Maurice Quinlivan (Limerick City, Sinn Fein) | Oireachtas source

I am happy to speak on this matter. We may be a bit late in transposing the directive but it is important that the Bill is passed. Last week at the Committee on Enterprise, Trade and Employment, members heard from Ian Drennan, director of the Office of the Director of Corporate Enforcement, regarding the establishment of the new corporate enforcement agency. Our discussion at the committee related to domestic efforts to combat so-called white-collar crime. I am pleased to be able to continue this theme, albeit referencing the transposing of the EU directive on the protection of the European Union's financial interests and the prevention of fraud against said interests. The European Anti-Fraud Office estimates that over €500 million is lost to the EU budget annually due to the fraudulent activities that the PIF directive aims to combat. This is not an insignificant sum. It is only right that this State steps up and plays its part in the effort to combat fraud against the EU budget. As a member state, it is important we take this responsibility seriously. We are now a net contributor to the European Union and in 2019, we paid €229 million more into the EU budget than we received. It is incumbent on us to ensure the money is not lost to fraud or misappropriation.

Although this is a short and technical Bill, I agree with the Minister of State that it is extremely important. An aspect of the Bill that is particularly welcome is the proposed addition of section 42B to the principal Act, namely, the Criminal Justice (Theft and Fraud Offences) Act 2001. This allows a means by which criminal liability can be attributed to corporate bodies through the failure-to-prevent model. Although failure to prevent will be used in a limited scope, it is a strong signal of a determination to attribute criminal liability to corporate bodies that fail to exercise proper control over their agents.

Another aspect of the Bill that is important to reference is the allowance for extraterritorial jurisdiction in terms of the prosecution of offences. This is an extremely important aspect of the directive and our efforts to implement it. The offences we are talking about are often committed by numerous actors or bodies across a multitude of EU borders.

The transposition of this directive harmonises member states' response to budgetary fraud against EU finances. As I mentioned earlier, it is important that our State plays its part in this effort. We in Sinn Féin will not be found wanting in that regard and, as such, I am pleased to support this Bill. It is my sincere hope that the implementation of this directive and the unrelated creation of a corporate enforcement authority will send a signal far and wide that there is no tolerance for fraud or corruption and offenders will be pursued. For too long, there has been a lack of appetite to prosecute this type of crime. The perception has permeated many communities that crimes committed by those in suits are tolerated. Introducing measures such as this balances the scale between the accused who are well resourced and those who have less expansive wealth. The adaption of this directive adds another tool with which those who commit offences can be pursued and prosecuted.

We are looking at what will be a litmus test in the establishment of the corporate enforcement agency. Will it get the resources and funding it needs and deserves in order that we can tackle white-collar crime properly? If we do not devote the resources to the new agency, we are on a hiding to nothing.

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