Former VEC chair defends his actions

A former chairman of County Cork VEC has defended his role in unsanctioned lease and loan arrangements at a youth facility in Mallow.

Councillor Noel O’Connor said he had done nothing wrong and only ever acted in the best interests of the VEC to progress a positive project.

County Cork VEC (CCVEC) has been asked by the Department of Education to account for two unauthorised leases it signed in 2008 and 2011 for the same property at Ballyellis.

This included an unapproved borrowing facility of €430,000 from its landlord, Mallow Credit Union, which it subsequently opted not to draw down.

Mr O’Connor was speaking at a stormy monthly meeting of the VEC in which his successor, Gerry Kelly, won a vote of confidence. This was tabled after he brushed off allegations of a cover-up regarding the finances of the organisation.

Mr Kelly faced accusations from Cllr Humphrey Deegan that he was facilitating a situation where crucial audit documents and financial reports were not being made available to members.

The meeting was adjourned to allow Cllr Deegan retract his “cover-up” remark. He refused to do so. Mr Kelly welcomed the overwhelming vote of confidence in his work.

In relation to the 2008 lease and loan agreement with Mallow Credit Union, Mr O’Connor said that when he signed the document in 2008, he did so as chairman of the VEC.

“I want to say I stand over everything I did as chairman… the letter I signed I did with the best of interests of the members and the students we teach out there.”

He said Mallow childcare centre, which was built on the land, was a positive project. And he said a report on the lease in yesterday’s Irish Examiner had put a slant on it and wrongly suggested he did something wrong.

In January, the acting chief executive of the VEC, Joan Russell, had committed to provide a report on the Mallow situation to yesterday’s meeting. But she postponed this until next month.

The meeting also heard CCVEC was still in negotiations with the Revenue Commissioners over a tax settlement. A proposal was submitted by CCVEC to Revenue in January but it was awaiting a counter estimate of its liability.

It also emerged CCVEC has yet to get final sign off from the Comptroller and Auditor General on its 2011 financial statements.

Yesterday’s meeting was told an auditor from the C&AG visited last month.

A report is expected to come before CCVEC’s audit committee on Mar 11.