Micheál Martin (Cork South Central, Fianna Fail)
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163. To ask the Minister for Finance if he is aware that the Irish Bank Resolution Corporation engaged a company (details supplied) to do work, without going through normal procurement procedures; if there were reasons given for this; and if any action was taken by his Department. [17709/15]

Michael Noonan (Limerick City, Fine Gael)
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Officials in my Department are aware that IBRC proceeded with the appointment of the company referred to in the question without following a standard procurement process. The CEO of IBRC at the time used his authority under bank policy to waive the requirement of Board approval for the engagement.  IBRC felt that given the sensitivities around the piece of work which the company referred to in the question was engaged to undertake, they decided that a targeted selection process for this limited piece of work was the best approach to take.

My Department took the opportunity to address the matter of advisers in the revised relationship framework dated 29 March 2012, paragraph 27 of this details the role IBRC had in respect of advisers, it states that:

"In respect of advisers, the Bank shall:

27.1 notify the Minister in writing in advance of the proposed appointment or engagement by the Bank of any Key Adviser;

27.2 if requested to do so by the Minister, provide the Minister with any substantive written instructions to and substantive advice by any Key Adviser (including drafts of same) either on a non-reliance basis or, subject to agreement with the Key Adviser, on a reliance basis;

27.3 cooperate with the Minister and provide such information as the Minister may reasonably require from time to time and ensure that all Key Advisers shall agree to do the same;

27.4 allow the Minister full and direct access without restriction to any Key Adviser and their work product at all times, which may include separate meetings or discussions between the Minister and the Key Adviser; and

27.5 be responsible for the appropriate procurement of advisers (including Key Advisers) in a manner which ensures value for money and minimises cost to the Bank and, indirectly, the Exchequer and the taxpayer.

If Minister is of the opinion that an adviser is a Key Adviser within the meaning of this paragraph and notifies the Bank accordingly, that adviser shall be deemed to be Key Adviser for the purposes of this paragraph."