Gardaí asked to investigate fresh Rehab allegations
This latest turn in the ongoing controversy surrounding the high-profile group emerged at the latest Public Accounts Committee meeting yesterday.
Before the meeting began, members of the cross-party body held a 90-minute discussion with the PAC’s legal representatives over the claims, which have been made by Wicklow-based developer John Kelly.
The exact allegations cannot be published for legal reasons. This is because the content of the letter was not disclosed at the public session of the PAC meeting, and is not protected by parliamentary privilege.
However, PAC chairman and Fianna Fáil TD, John McGuinness, said the letter involves “a number of serious allegations against named individuals who have or had association with the Rehab group,” adding this “could potentially involve criminal wrongdoing”.
The letter, which has been forwarded to gardaí, was sent by Mr Kelly on Tuesday through Tom Casey Solicitors.
The developer sparked controversy after claiming he spent more than €100,000 on entertainment for top Rehab officials, including helicopter trips. While Mr Kelly claimed this was linked to his ultimately unsuccessful bid to purchase Rehab’s south Dublin headquarters, the charity has staunchly rejected the suggestion.
Meanwhile, the PAC has heavily criticised Rehab’s response to 13 questions left unanswered during a tense meeting last month.
On Wednesday, Rehab attempted to clarify the points.
However, the PAC warned this latest file has again failed to detail Ms Kerins’ previous salary levels and bonus history; ex-CEO and Fine Gael adviser Frank Flannery’s pension; and exactly what work Mr Flannery’s lobbying and consultancy involved.
Independent Senator Shane Ross also noted a copy of the Towers Watson external report, which recommends pay levels for top Rehab executives, sent to the Dáil group was akin to a “power-point presentation”.
The file was just eight pages long, despite the PAC and Towers Watson asking Rehab to provide the document in full.
After Mr Ross said it is his view Rehab is being “deliberately obscure” over the issue, Labour TD Gerald Nash said he is “quite astonished at the scant information” provided.
PAC chair Mr McGuinness said he expects Rehab’s chief executive Angela Kerins, chair Brian Kerr, the group’s remuneration committee, its director of finance, and ex-CEO Mr Flannery to appear before the committee on April 10.
The Fianna Fáil TD said all witnesses will be contacted via Rehab and personally.
PAC chair John McGuinness has insisted no personal vendetta against Frank Flannery is behind the group’s ongoing interest in his Rehab-linked finances.
The Fianna Fáil TD issued the clarification at the latest meeting of the spending watchdog, and advised other politicians “to take note of that before making public comments” after coming under fire from Fine Gael officials earlier this week.
On Tuesday, Fine Gael Environment Minister Phil Hogan accused the PAC of “exceeding their limit” on the Rehab dispute.
He said Mr McGuinness — who is a constituency rival in Carlow-Kilkenny — was “behaving politically” in relation to the questions over ex-Rehab CEO and long-time Fine Gael adviser Mr Flannery’s role in the affair.
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