Tánaiste backs embattled Health Minister

Tánaiste Eamon Gilmore has full confidence in Health Minister Dr James Reilly despite fierce criticism over his stake in a private nursing home and a €1.9m debt.

The Labour leader said his Cabinet colleague has explained the entire background behind the investment and rejected opposition claims of a conflict of interest.

“If the opposition have issues in relation to anything that is in his statement or that they want to raise further, there are ways to do that,” Mr Gilmore said.

“You can’t on the one hand say that there’s a conflict of interest and on the other that hand say he is disposing of the interest that he has in the property concerned.

“I have confidence in the Minister for Health as I do in all the ministers.”

Dr Reilly outlined to the Dáil last night how his 9% stake in the Green Hills nursing home in Carrick-on-Suir, Co Tipperary, turned sour.

It culminated this week with the publication of his name on the list of debt defaulters in Stubbs Gazette – a first for Irish politics.

Ceann Comhairle Sean Barrett initially sprung to Dr Reilly’s defence when the opposition challenged the Tánaiste on the scandal in the Dáil this morning.

He told the opposition not to make allegations that the minister had made a false declaration of his interest to the Standards in Public Office without him being there to defend himself.

Sinn Féin insist Dr Reilly has questions still to answer over the investment.

In his explanation, the under-fire minister set out a trail of complex legal battles, lease disputes and repeated failures to find a buyer which led to him breaching a court order to repay his share of the €1.9m debt.

“I do not have a conflict of interest. I have a single interest and that is the interest of older people and patients in our health service,” he said.

“I entered politics late in life. I did so in pursuit of no business interests whatsoever.

“I did so because I passionately believe that we can provide better services to citizens. I passionately believe that we must put patients at the heart of our health service.”

Dr Reilly was entitled to be bought out of the investment in June 2011 but lawyers repeatedly failed to secure a buyer.

Dr Reilly holds a 9% share in the investment since 2000 and was one of five recourse co-owners. He is in effect a minority shareholder.

There were another eight investors, regarded as non-recourse owners, who were involved in the deal to buy the land near Carrick-on-Suir, build a nursing home and lease it.

He was seeking to have the non-recourse owners, or others, buy him out when the €1.9m debt repayment judgment was made against him and other investors.

Dr Reilly insisted that he has never had any role for the on-the-ground operations at Green Hills.

On taking the role as health minister in Government in March 2011, Dr Reilly granted power of attorney over the business interest to a lawyer following advice from the Standards in Public Office committee.