week when I replied to parliamentary questions on the matter.

I will recap the circumstances that have given rise to concerns about the approach of Bord na gCon to dealing with certain sensitive issues, which resulted in the current controversy and which, presumably, have figured in Deputy Deenihan's decision to activate his proposed legislation at this stage. On 26 January last, the board of Bord na gCon decided to terminate the employment contract of its chief executive. This was the culmination of a series of events surrounding the chief executive, which included a direct communication from him to me alleging shortcomings in corporate governance practice at Bord na gCon and that procedures dealing with doping infringements by the doping control committee were not in accordance with best practice.

On 1 February 2006, I requested Mr. Tim Dalton, former Secretary General of the Department of Justice, Equality and Law Reform, to carry out an independent assessment of issues relating to corporate governance in Bord na gCon as well as its management of positive tests for banned substances. The terms of reference of the independent investigation were to review the allegations of shortcomings in corporate governance practice at Bord na gCon made by the chief executive in his letter of 18 January to the Minister for Arts, Sport and Tourism and the response dated 30 January 2006 of the chairman of Bord na gCon to these allegations; to take into account the possibility of legal proceedings taking place, to examine the circumstances surrounding the decision of the board of Bord na gCon on 26 January 2006 to terminate the contract of employment of the chief executive of Bord na gCon with immediate effect; to report, when and if possible in light of the said legal proceedings, his findings to the Minister for Arts, Sport and Tourism and, in any event, to advise on actions considered necessary to ensure adherence to best corporate governance practice; to consider the way in which Bord na gCon procedures dealing with doping infringements are carried out; to comment on the adequacy of existing procedures; and to advise whether changes or modifications should be put into effect.

I received Mr. Dalton's draft report at the end of April and my Department immediately sought guidance from the Office of the Attorney General on how to proceed with the issues raised in his report. The Attorney General advised that to ensure the principles of due process were observed, all parties mentioned in the report should be afforded the opportunity of commenting on the references made to them. Accordingly, these parties where given copies of the relevant extracts from the Dalton report on a confidential basis to afford them an opportunity to submit observations on the report to my office by close of business on Wednesday, 31 May. A total of nine submissions were received by that date and these are being evaluated by Mr. Dalton. I understand he will complete this process in a day or two and will decide to what extent it will be necessary for him to revise his draft report.

As soon as Mr. Dalton has completed his work, I will arrange for further consultation with the Attorney General's office to seek confirmation that the requirements of due process have been observed in full. It is my intention then to present proposals to my Cabinet colleagues for dealing with the recommendations made in the Dalton report and to seek approval for the publication of the report, hopefully, next week. I emphasise the importance I attach to strict adherence to due process. It is for this reason that I consider the timing of Deputy Deenihan's Bill to be particularly ill-judged.

It is unfortunate that parties to the investigation have not observed my frequently expressed requests to them to refrain from comment, as a number of the issues in the public domain have been taken out of context and they are being presented in the media in a manner that does little to inspire continuing public confidence in this very important industry. I will deal fully with all these issues as soon as I am in a position to do so and my objective will be to provide assurance that the industry is being soundly and responsibly managed.

While I am not prepared to go into detail at this stage on Bord na gCon's current doping control procedures for greyhounds, I assert the importance I attach to ensuring the integrity of our drug control procedures not only in the greyhound sector, but in sport in general. Ireland has an excellent record internationally as a country where sport, in all its wide variety, is highly valued and pursued with enthusiasm, good nature and a sense of fair play and honesty. Deputies will be well aware of the high regard in which our national anti-doping programme, operated by the Irish Sports Council, is held throughout the world. WADA, the World Anti-Doping Agency, is using Ireland's anti-doping rules as a model of good practice for other countries to follow.

We pursue success in Irish sport, but we seek to achieve it in a fair and honest fashion where competitors, spectators and the punter can feel confident the highest standards of integrity are maintained before, during and after the match, event or race. While responsibility for ensuring such standards has to be shared by everyone in the sport, it is up to the appropriate authorities to ensure fair systems, effective structures and transparent procedures are put in place to ensure compliance by all concerned. While we expect the highest standards and probity from competitors, trainers and coaches in sport, because of human frailty we need to have appropriate systems and sanctions in place to catch the cheats and administer effective and painful penalties to help prevent further transgression. Such high standards of behaviour and practice at the track and in the anti-doping system is of vital significance in the sport of greyhound racing, given the scale of activity and the money involved.

