Thursday, April 21, 2011

Minister for Justice and Defence indicates his preparedness to introduce mandatory breaks in service for members of the Irish Red Cross board

Minister for Justice and Defence, Mr. Alan Shatter, has indicated his preparedness to introduce mandatory breaks in service for members of the Irish Red Cross board following extensive questioning in parliament.

On Tuesday 19th April 2011 politicians from three political groupings (Finian Mc Grath-The Independent Group, Aodhán O’ Riordáin-Labour and Dara Calleary-Fianna Fáil) submitted a total of nine parliamentary questions to the Minister concerning the ongoing difficulties at the Irish Red Cross. It is indicative of the scale of the continuing problems at the Society and its refusal to hold those responsible to account that so many questions were asked. The ongoing presence of a number of individuals on the board of the Irish Red Cross and the refusal to resign despite their role in matters of serious public concern hangs over the Society like a very dark and ominous cloud.

A number of the answers provided by the new Minister are positive and give reason to be cautiously optimistic that certain reforms will be demanded and insisted upon by the government. As an example, in response to a question by Deputy Finian Mc Grath-Independent, expressing concern at the length of time certain individuals have served on the board of the Irish Red Cross, the Minister replied:

My Department is engaged in consultations with the Office of the Attorney General on the extent of changes that can be made to the Irish Red Cross order 1939. Following receipt of legal advice from the Office of the Attorney General, which is expected in the coming weeks, I will review the legislative changes that are proposed and consider bringing them to Government for approval. Amongst the issues that will be considered will be the question of introducing mandatory breaks in service.

The Minister further stated:

Finally it is important to note that whatever changes may be made to the 1939 Order, a comprehensive review of all Red Cross legislation, and in particular the primary legislation, will be commenced by my Department as a matter of priority.

The other key issues raised by the three politicians and addressed in the Minister’s replies were:

• The appointment of a new government nominee to the Central Council following the resignation of a serving member for personal reasons. This Blog advocates for the appointment of someone with courage, conviction and integrity as well as being a person who will be prepared to demand resignations when and where they are warranted.
• The Minister committed to ‘carrying out a comprehensive review of the legislation governing the operation of the Society’. What is not clear, however, is where the draft Constitution of the Irish Red Cross, which is before the next Central Council meeting in May, fits into this. The Minister only indicated that the proposed reforms submitted by the Irish Red Cross would ‘be considered as part of the review of legislation’. This would imply that even if the fundamentally flawed draft Constitution is approved by the Central Council next month the Minister may in fact choose to ignore it as he brings in new legislation. Should he choose to set aside the draft Irish Red Cross Constitution it would be a very welcome development as members of the Society have not been consulted and 99% of the 6,000 members have never seen or been issued with a copy of the draft proposals. As such the Central Council has no mandate to vote on their behalf on such a critically important matter.
• The Minister refused to be drawn on Deputy Mc Grath’s question regarding Transparency International’s calls for an independent investigation into the Irish Red Cross and the re-instatement of Noel Wardick as Head of the International Department. The Minister is, however, incorrect when he says the Government cannot intervene in the day to day affairs of the Irish Red Cross. The legislation currently in place specifically allows for this and the civil servants who draft answers to parliamentary questions have consistently erred on this issue.
• The failure to-date by the Irish Red Cross to produce its 2009 Annual Report and its 2010 Annual Report was formally raised in one of the questions. The Minister was asked could he be assured that the €2 million of tax payers’ money given to the Irish Red Cross in this period was spent effectively and efficiently. The Minister was asked to explain the delay in producing the two annual reports and when they could be expected.
• The Minister was also asked if it was a prudent use of Irish tax payers money to give €951,000 to the Irish Red Cross in 2011 given the extensive revelations in the media during 2010 regarding financial irregularities. The answers provided by the Minister to some of these questions are standard civil servant drafted ‘non-answers’ and were generally unsatisfactory. The Minister should be reminded that ‘independent auditors’ gave the thumbs up to Anglo Irish Bank, AIB, Bank of Ireland, Irish Nationwide, Enron and Lehman Brothers and each and every one of these went bankrupt. Surely Mr. Shatter is not going to depend on ‘independent auditors’ to assure him that Irish tax payer money has been properly spent at the Irish Red Cross?

