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Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Therefore, there was contact.

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Is there any suggestion or evidence of misappropriation of funds from the office?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Was the cost reimbursed before or after this issue became public?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: There was an €8,000 contribution to the Waterford Spraoi Festival, a payment of €40,000 to Pauline Bewick to cover expenses incurred in cataloguing the Bewick collection, the purchase of a Bewick painting and so on, and a considerable amount spent on taxis. Did Dr. Neavyn get a taxi here today?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: It is something that has become associated with Waterford Institute of Technology. Dr. Neavyn is confident that none of the money was misappropriated. A considerable amount of money was spent on public relations - approximately €500,000. Is Dr. Neavyn confident that the services for which the institute paid were actually provided?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Does the institute still maintain the services of these public relations companies?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Is Dr. Neavyn satisfied that the institute is tendering because many of the contracts were not put out to tender? Is he confident that all significant contracts are put out to tender?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: I have read either in one of the reports or in the media that the former president is involved in litigation with the institute of technology. Is that correct?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Is the institute defending it?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: I will not go into it because it is probably inappropriate to raise the matter in public session.

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: On the issue of staff remuneration and the payment of allowances in excess of those prescribed, the report shows there was a sum of almost €8 million paid to senior university staff in excess remuneration. I will ask Dr. Brady about this as UCD had the highest figure at €3.6 million. At any time was the university aware that it was paying in excess of what it ought to have...

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: It is a back-and-forth process. According to the Comptroller and Auditor General's report, there were meetings between representatives of Trinity and the HEA, with correspondence in July 2010 from the HEA to the university stating that the operation of internal promotion schemes was not permissible under the framework, and the monitoring committee considered that the university would be...

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: What is that resolution?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: The issue is that the university was penalised, with the HEA providing the sanctions. It came to the conclusion that the university's actions were outside the framework. There is the issue of the three-month period, which cannot be divorced from the reality at the time, which was that the State was experiencing severe economic changes, with budgets reducing. It would have been very obvious...

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: Were the staff informed of the promotions after the HEA had expressed reservations?

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: From that reading, it seems that the HEA acted entirely unfairly in sanctioning the university.

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: The issue is whether the promotions were done correctly and in accordance with good corporate governance and Government and HEA guidelines. The HEA has decided they were not carried out correctly. Dr. Prendergast has indicated he does not want an argument but it is important this is resolved and does not happen again in future. If there is a genuine dispute between Trinity College and the...

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: The second issue I wish to deal with takes in the expenses in Waterford Institute of Technology. I had heard anecdotal reports and seen reports in the media but reading about the scale of the issue, it seems extraordinary. It was almost like a fiefdom was operated in the office of the president with unqualified power and ability to spend money. It showed flagrant disregard for any kind of...

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: I welcome the university and institute of technology heads and thank them for coming. Before I start the questioning, I acknowledge that the environment in which they all operate has changed dramatically in recent years. According to the figures, their budgets and staff levels have reduced dramatically, while their student numbers have risen significantly. They are to be commended,...

Public Accounts Committee: Special Report No. 78 of the Comptroller and Auditor General: Matters Arising out of Education Audits (27 Sep 2012)

Derek Nolan: The employment control framework was due to expire at the end of 2010 and we are talking about a period in the middle of 2010. The employment control framework was brought in to deal with significant issues in the State finances. Surely, in the middle of 2010, when the State finances were deteriorating further and the economic crisis was on everyone's mind, it was not unforeseeable that...

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