Dáil hears firm got €1.8m in Covid wage supports and paid out same amount in dividends

Leo Varadkar says any companies that received Covid wage supports but paid dividends should repay the money

Leo Varadkar said: “We needed to get money out to workers and money out to businesses quickly, and we always knew that some people wouldn't necessarily need the money.”

Companies which received wage subsidy supports but then paid large dividends to shareholders should pay the money back to the State, Tánaiste Leo Varadkar has said.

Speaking during Leaders’ Questions, Labour’s finance spokesman Ged Nash highlighted reports of one company which received €1.8m in supports and paid dividends of approximately the same amount.

He demanded answers as to what can be done to ensure the taxpayer is not “lining the pockets” of very profitable businesses. Mr Varadkar said that both the Wage Subsidy Scheme and Pandemic Unemployment Payments were organised and designed in a hurry.

“We needed to get money out to workers and money out to businesses quickly, and we always knew that some people wouldn't necessarily need the money,” he said.

“I think particularly when it comes to the wage subsidy scheme, where substantial profits are made by companies or they find themselves in a position to pay dividends, that it's appropriate that they should return that cash to the taxpayer. I know some companies have done that. Others have not, and I think they should,” he said.

Mr Varadkar said the Revenue Commissioners will pursue any instances where a business fails to qualify for the scheme.

“Whatever the reason, why the question of what dividends a company may or may not be in addition to pay shareholders is a matter outside the current legislated remit of the scheme,” he said.

Brandon report

Mr Varadkar was also asked about whether the Government would insist on the publication of the full report into the ‘Brandon’ abuse case in Donegal, and said the HSE is insisting it can’t be published in full.

However, he said the line minister, Anne Rabbitte, is not accepting this stance by the HSE and is seeking guidance from the Attorney General, with a view to publishing the full report, even on a redacted basis.

“Minister Rabbitte is seeking advice from the Attorney General as to whether she can publish it either fully or in redacted form. The HSE is saying at the moment it's not possible. But Minister Rabbitte isn't accepting that at this point in time and is seeking advice from the attorney as to whether she can publish it in full or if not in full, at least in redacted form,” he said.

Sinn Féin’s chief whip, Donegal TD Padraig MacLochlainn, said what went on was scandalous and can never, ever be allowed to happen again.

It is critically important that the Brandon Report into serious incidents of abuse at HSE-run facilities in Donegal is published in full.

The Irish public deserves full accountability and we must ensure that lessons are learnt so this never, ever happens again. – @PadraigMacL pic.twitter.com/p683MoOsI5

— Sinn Féin (@sinnfeinireland) December 16, 2021

“We continue to drag this out, the families and the public deserve the full truth in order to properly protect our most vulnerable patients going forward. We need to learn from the mistakes here and the executive summary is not enough to do that,” he said.

Mr Varadkar said there are families who have been deeply impacted and are deeply hurt. “I think for anyone who's read or listened to the reports on the issue, they're going to be shocked and they're going to be upset by what has happened. I certainly, when I read about it, I first was horrified that this could have happened and even felt disbelief that something like this could happen and continue to happen for a period of time,” he said.