Written answers

Tuesday, 11 December 2012

Department of Justice and Equality

Proposed Legislation

Photo of Mary Lou McDonaldMary Lou McDonald (Dublin Central, Sinn Fein)
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To ask the Minister for Justice and Equality the date on which he will introduce a Criminal Justice (Proceeds of Crime) Bill; and if he will insert a provision allowing for this money to be ring-fenced and put back into communities worst affected by drugs and crime. [54480/12]

Photo of Alan ShatterAlan Shatter (Dublin South, Fine Gael)
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The Programme for Government includes a commitment to strengthen the powers of the Criminal Assets Bureau in relation to the forfeiture of the proceeds of crime.

An Expert Group, established under the auspices of my Department, is currently engaged in a comprehensive review of the Proceeds of Crime legislation with a view to identifying possible improvements which would serve to strengthen the operation of the Bureau, having regard to the experience of the Bureau to date.

When the work of the Expert Group concludes it is my intention to bring forward proposals in due course for inclusion in the Criminal Justice (Proceeds of Crime) Bill.

At this time it is not possible to provide the Deputy with a particular date for when the proposed Bill will be published.

With regard to the suggestion that provision be made in the Bill to allow for the ring fencing of monies recovered by the Criminal Assets Bureau to assist communities worst affected by drugs and crime, I can inform the Deputy that this is an issue which has been raised previously and on which my Department has consulted with the Department of Finance.

It is currently the case that all monies collected by the Bureau are returned to the Exchequer in accordance with the provisions of the Proceeds of Crime Acts 1996 and 2005. Such funds are paid into the Government’s Central Fund, from which the Government draws for expenditure on all necessary public services and investment.

While it has been accepted that there may be some symbolic value in the suggestion it is considered problematic for a number of reasons.

Aside from the general concern that arises with regard to the constraint that such policies can place on the Government in terms of its overall expenditure policy, the suggestion also raises a number of practical difficulties.

A revenue source such as the monies collected by the Bureau, which are variable and uncertain in nature, would not facilitate proper planning for any community projects. There is also the problem of additional costs which would accrue in the administration of any scheme to divert such funds to local projects and additional administrative costs without any additional revenues being generated.

Furthermore, in the current economic climate the Exchequer could not sustain a loss of revenue without making compensatory adjustments. If the monies collected by the Bureau were to be diverted to community projects, there would inevitably be implications for any other monies those projects received from the Exchequer. Alternatively, other public expenditure programmes would have to sustain the loss.

In the circumstances, I do not currently have any proposals to insert the type of provision suggested by the Deputy.

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