Watchdog critical as FÁS fails to supply documents

THE Dáil Public Accounts Committee has criticised FÁS over its failure to provide information as part of an investigation into poor financial management in the State training and employment agency.

Committee chairman Bernard Allen claimed it was unacceptable that FÁS director general Rody Molloy had only replied last Monday to a request that was made in early October.

The Fine Gael TD suspended the committee’s weekly meeting because of the failure of FÁS to provide most of the requested documentation. The late arrival of information had placed it in “an impossible situation”.

He said it was extremely disappointing that a State agency with such a massive budget could take so long to comply with such a request.

The Dáil public spending watchdog has been highly critical of FÁS bosses over spending and procurement practices within the organisation that were highlighted in a recent Comptroller & Auditor General report.

A former senior executive is the subject of two Garda investigations which also involve a leading advertising agency and alleged overcharging of €160,000. The matter was only uncovered following an anonymous tip-off in 2004 to then tánaiste Mary Harney.

The individual has been subjected to disciplinary action and is on sick leave. He no longer holds the same position in FÁS.

However, FÁS claimed it cannot provide information about the disciplinary action based on legal advice.

Mr Molloy confirmed that 48 audits of the corporate affairs division between 2000 and 2007 had highlighted losses of €176,000. However, he claimed such a figure should be viewed in the context of FÁS’s annual multi-million euro budget.

He explained that legal difficulties with the request only arose last Friday. “It put us in a very difficult situation,” he said.

Mr Allen said the committee would engage in further contact with FÁS over the next 24 hours to see if matters could be progressed.