Dáil debates

Wednesday, 15 June 2016

Priority Questions

Company Closures

2:45 pm

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail) | Oireachtas source

While we all appreciate that much of this discussion is technical and observers could reasonably ask what it is about, we must also bear in mind those whose lives and jobs have been seriously affected by this case. We must also have regard to the fact that the Oireachtas cannot dictate to the courts how quickly they should act or what decisions they should make. Notwithstanding this, a degree of urgency is required.

Section 599 of the Companies Act deals with the relationship between companies and, more generally, provides mechanisms whereby one company can be required to contribute to the indebtedness of the other. As the Minister of State is aware, the Clerys case involved a multi-company structure. The Duffy-Cahill report states:

It therefore seems that section 599 is a potentially useful provision to address the concerns outlined in the Terms of Reference. It is only when this provision has been tested by the courts that any necessary amendments may become apparent.

In reply to a recent parliamentary question, the Minister for Social Protection indicated he was considering how the provisions of the Companies Act 2014, including section 599, might be used to recover moneys expended from the Social Insurance Fund. Is the Minister of State in a position to update the House on that issue and, if not, will he furnish such an update afterwards?


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