Finance Minister Michael Noonan has added his voice to those calling for the former chief executive of Central Remedial Clinic (CRC) to pay back his €742,000 pension pay-off.
Minister Noonan said the financial management practices within the charitable clinic for disabled children and adults that had led to ex-CEO Paul Kiely securing the package were “astounding” and “absolutely shocking”.
The CRC scandal was disclosed at the Public Accounts Committee (PAC) earlier this week, when members heard the amount Mr Kiely walked away with.
He previously only admitted a pension pot of €200,000.
The money was secured from donations and paid out of accounts held by the Friends and Supporters of the CRC.
An audit by the HSE has uncovered Mr Kiely’s pay-off included €200,000 tax free, €273,336 which was taxable and €268,689 paid to Mercer’s consultants to top up his pension fund as though he had worked until November 2016.
On an interview on RTÉ Radio One, Minister Noonan was asked if the money should be repaid.
He replied: “On the face of it, it should, yes.”
John McGuinness, PAC chairman, has suggested a fraud squad investigation might be needed over the affair, with the Office of the Director of Corporate Enforcement and gardaí being called in.
Mr Noonan agreed with Mr McGuinness that the PAC should be allowed to complete its investigation first.
“I don’t think it would be appropriate that the PAC inquiry was inhibited in any way by an early intervention of the gardaí,” said the Finance Minister.
“When PAC has completed its work and arrived at conclusions, then the other relevant agencies could get involved.”
Former CRC chairman Hamilton Goulding today said that he had for years tried to cut Mr Kiely’s €234,000 a year salary but was told he could not due to legal obligations.
Mr Goulding, whose mother Valerie Goulding founded the clinic, told the Irish Daily Mail that paying Mr Kiely off had
“The day we finalised Paul Kiely’s package I was so delighted because I felt we had saved the CRC more than €1.4m in the long term and that was my intention all along,” he said.