Seanad debates

Wednesday, 29 June 2016

10:30 am

Photo of Catherine ArdaghCatherine Ardagh (Fianna Fail) | Oireachtas source

I raise the issue of charities regulation and, in particular, the case of corporate governance irregularities and mismanagement within the organisation Console, which has been the subject matter of a "Prime Time" investigation lately. The Health Service Executive, HSE, started an audit last April and the findings of this audit are now with the senior management of the HSE.

Console is a well-known national charity founded in 2002. It helps people who are distressed and have suicidal thoughts. It has offices throughout the country and its patron is our President, Michael D. Higgins. This charity recently expanded to the United Kingdom and it has been endorsed by many celebrities in the UK. It provides a 24-hour help line that anyone can call if they or members of their family are distressed. It receives approximately 3,400 calls per month.

People who watched the programme last night were shocked and appalled at the misappropriation of funds. Console has received at least €2.5 million from the HSE in the past five years alone for providing suicide prevention services. Its last filed accounts show that Console received grants of €817,000. The grants included €783,000 from the HSE and €31,000 from Tusla. It also received a further €3,500 from the national lottery, €521,000 from fundraising and €551,000 from donations. In addition, the Department of Foreign Affairs and Trade has allocated €130,000 to Console to allow it support Irish immigrants in the UK.

Console depends on the goodwill of thousands of people who do charity walks, runs and cycles around the country. I read in The Irish Timesthat the founder of the suicide prevention charity Console and his wife and son ran up credit card bills of almost €500,000 on items such as groceries, designer clothes and foreign trips over a period of three years, according to the HSE audit. The audit also established that the family benefited by almost €500,000 in salaries and cars from the period between 2012 to 2014. Among the items the credit cards were used for were large unvouched withdrawals of cash from ATMs, trips to Australia, New Zealand, Singapore and other destinations, designer clothing from outlets such as Ralph Lauren and Hugo Boss, dining out, Rugby World Cup tickets and dental work.

"Prime Time" alleged that the Console chief executive officer had received director's payments totalling €215,000 between 2010 and 2012, which allegedly is in breach of company law and Revenue regulations. These allegations raise serious questions with regard to charities and how State and privately raised funds are used and abused for people's personal gain.

I ask the Leader to request the Minister to address the House on the role of the Charities Regulator in this matter and any other matters the HSE or the Charities Regulator is investigating. It is not acceptable that State funds are used in the manner alleged. It is particularly disturbing in light of the recent U-turn on mental health funding and the rise in mental health issues and suicide in our society. With so many people on waiting lists for therapies, this wanton waste makes me sick to the core when others are left anxiously waiting for appointment times.

My heart goes out to the many staff employed by Console who are 100% dedicated to their jobs. This incident is another blow to the charities sector when the majority of people working in the sector are hard-working, honest individuals living on modest incomes.

I would like to know the action the Minister is taking to ensure that other charities are being monitored and audited to prevent such abuse of State funding and people's donations being spent on director's payments, luxury cars and luxury travel. In particular, I would like to know the number of investigations the Charities Regular is involved in currently and whether other charities that have been audited are being investigated. Can the Minister confirm to the House that the Charities Regulator will use all the powers it has under the Act to take over Console to ensure that the vital services it provides can be continued and extended?

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