Written Answers. - Parliamentary Debates - Houses of the Oireachtas

Questions— 14 February 2012. Written Answers
Minister for Defence (Deputy Alan Shatter): I propose to take Questions Nos. 548 and
549 together.
I welcome the fact that the Oireachtas Committee of Public Accounts (PAC) recently examined
the Chapter on Financial Control in the Irish Red Cross Society that was contained in the
Comptroller and Auditor General’s recent Report. I also welcome the fact that the Irish Red
Cross Society readily agreed to appear before the Committee and I believe that their attendance
represented a further important step in restoring the full confidence of the public in the
Irish Red Cross Society. It is clear that before it agreed to dispose of the Chapter in question,
the PAC dealt in some considerable depth with a wide range of issues relating to weak financial
controls in the past and allegations of poor corporate governance. I believe that the PAC’s
work in this regard has helped to clear the air in relation to a number of serious allegations
that have been made in public concerning, inter alia, the appropriateness of how the Society
deals with unrestricted donations, its treatment of its property portfolio in its accounts, and
also its ability to produce consolidated audited accounts for the whole of the Society. I am
satisfied that the officials from the Irish Red Cross Society answered all of the questions put
to them and whilst I am aware that some of the information presented to the PAC has subsequently
been disputed by some, the question of resolving any discrepancies or misunderstandings
that may have arisen is a matter for the Committee.
550. Deputy Finian McGrath asked the Minister for Defence his views on the fact that under
the new Red Cross Constitution, there is no provision for retrospection of service, meaning the
vice chairman and honorary treasurer can each serve for a further six years, bringing their
service to 27 years and 15 years respectively; his further views on whether this arrangement
meets good corporate governance guidelines; and if he will make a statement on the
matter. [8223/12]
551. Deputy Finian McGrath asked the Minister for Defence when the new Irish Red Cross
statutory order will be brought to Cabinet for consideration; if it is his intention to include a
clause on retrospection of service for members of the IRC executive committee in the new
order; and if he will make a statement on the matter. [8224/12]
Minister for Defence (Deputy Alan Shatter): I propose to take Questions Nos. 550 and
551 together.
I am on record as saying that I do not believe that it is conducive to good corporate governance
for any individual to serve indefinitely on the Central Council or the Executive Committee
of the Irish Red Cross Society, or in the same appointment. I have previously written to the
Chairman of the Society and expressed my views on the need for mandatory breaks in service.
I welcome the fact that the issue of turnover and rotation at leadership levels was raised by
him at a subsequent Central Council meeting and that agreement was reached by the members
to introduce a mandatory three-year break for Executive Committee members in circumstances
where a member may have previously served for two consecutive three year terms.
In relation to the issue of retrospection, I am aware of the fact that it is the firm view of the
International Federation of Red Cross and Red Crescent Societies that this is a matter for the
membership of the Irish Red Cross Society who are free to choose whether to support long
serving colleagues who present themselves for re-election to the Executive Committee. I am
also aware that there is an ongoing debate about this issue amongst the membership of the Irish
Red Cross Society. As retrospection is a matter for the democratic processes of the Society, I
believe that its members should be given the opportunity to determine this issue for themselves.
I am satisfied that in seeking to get the right balance, the members will consider the views of
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