Dáil debates

Wednesday, 24 November 2010

9:00 pm

Photo of Finian McGrathFinian McGrath (Dublin North Central, Independent)
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I thank the Office of the Ceann Comhairle for the opportunity of raising this urgent matter regarding the management of the Irish Red Cross, particularly the dismissal case of Mr. Noel Wardick. Let us remember, before discussing the details of the case, that the Irish Red Cross is receiving over €1 million in taxpayers' money. I have raised this urgent matter on a number of occasions with the Minister for Defence. I welcome the fact that the Minister is present to participate in the debate. It is a question of openness, transparency and justice for Mr. Wardick, whom I totally support in his quest for fair play and the protection of his human and legal rights.

I am strongly in favour of urgent reform of the Irish Red Cross. I call on the Ministers for Defence and Foreign Affairs to make this a priority in the Dáil. Some people at the senior level in the organisation have got to wake up and return to their own principles of humanity, impartiality, neutrality, independence, voluntary service, unity and universality. The people and taxpayers of this country want their Red Cross to act in a caring and professional manner. This is not happening at present.

I have other concerns. The Minister should investigate the undeclared Tipperary bank account in respect of which €162,000 raised for flood victims was not spent. We need a new secretary general. Following these actions, we need a full general assembly of members, staff and volunteers. Then we need a full investigation into the affairs and operations of the Irish Red Cross. The status quo should end. Reform and change represent the only way forward for the Irish Red Cross.

I strongly support the case of Mr. Noel Wardick. He was formally dismissed from the Irish Red Cross on 10 November and removed from the payroll. He is still awaiting the result of the Irish Red Cross appeal and is unable to claim the jobseeker's allowance and other social welfare benefits. The Irish Red Cross fired him before any appeal was heard, in breach of its own policies. The Irish Red Cross refused a third party appeal, as per Mr. Wardick'sentitlements under Irish Red Cross policy. The Irish Red Cross refused Mr. Wardick's appeal to an authority higher than that which heard the original case.

The Irish Red Cross is granting Mr. Wardick an appeal, but only to more board members - two, to be precise. The investigation hearing resulted in a finding of gross misconduct. Two additional board members issued the sanction of dismissal and no appeal, bringing the total number of board members involved in the disciplinary process to six.

Most of Mr. Wardick's accusations concern malpractice, negligence, cronyism, abuse of power and financial irregularities. As such, having board members investigate his case is in fundamental breach of the first principle of natural justice. The accused cannot investigate the accuser. I urge the Minister to heed this in the debate.

The Irish Red Cross has only allowed Mr. Wardick a written appeal to the two board members. There will be no oral questions or clarifications. Mr. Wardick submitted written appeal documents to the Irish Red Cross and awaits the outcome. The strong objections submitted by him regarding the process itself must be addressed. He will also apply for a hearing over employment dismissal. Mr. Wardick is currently unemployed as a result of his whistleblowing activities and because he lacks a P45, he is unable to claim benefits.

Transparency International Ireland, a global organisation that monitors corruption and abuse, calls for an independent investigation into the affairs and operations of the Irish Red Cross and asks that Mr. Wardick be reinstated immediately. Transparency International Ireland made this statement publicly in a formal letter to the chairman of the Irish Red Cross. The Minister should insist that the Irish Red Cross hold this independent investigation.

For 20 years the Irish Red Cross has been bedevilled with serious governance problems, industrial relations problems and financial irregularities. The common denominator during all this time has comprised the same two or three people.

The Minister appoints the chairman of Irish Red Cross, 16 members of the 40-member central council and has representation on the Irish Red Cross executive committee. He also gives the Irish Red Cross nearly €1 million annually. His claims that he cannot act and investigate are wrong. The 1939 Act establishing the Irish Red Cross specifically allows him to intervene in day-to-day affairs. Therefore, why is it that his official from the Department of Defence is the formal administrator in the disciplinary hearing into the activities of Mr. Wardick? There cannot be any more detailed day-to-day involvement than in the disciplinary process in question, bearing in mind the identity of those centrally involved in the dismissal of Noel Wardick, who in good faith has revealed matters of public interest and has been fired for his troubles. Why is an honest and genuine whistleblower not subject to the Government's legislation to protect whistleblowers?

I urge common sense in the making of radical changes to the Irish Red Cross. I support totally Mr. Wardick. Support is the least this House can offer.

Photo of Tony KilleenTony Killeen (Clare, Fianna Fail)
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The Irish Red Cross Society was established on 1 July 1939, pursuant to the Red Cross Act 1938. It is an independent, statute-based charitable organisation with full powers to manage and administer its affairs through its governing body, the central council. The Government has a responsibility to preserve the independence of the society.

