Dáil debates

Thursday, 7 July 2016

Topical Issue Debate

Debt Collection

7:20 pm

Photo of David StantonDavid Stanton (Cork East, Fine Gael) | Oireachtas source

On behalf of the Tánaiste and Minister for Justice and Equality, who cannot be here this evening due to official business, I thank the Deputies for raising this matter on the floor of the Dáil.

Deputies should be careful in rushing to judgment about this case or operating on the assumption that the various agencies involved - the official assignee, the Defence Forces, the Department of Agriculture, Food and Marine and An Garda Síochána - would have undertaken the action in question as anything other than as a matter of last resort and in the public interest.

The House will appreciate that it would not be appropriate for me to comment in detail here on the affairs of third parties who have been the subject of proceedings. The inevitable consequence of this, unfortunately, is that I cannot put on the record of the House the full facts surrounding the case. However, I can say that some of the public comment about the case, particularly offensive suggestions made about the role of the Defence Forces, has no basis in reality.

The Defence Forces carried out the humane cull of five animals on a farm in County Monaghan due to a significant concern for public safety. It is not correct, as has been alleged, that the cattle were treated inhumanely or that this case involved the operation of debt collectors. This operation was carried out at the request of the official assignee in bankruptcy, who is responsible for the herd of cattle on that farm, and it was done in conjunction with An Garda Síochána and with the Department of Agriculture, Food the Marine, as well as with the Defence Forces. While there is a long history to this particular case, I can inform Deputies that following failed efforts to round up the remaining five animals and in view of a significant concern about public safety, on 4 July, and at the request of the official assignee, a decision was taken involving the Garda, the official assignee and the Department of Agriculture, Food and the Marine that the optimal course of action was that these animals should be culled. The protocol between the Department of Agriculture, Food and the Marine and the Department of Defence was invoked and the animals were culled by Army personnel in line with the protocol.

I am aware that the official assignee has said publicly that the decision to proceed in the way he did with regard to the cattle was made very reluctantly and was made in the interests of the public safety of the local community. It should also be noted that this was a tuberculosis-restricted herd. The Minister for Agriculture, Food and the Marine has confirmed that the carcasses of the five cattle have been removed and are now excluded from the food chain.

For the information of Deputies, it is relevant to recall the status of the official assignee and the specific statutory duties that he has to discharge. The official assignee in bankruptcy is an officer of the court, as provided at section 60(6) of the Bankruptcy Acts, and as such is independent in the performance of his duties. However, in doing so he is required under the Bankruptcy Act 1988 to observe and obey such directions as are given to him by the court. Obviously, the bankruptcy assignee is also subject to all laws of the State.

The official assignee also has specific statutory responsibilities and duties under the Bankruptcy Acts. First, when a person is adjudicated bankrupt, all of his or her assets transfer to the official assignee under section 44 of the Act. The primary duties of the official assignee, under section 61(2) of the Act, are to get in and realise the property, ascertain the debts and liabilities, and distribute the assets in accordance with the provisions of the Act. However, the transfer of the assets to the official assignee also has the important consequence that the duties as well as the rights of the bankrupt person transfer to the official assignee along with the assets. The assignee, for instance, can be sued for any breach of legal obligations arising from those assets, just as the bankrupt person could have been. For example, when a person who owns a herd of cattle becomes bankrupt, the ownership of the cattle transfers to the official assignee. However, the duties associated with those cattle also transfer to the official assignee, including responsibility for their registration, testing for tuberculosis, and compliance with Department of Agriculture, Food and the Marine certification required for removing cattle. The House will, therefore, appreciate that the official assignee has particular legal responsibilities to discharge.

It is clear that very specific and difficult circumstances arose in this case and that it was a matter for the official assignee to discharge his legal responsibilities as best he could in those difficult circumstances. In doing so, he relied on the services of other State agencies which performed their functions in accordance with their remit. It is clear from the comments that he has made, and after consulting with various agencies, that he did not believe any alternative viable strategy could be adopted. This House will, moreover, appreciate that cases where the official assignee is discharging his legal responsibilities as an officer of the court are not ones in which it would be appropriate or open to the Tánaiste to intervene. I accept, of course, that it is a matter of regret that it did not prove possible to dispose of the cattle in another manner. I hope Deputies can appreciate that the actions taken in this case by the various agencies involved would not have been taken lightly or where realistic alternatives existed.

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