What remains without question one of the most salient features of the crisis at the Irish Red Cross is the complete absence of shame, embarrassment or accountability amongst those who maintain power at the Society. The fact that their time in office has witnessed a damning internal investigation and report into the undeclared Tipperary tsunami bank account, an RTE Prime Time investigation in which the Society humiliated itself, non-stop media coverage and damaging but accurate revelations, endless parliamentary questions in Dail Eireann, staff departures and dismissals, the resignation of an Executive Committee Honorary Secretary, official complaints to government Ministers, calls for independent investigations by Fine Gael, Labour, Independents and Transparency International, breaches of standard accounting procedures and financial irregularities over many years and now the active involvement of the Attorney General’s office, appears to be of no apparent concern.

Those in power at the Irish Red Cross are in total denial. They refuse to accept any responsibility and they alone believe none of this is their fault. As with Irish banks the Irish Red Cross will remain discredited and in turmoil until these board members are forced to resign. The Minister of Finance has demanded it of the banks. The Minister for Justice and Defence should demand it of the Irish Red Cross. Mr. Shatter has the legal and moral authority to do so.

It is not dissent that is dangerous, it is unchallenged consensus-Unknown


The full text of all nine parliamentary questions and the Minister’s replies are below:

http://www.kildarestreet.com/wrans/?id=2011-04-19.1163.0&s=Irish+Red+Cross#g1181.0.r



Department of Justice, Equality and Defence
Irish Red Cross
All Written Answers on 19 Apr 2011
8:00 pm

Finian McGrath (Dublin North Central, Independent)
Question 246: To ask the Minister for Defence, in view of his commitment to good corporate governance practice, if he has concerns that the executive committee and the central council of the Irish Red Cross has a number of members who have served continually on the board for between ten and 20 years, in breach of internationally recognised good governance practice, including that of the International Federation of the Red Cross/Red Crescent and the International Committee of the Red Cross; and if he will make a statement on the matter. [8251/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
My Department is engaged in consultations with the Office of the Attorney General on the extent of changes that can be made to the Irish Red Cross Order 1939. Following receipt of legal advice from the Office of the Attorney General, which is expected in the coming weeks, I will review the legislative changes that are proposed and consider bringing them to Government for approval. Amongst the issues that will be considered will be the question of introducing mandatory breaks in service.

Finian McGrath (Dublin North Central, Independent)
Question 247: To ask the Minister for Defence if the Irish Red Cross intends to carry out an independent investigation into claims made by the IRC whistleblower and pending the outcome of that investigation to re-instate the sacked former head of the international department as per calls made by Transparency International - Ireland in December 2010 and again in March 2011; and if he will make a statement on the matter. [8252/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
The Irish Red Cross Society is an independent statute based charitable organisation with full power to manage and administer its affairs through its governing body, the Central Council. The Irish Red Cross Order 1939, which established the Society in Ireland, does not make any provision for the Government to intervene in the day to day administration of the Society. Furthermore, there is an obligation on Governments to protect the independence of national Red Cross organisations. The dismissal of the employee in question is an internal disciplinary matter for the Society. Accordingly, disciplinary issues that arise within the Society must be addressed in the context of a normal employer/employee relationship without interference by Government. All parties to the disciplinary action are of course entitled to seek independent legal advice.

Finian McGrath (Dublin North Central, Independent)
Question 248: To ask the Minister for Defence when he expects to be in a position to appoint a replacement to the central council of the Irish Red Cross following the recent resignation of one of its Government nominated members for personal reasons; and the way he intends to choose the replacement. [8253/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
My Department was recently informed of the resignation, for personal reasons, of one of the previous Government’s nominees on the Central Council of the Society. When I have had an opportunity to consider how this vacancy might be filled, I will bring a Memorandum to Government for decision.

