Kathleen Lynch (Cork North Central, Labour) | Oireachtas source

I am pleased to address the House on behalf of my colleague, the Minister for Justice and Equality. On behalf of the Minister, I thank all who have taken part in the debate on this important matter.

The need to strengthen the regulation of the charitable sector has been impressed on all of us by the recent disturbing revelations regarding the use of charitable funds at the Central Remedial Clinic. In the course of addressing the Bill introduced by Deputy Mac Lochlainn, the Minister set out yesterday his plans for the establishment of a charities regulatory authority under the provisions of the Charities Act 2009. This week, he will issue a call for expressions of interest for membership of the board of the new authority with a view to filling board positions before Easter. Sanction has been received from the Minister for Public Expenditure and Reform to fill the position of CEO of the new authority and a number of other administrative posts on an interim basis from within existing resources. Arrangements are in hand to fill these posts by the end of February. A key focus of the new authority in its initial phase of operation will be the preparation for publication of a new comprehensive statutory register of charities. This register, together with the reporting provisions of the Act that will apply to registered charities, will provide the essential infrastructure to strengthen transparency and accountability across the sector.

Many contributors to this debate have highlighted how important it is that charity funds are used efficiently and to the benefit of the work of the charity. Donors to charities have a right to know how their donations are being used and to feel confident that they are being used for the purpose for which they were given. This is a sentiment wholeheartedly shared by the Government and, I am sure, every Member of this House. It is crucial that we have full transparency in regard to the accounting and use of charity funds, whatever their origin. While there is some level of oversight in the area, a complete regulatory architecture will be in place only when the Charities Act is fully implemented.

The Charities Act provides that each registered charity must provide a report each year to the charities regulatory authority on its activities. The authority will make these reports available to the public. This measure will represent a tangible increase in the transparency of the charity sector and will help donors to make informed decisions about the charities they support.

We have all been shocked by the disclosures about the use of charity funds by the Central Remedial Clinic. We are all agreed that such a situation should never be repeated. We are all concerned at reports of the impact these disclosures have had on donations to charity. I agree with those contributors who said that not all charities abuse their position. The majority of charities provide worthwhile services and they ensure that donations go directly to the people for whom they are intended. It is unfortunate that the few that do not have such a negative impact on the other charities. Undoubtedly, many well run charities are experiencing the adverse effects of this scandal. Trust and confidence in our charities has been damaged and must be rebuilt. It is incumbent on each of us as leaders in our community to ensure this trust is rebuilt.

The key thing the Government can do to help with this task is to put in place the necessary structures to implement the Charities Act as it stands and as set out before the House yesterday by the Minister for Justice and Equality. For the reasons given by the Minister yesterday evening, the Government will oppose this Bill, but that is not to say the Bill was frivolous or not worth debating. It was well worth debating. In saying this, however, the Minister has asked me to state that he appreciates the opportunity given by Deputy Mac Lochlainn in tabling this Bill for Members of the House to address the real concerns that have arisen with regard to certain charities and afford to Members of the House an opportunity to address recent revelations.

Almost every Sinn Féin speaker here has suggested somehow or other that the disability sector - the sector of which I have most knowledge - is solely dependent on charitable donations, but that is not true. This State gives €6.4 billion of taxpayers' moneys to disability services in this country.

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