Phil Hogan (Carlow-Kilkenny, Fine Gael)
Link to this: Individually | In context

Question 36: To ask the Minister for Community, Rural and Gaeltacht Affairs if the recently published report of the Law Reform Commission on charities regulation will inform the proposed legislation in this area; and if he will make a statement on the matter. [36910/06]

Noel Ahern (Dublin North West, Fianna Fail)
Link to this: Individually | In context

The recently published report of the Law Reform Commission (LRC) to which the Deputy refers related to the areas of Charitable Trusts and of Legal Structures for Charities.

With regard to the issue of Charitable Trusts, the Deputy will be aware that, following the publication by my Department of its Consultation Paper on Establishing a Modern Statutory Framework for Charities, the LRC agreed to assist my Department on aspects of the proposed new framework, in particular the role and function of charity trustees. I am glad to be able to confirm to the Deputy that the General Scheme for the Charities Regulation Bill, which was published in March last, was informed in a number of aspects by the work of the LRC in the area of charitable law. Indeed, I informed the House in response to Question No. 89 of 26 Deireadh Fómhair 2005, following the conclusion of the LRC consultation process on its proposals for the reform of charitable trust law, that my Department had been fully apprised as to the outcome of the LRC deliberations in this regard. The Deputy may wish to note that in its recent report the LRC acknowledges that the draft Charities Bill 2006 incorporates many of the provisional recommendations in the Commission's Consultation Paper on Charitable Trust Law.

The recent LRC report also examines the need for a new legal structure for charities in Ireland. As I have already informed the House, the matter of legal structures for charities does not constitute the purpose of the proposed Charities Regulation Bill, which is to regulate the charities sector for the first time since the foundation of the State. Under the Agreed Programme for Government, there is a commitment to ensure accountability of the charities sector and to protect against abuse of charitable status and fraud. That is the commitment on which the Charities Regulation Bill will deliver.

I should add that since publication of the General Scheme for the Charities Regulation Bill, the feedback from the charities sector has been favourable. The General Scheme has been called a hugely positive step in the right direction. A welcome has also been given to our stated intention that the legal structure of those charities which are companies limited by guarantee under existing company law will not hinder compliance with the new legislation. The proposed Charities Regulation Bill will also ensure that dual registration and dual filing of annual returns, such as with both the future Charities Regulator and the Companies Registration Office, will be avoided where corporate charities are concerned.