Finian McGrath (Dublin North Central, Independent)
Question 249: To ask the Minister for Defence his plans to put aside the governance reform proposals submitted by the Irish Red Cross last year pending the outcome of the detailed legal review of the governance and structures of the IRC as per the programme for Government; and if he will make a statement on the matter. [8254/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
As the legislation that governs the Irish Red Cross Society substantially dates back to the pre World War II era, I believe it is now opportune to carry out a comprehensive review of the legislation governing the operation of the Society. The recommendations of the Working Group on Governance Reform will be considered as part of the review of the legislation governing the Irish Red Cross Society.

Finian McGrath (Dublin North Central, Independent)
Question 250: To ask the Minister for Defence if, in the absence to date of the production and publication by the Irish Red Cross of a 2009 annual report or a 2010 annual report, he will assure Dáil Éireann that he is satisfied that the nearly €2 million of taxpayers’ money given by him to the Irish Red Cross in 2009 and 2010 has been effectively and efficiently spent; if he will inform Dáil Éireann when the 2009 and the 2010 IRC annual reports may be expected; and the reason for the delay in producing same. [8255/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
I am satisfied that the money granted to the Irish Red Cross Society in 2009 and 2010which covers the administration of the Irish Society as well as an annual contribution from Ireland to the International Committee of the Red Cross, has been properly spent. The 2009 Accounts have been independently audited and published. I understand that the 2010 Accounts are on schedule for finalisation and publication shortly. As regards the Annual Reports covering 2009 and 2010, I understand that one composite report, covering both years, will be published in the next few months. The delay in publication can be partially attributed to the changes in senior personnel that have taken place in recent months.

Finian McGrath (Dublin North Central, Independent)
Question 251: To ask the Minister for Defence if he has approved annual grant-in-aid funding for 2011 to the Irish Red Cross and the amount of same; his views on whether this is a prudent use of taxpayers’ money in view of the extensive revelations in the media (details supplied) during 2010 regarding financial issues within the Irish Red Cross. [8256/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
The Irish Red Cross Society is supported by an annual grant from the Department of Defence vote. The grant is paid in quarterly amounts to the Society. The total grant for 2011 is set at €951,000 and was approved as part of the 2011 Estimates process. The grant makes an important contribution towards the administration and running costs of the Irish Society. Provision is made in each year’s grant for the Government’s annual contribution to the International Committee of the Red Cross. The contribution is paid by the Society on behalf of the Government. An amount of €130,000 is included in the total grant for this purpose.

Finian McGrath (Dublin North Central, Independent)
Question 252: To ask the Minister for Defence the actions he has taken to date to carry out a detailed legal review of the governance and structures of the Irish Red Cross as per the commitment given in the programme for Government; and if he will make a statement on the matter. [8257/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
The Programme for Government provides for the initiation of a detailed legal review of the basis, structures and governance of the Red Cross in Ireland to improve its functioning in the light of changing circumstances.
As the legislation that governs the Irish Red Cross Society substantially dates back to the pre World War II era, I believe it is now opportune to carry out a comprehensive review of the legislation governing the operation of the Society. In 2007 a resolution was passed by the Council of Delegates of the International Federation of Red Cross and Red Crescent Societies (IFRC) which urged all National Societies to examine and update their Statutes - the rules of the National Societies - and the related legal texts. Arising from this, governance reform has been undertaken by many Red Cross and Red Crescent Societies around the world in accordance with the “Guidance for National Society Statutes” and relevant International Conference resolutions.
I am aware that a Working Group to propose changes in the governance of the Society was established by the Irish Red Cross in 2008. The Chairman of the Working Group presented the findings, which included changes recommended by the International Federation, to the Central Council of the Irish Red Cross Society at a meeting held in November 2009. The Working Group’s report was then submitted to the Department of Defence early last year.
Following the Department’s review of these proposals and the related legislation, a draft Order that would amend the Irish Red Cross Order 1939 was submitted to the Office of the Attorney General. The 1939 Order sets out the basis upon which the Society is governed and was made pursuant to the Red Cross Act 1938. Discussions with the Office of the Attorney General on the extent of changes that can be made to the 1939 Order are continuing. Following receipt of legal advice from the Office of the Attorney General, which is expected in the coming weeks, I will review the legislative changes that are proposed and consider bringing them to Government for approval.
Finally, it is important to note that whatever changes may be made to the 1939 Order, a comprehensive review of all Red Cross legislation, and in particular the primary legislation, will be commenced by my Department as a matter of priority. In this regard, I believe that an overriding principle should be to ensure that whatever legislative changes are made have the full support of the International Federation of Red Cross and Red Crescent Societies.