The society has a duty to manage its affairs with due care and it is incumbent on it to manage within its budget while minimising the effects on service provision. The Minister for Defence enacts any necessary legislation in respect of the society. However, he does not have a policy role in respect of its activities. The Minister has no function in the day-to-day administration of the Irish Red Cross Society and does not involve himself in the day-to-day running of its affairs.

Ireland, as a party to the Geneva Conventions, is a member of the international Red Cross and Red Crescent movement. National societies carry out their humanitarian activities in conformity with their own statutes and national legislation. They must always maintain their autonomy so that they may be able, at all times, to act in accordance with the principles of the international Red Cross movement. The principles under which the society achieves its objectives are humanity, universality, unity, impartiality, independence, neutrality and voluntary service. While being a member of the International Federation of Red Cross and Red Crescent Societies, the society is legally separate and independent from this federation. The federation acts as a resource to the society rather than a monitoring body and does not have a policing role.

The central council of the Irish Red Cross Society consists of 30 members - one per local area - elected by the various society areas throughout the country and of members nominated by the Government who, in accordance with the Irish Red Cross Society Order 1939, must comprise not less than one third of the total membership of the council. There are currently 16 members nominated by the Government to serve on the central council until 30 April 2012. The executive committee of the society is elected by central council from within its own ranks. It meets monthly and runs the day-to-day affairs of the society on behalf of the council. The central council elects the members of the executive committee, apart from the chairman, on an annual basis.

The Red Cross Act 1944 provides that the President of Ireland shall, by virtue of her office, be president of the society. The chairman of the central council is appointed by the President on the nomination of the Government. The society is supported by a grant-in-aid from the Department of Defence. This grant assists towards the running costs of the Society. The total amount of the grant for 2010 is €951,000. From this, the society pays the Government's annual contribution - €131,000 - to the International Committee of the Red Cross. The latter amount has been contributed each year from 2002 to 2010.

The current governance proposals arise from a resolution passed in November 2007 by the council of delegates of the International Federation of Red Cross and Red Crescent Societies, IFRC, which urged all national societies, as requested by action 3 of the strategy of the movement, to examine and update their statutes - the rules of the national societies - and related legal texts by 2010 in accordance with the guidance for national society statutes and relevant international conference resolutions. This task is being undertaken by many Red Cross and Red Crescent societies throughout the world. The current proposals have the support of the IFRC.

A working group to propose changes in governance, including those recommended by the IFRC was established in 2008. The chairman of the temporary working group presented the findings to the central council of the Irish Red Cross Society at a meeting held in November 2009 and it was received in the Department of Defence in January of this year. In order to implement the recommendations, there will be a requirement for significant amendments to the Irish Red Cross Society Order 1939. Representatives of the society and officials from the Department have had a number of meetings to discuss the specific changes required and work is ongoing in that regard. A draft of the amended order has been prepared for examination by the Office of the Attorney General and the society. I have also asked my officials to clarify with the Office of the Attorney General my role vis-À-vis the Irish Red Cross Society.

The proposed changes address issues relating to higher level areas of corporate governance such as organisational structures, electoral arrangements and membership. The main areas for consideration are: the appointment of the chair; appointments to the central council; proposed changes to the terms of office, rotation and election to the executive committee; clarification of the role of the president; and the establishment of an external and independent appeals mechanism, as well as an arbitration and membership committee composed of volunteers to decide on all membership removal and applications. When the consultative process is concluded, Government approval for the change in structure will be sought and a change in legislation will ultimately be required.

In accordance with article 9 of the Irish Red Cross Society Order 1939, the chairman of the society must be a member of the Central Council. In nominating persons to central council, the Government considers that it is highly desirable that the society should have on its governing body people with a wide variety of knowledge and expertise gained through work experience in both the public and private sectors and-or volunteer experience.

The new chairman, Mr. David J. O'Callaghan, who has a great deal of experience in this area, was appointed recently. The post of secretary general of the society was advertised in recent months and applications are now being examined.

In respect of the matter of alleged irregularities in the handling of funds, it is my understanding that the issue of the bank account in question is being dealt with by the society. The society has put in place new and revised procedures so that such circumstances do not recur. The full report of the internal group appointed to inquire into the matter is due to be completed shortly.

A recent disciplinary matter involving a senior member of staff was dealt with by the executive committee of the society. This resulted in the person's dismissal from the post. As this matter is under appeal, it would not be appropriate for me to make any comment.

The following are questions tabled by Members for written response and the ministerial replies as received on the day from the Departments [unrevised].