The greyhound industry in Ireland is a significant contributor to the economic well-being of all those involved and contributes in excess of €300 million in revenues on an annual basis. The industry, with the support of the horse and greyhound racing fund, which was introduced in 2001 under the Government parties, has undergone significant transformation in recent years. In the five years to date, the fund has provided guaranteed funding to Bord na gCon and Horse Racing Ireland, which, by the end of 2005, amounted to €261 million and €65 million, respectively. This funding, which is generated by and large from off-course betting tax, has been well invested, leading to undeniable benefits for both sectors and has marked a revival of interest in both sports, to the benefit of the entire economy. Over the years, this fund has not only helped towards providing some top class racing venues and facilities, it has also underpinned significant employment in both industries and the prize money it has facilitated has been an important boost for both horse and greyhound breeding and, thus, for the rural economy.

The fund was extended by the Government in 2004, with the agreement of the House, up to and including 2008 with its limit increased to €550 million. The fund has contributed in excess of €25 million to Bord na gCon's capital development programme, which has transformed all aspects of the industry in recent years. For instance, total betting in 1995 increased from €28.9 million to €142 million in 2005. Most importantly, the prize money distribution to owners increased from €1 million in 1995 to €11.4 million in 2005, with a further 7% projected increase in the current year. The state of the industry has also been positively recognised by sponsors with track attendances at 1.4 million in 2005. The industry has achieved great success with its intertrack product, which generates a turnover of €7 million per year. The next phase of the board's plans will involve the development of an Internet platform with live race streaming, which is scheduled for 2007. Total capital expenditure between 1995 and 2004 exceeded €85 million and included the redevelopment of Shelbourne Park, Curraheen Park, Harold's Cross, Lifford, Dundalk, Tralee, Mullingar, Newbridge, Waterford and Galway tracks. The board also hopes to embark on the second and final phase of its development plan, which will include projects at Limerick, Kilkenny, Clonmel and a number of other locations.

The extent of the industry places a demand on Bord na gCon to operate in accordance with best practice in every area. Bord na gCon is governed by the provisions of the Greyhound Industry Act 1958 and is the statutory agency responsible for the promotion and development of greyhound racing in Ireland. The Act confers on Bord na gCon wide powers to regulate all aspects of greyhound racing, including integrity management and anti-doping controls. In that context, Bord na gCon commits approximately €2 million per year to effect its regulatory responsibilities. In 2000, the board tested approximately 1,000 samples, with a positive rate of 1.4%. By 2005, this had increased to 6,000 samples, with a positive rate of 1.13%. The board currently tests two randomly chosen samples at each track on each night of racing and this process is supported by pre and post-race testing conducted for all runners in major finals and on other random occasions throughout the year.

In the past five years, the board has more than doubled the personnel resources in its laboratory to cater for the increased level of testing and has invested approximately €500,000 in laboratory equipment to ensure that it operates to the highest international standards. The board's laboratory is the only dedicated greyhound testing laboratory in the world to achieve an ISO 9000 accreditation. However, there can be no room for doubt in this industry and I assure Deputies that I will put the most rigorous practices in place to control doping.

In respect of Horse Racing Ireland, which is the statutory body responsible for the horse racing industry in Ireland, all drug testing on horses is carried out independently of HRI by the Turf Club. HRI allocates funding to the Turf Club in respect of this. Some 3,000 samples are tested each year, including the winner and the first four finishers in grade one races. Poorly performing favourites are also tested and there is random testing in point-to-point races. Details relating to all positive tests, which amount to fewer than ten per year, are published.

In conclusion, I restate my disappointment with Deputy Deenihan's decision to propose his legislation at this stage, given last week's exchanges in the Dáil, during which I made it absolutely clear that the individuals mentioned in the Dalton report would be allowed due process and sufficient time to submit their observations. The introduction of this Private Members' Bill can only damage the process of allowing due process to all parties to the Dalton inquiry.

See this speech in context