Aodhán Ó Ríordáin (Dublin North Central, Labour)
Question 253: To ask the Minister for Defence the progress made in initiating a detailed review of the basis, structures and governance of the Irish Red Cross, as outlined in the programme for Government; and if he will make a statement on the matter. [8440/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
The Programme for Government provides for the initiation of a detailed legal review of the basis, structures and governance of the Red Cross in Ireland to improve its functioning in the light of changing circumstances.
As the legislation that governs the Irish Red Cross Society substantially dates back to the pre World War II era, I believe it is now opportune to carry out a comprehensive review of the legislation governing the operation of the Society. In 2007 a resolution was passed by the Council of Delegates of the International Federation of Red Cross and Red Crescent Societies (IFRC) which urged all National Societies to examine and update their Statutes - the rules of the National Societies - and the related legal texts. Arising from this, governance reform has been undertaken by many Red Cross and Red Crescent Societies around the world in accordance with the “Guidance for National Society Statutes” and relevant International Conference resolutions.
I am aware that a Working Group to propose changes in the governance of the Society was established by the Irish Red Cross in 2008. The Chairman of the Working Group presented the findings, which included changes recommended by the International Federation, to the Central Council of the Irish Red Cross Society at a meeting held in November 2009. The Working Group’s report was then submitted to the Department of Defence early last year.
Following the Department’s review of these proposals and the related legislation, a draft Order that would amend the Irish Red Cross Order 1939 was submitted to the Office of the Attorney General. The 1939 Order sets out the basis upon which the Society is governed and was made pursuant to the Red Cross Act 1938. Discussions with the Office of the Attorney General on the extent of changes that can be made to the 1939 Order are continuing. Following receipt of legal advice from the Office of the Attorney General, which is expected in the coming weeks, I will review the legislative changes that are proposed and consider bringing them to Government for approval.
Finally, it is important to note that whatever changes may be made to the 1939 Order, a comprehensive review of all Red Cross legislation, and in particular the primary legislation, will be commenced by my Department as a matter of priority. In this regard, I believe that an overriding principle should be to ensure that whatever legislative changes are made have the full support of the International Federation of Red Cross and Red Crescent Societies.

Dara Calleary (Mayo, Fianna Fail)
Question 254: To ask the Minister for Defence if he will elaborate on the commitment in the programme for Government to initiate a detailed legal review of the basis, structures and governance of the Red Cross here; and if he will make a statement on the matter. [8408/11]

Alan Shatter (Minister, Department of Justice, Equality and Defence; Dublin South, Fine Gael):
The Programme for Government provides for the initiation of a detailed legal review of the basis, structures and governance of the Red Cross in Ireland to improve its functioning in the light of changing circumstances. As the legislation that governs the Irish Red Cross Society substantially dates back to the pre World War II era, I believe it is now opportune to carry out a comprehensive review of the legislation governing the operation of the Society.
In 2007 a resolution was passed by the Council of Delegates of the International Federation of Red Cross and Red Crescent Societies (IFRC) which urged all National Societies to examine and update their Statutes - the rules of the National Societies - and the related legal texts. Arising from this, governance reform has been undertaken by many Red Cross and Red Crescent Societies around the world in accordance with the “Guidance for National Society Statutes” and relevant International Conference resolutions.
I am aware that a Working Group to propose changes in the governance of the Society was established by the Irish Red Cross in 2008. The Chairman of the Working Group presented the findings, which included changes recommended by the International Federation, to the Central Council of the Irish Red Cross Society at a meeting held in November 2009. The Working Group’s report was then submitted to the Department of Defence early last year.
Following the Department’s review of these proposals and the related legislation, a draft Order that would amend the Irish Red Cross Order 1939 was submitted to the Office of the Attorney General. The 1939 Order sets out the basis upon which the Society is governed and was made pursuant to the Red Cross Act 1938. Discussions with the Office of the Attorney General on the extent of changes that can be made to the 1939 Order are continuing. Following receipt of legal advice from the Office of the Attorney General, which is expected in the coming weeks, I will review the legislative changes that are proposed and consider bringing them to Government for approval.
Finally, it is important to note that whatever changes may be made to the 1939 Order, a comprehensive review of all Red Cross legislation, and in particular the primary legislation, will be commenced by my Department as a matter of priority. In this regard, I believe that an overriding principle should be to ensure that whatever legislative changes are made have the full support of the International Federation of Red Cross and Red Crescent Societies.

