Arthur Morgan (Louth, Sinn Fein)
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Question 301: To ask the Minister for Agriculture, Fisheries and Food if a company (details supplied) received grants in 2007 under the dairy investment fund; and if, in the event of grants having been paid to the company, they will be reclaimed if the company lets staff go in 2008. [5564/08]

Mary Coughlan (Donegal South West, Fianna Fail)
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The company in question was approved a total of €18.25m in grant assistance in respect of three separate projects on investments totalling €45.6m under the 2007 Dairy Investment Fund. The primary consideration for establishing the Dairy Fund was to support capital investment in the dairy sector to ensure that Irish dairy products could be produced efficiently and competitively for export markets. An important element in evaluating the projects submitted under the Fund was the extent to which each project would maintain or increase employment within the company. If a situation arises whereby job losses can be directly attributable to the investment under the Dairy Fund, my Department in conjunction with Enterprise Ireland will seek a review with the company into the circumstances giving rise to the job losses.

It is a condition of the award of grant aid under the Dairy Fund 2007 that a company must not dispose of equipment or buildings, in respect of which grant aid has been paid, within a period of five years from the date of payment of the final aid instalment without the prior written authorisation of Enterprise Ireland. If there is a breach of this condition, the Company will be required to repay the grant. Also, where it has been determined that the categorisation of the output has changed from that originally agreed, a pro-rata repayment/reduction of grant support will apply.