Maurice Quinlivan (Limerick City, Sinn Fein)
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2. To ask the Minister for Jobs, Enterprise and Innovation when the report into the failings of the Office of the Director of Corporate Enforcement in a trial (details supplied) will be published, having been delivered to her office in July 2017. [43200/17]

Maurice Quinlivan (Limerick City, Sinn Fein)
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My question pertains to the report into the failings of the Office of the Director of Corporate Enforcement in the Seán FitzPatrick trial. Will the Minister indicate when this report will be published, the report having been delivered to her office last July?

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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I can confirm to the Deputy that I received a report under section 955(1)(a) of the Companies Act 2014 from the Director of Corporate Enforcement on 23 June. This report addresses the issues highlighted by Judge Aylmer in his ruling in the case of DPP v .Seán FitzPatrick. The report sets out the facts relating to the case and does not purport to be an investigation or an inquiry. It covers the main issues directed at the ODCE by Judge John Aylmer in his ruling on 23 May 2017. This includes the coaching of witness statements; late disclosure of documents; a perceived bias by ODCE investigators; and the shredding of documents.

I have sought the advice of the Attorney General, specifically as to whether there are any legal impediments to publishing the report and discussing its contents in the Oireachtas. While it is crucial to identify and learn from any shortcomings in the investigative process in one particular trial, it is also important to recognise the very valuable role the ODCE has played, and continues to play, in facilitating compliance and enforcement of company law. Between 2012 and 2016, investigations by the ODCE have resulted in the restriction of 886 company directors. This means that they are prevented from being appointed or acting in any way as a director or secretary or being involved in the formation or promotion of any company unless it is adequately capitalised which, in the case of a public limited company other than an investment company, means a capital requirement of €500,000 in allotted paid up share capital, and in the case of any other company, the capital requirement is €100,000. ODCE investigations in the same period also resulted in the disqualification of 65 directors by the High Court. There have also been 971 instances of securing compliance with the Companies Act through the exercise of the director’s civil powers.

With regard to the Deputy's question, I would like to publish the report. It would be my intention to publish it, subject to ongoing clarification of the legal advice. There are quite a number of parties involved in this, as the Deputy is aware, and a range of legal work needs to be done before I can get to that point. The publication of the report will always be subject to the final advice of the Attorney General.

Additional information not given on the floor of the House

Since the establishment of the ODCE, there has been a sharp increase in the restriction and disqualification of directors. In 2004, only ten directors had been disqualified whereas by the end of 2016 that figure stood at 3,955.

The ODCE has also been successful in recent prosecutions. In 2014, two people were convicted for the giving of unlawful financial assistance by Anglo for the purchase of its own shares. In 2016, a person was convicted for fraudulent trading on foot of a plea of guilty. In 2016, a person was convicted for failing to maintain a licensed bank’s register of loans to directors on foot of a plea of guilty. In late April of this year, a person was arrested and charged with fraudulent trading based on an invoice discounting fraud and entered a plea of guilty. It is important that any actions we take are done with full knowledge and in line with fair procedures, due process and natural justice. It is my intention to publish the report subject to the advice of the Attorney General.

Maurice Quinlivan (Limerick City, Sinn Fein)
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I thank the Minister for her response. I appreciate the sensitivities that could be contained in the report but why has the work not yet been completed by the Office of the Attorney General? It seems that an incredibly long time has been taken. Will the Minister indicate how many months on average she would be waiting for advice from the Attorney General on a report?

When is the Minister expecting the report to be published? She might say that it is soon but perhaps the Minister could put a date on it. I am quite disappointed with the response I have received from her today. I understand that the number of staff in the Office of the Director of Corporate Enforcement has declined from 53 in 2010 to 40 in 2016. These numbers were provided to me by the previous Minister. Apart from that unacceptable 26% reduction in staffing levels, it is quite bizarre to think that just 40 people were assigned to investigate and prosecute white collar crime in Ireland in 2016. This shows how seriously the Government takes this issue and its lack of concern. From reading the report, can the Minister tell the House if lack of resources, staff or funding was highlighted as possible reasons behind the shambolic investigation conducted by the ODCE that led to the collapse of the subsequent Seán FitzPatrick trial?

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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This trial and the various issues it has thrown up is a complex situation. Some of the issues have been examined in the report. It was a very complex trial, as the Deputy is aware, in terms of the issues that were dealt with and it was one of the longest in the history of the State. I would certainly like to publish the report but when I publish any report I have to be conscious - the time varies as to when reports are received in Government Departments - that it is not a question of one piece of legal advice and it is over. It is a question of teasing out the relevant legislation, what the legislation has to say about publication, and whether or not there are rights relating to publication and are there limitations on that right. We have to also examine the impact on other parties who are affected by the report. Where that is the situation, it is normal procedure to make the other parties aware of the impending publication and so on. There will be no delay in publication but a range of issues have to be dealt with. As soon as they are clarified, and if it is feasible to publish the report, I want to be in a position to publish it and bring it before the Oireachtas for discussion. I am sure the committee will want to examine it also.

Maurice Quinlivan (Limerick City, Sinn Fein)
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Once again, I thank the Minister for her response but the delay from the Office of the Attorney General is very disappointing.

Will the Minister outline the additional funding and staff that will be made available to the Office of the Director of Corporate Enforcement and other offices that fall under the regulation section of her Department? In the expenditure report yesterday, on page 52, funding is mentioned but it is not broken down into how much is going to each of the offices, such as the Health and Safety Authority, the Irish Auditing and Accounting Supervisory Authority or the Office of the Director of Corporate Enforcement. Perhaps the Minister could give a breakdown of what each office will receive in additional funding.

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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The ODCE budget in 2017 is €4.895 million. This comprises pay of €2.834 million and non-pay of €2.057 million. The spend up to 31 August 2017 is €1.844 million. We are supporting the ODCE. The Deputy referred to staff and recruitment. The people the ODCE wishes to recruit, such as forensic accountants, have been recruited. There was an issue around making sure that it could recruit those staff. It was not a funding issue; it was a question of recruitment. I reassure the Deputy that we are supporting the ODCE in the needs of the office and recruitment. Obviously, some of those issues will probably be dealt with in the report that we have received.