Thursday, April 7, 2011

Irish Justice Minister to tackle white-collar crime

The Blog came across an Irish Times article (March 26th 2011), transcribed below, and felt it would be of interest to readers. It is a very welcome development and Minister for Justice and Defence Alan Shatter is to be congratulated on his initiative.

The full article is as follows:

Shatter moves to tackle white-collar crime

By: Carol Coulter, Legal Affairs Editor

Minister for Justice, Alan Shatter, is to introduce legislation on white-collar crime, which will deal with both current and future investigations, within the next four to six weeks.

Mr. Shatter was speaking at a conference in Dublin on white-collar crime organised by the Criminal Bar Association and Clarus Press.

The Bill will be targeted at serious and complex offences attracting a penalty of at least five years’ imprisonment, including offences in banking and financing, company law, money laundering, fraud, corruption, competition, consumer protection and cybercrime.

Mr. Shatter said many of the measures in the Bill resulted from the experience of recent investigations, where the Garda (Irish police) had discovered that some potential witnesses had been reluctant to make statements assisting the Garda.

He said the measures went beyond those currently in the Criminal Justice Bill.

The new Bill will strengthen Garda investigative powers, allowing people detained for questioning to be released and their detention suspended while further investigations take place.

It will contain provisions to ensure that any person with relevant information can be required to produce documents, answer questions and provide information for the purposes of investigating serious offences. There will be a new offence of failing to report information to the Garda.

“Anyone who fails to cooperate or who obstructs an investigation could find themselves subject to criminal prosecution,” he said.

It will also contain new detailed measures relating to the production of documents, aimed at reducing the delays associated with the disclosure of large volumes of poorly ordered and uncategorised documents.

It will also enable the Garda to apply to court for a decision on whether a claim of legal privilege over a document is a valid one.

In addition to these measures, he said the Government would introduce reform and consolidation of the law on corruption. It would also strengthen the powers of the Criminal Assets Bureau in relation to forfeiting the proceeds of crime.

“We must put an end to any hint of a culture that sees less culpability on the part of a white-collar thief when compared to a mugger on the street”, he said.

“Those who have, through greed, abused the responsibility and influence of their positions in financial institutions or elsewhere, cannot be seen as the authors of victimless crimes,” the Minister added. ENDS

On a separate matter:

The next Irish Red Cross Central Council meeting is due to be held sometime during the month of May. To-date the vast majority of Irish Red Cross members around the country have still not received a copy of the draft/proposed new Irish Red Cross Constitution. Most Irish Red Cross members or staff have had no say whatsoever in a process that will impact the Society for a generation.

This Blog is firmly of the view that the proposed draft Constitution needs to be set aside while a proper and detailed countrywide consultation process with members and staff takes place. The Blog has outlined in a previous article the reasons why the proposed draft constitution, if passed in its current format, will prove to be a major setback for reform and modernity within the Irish Red Cross. If approved it will secure the power bases of the current leadership for another decade at least and consign the Irish Red Cross to years of more turmoil, under performance and dominance by a small few.

A comment posted on the last blog article suggested the attempts by the Executive Committee to railroad the draft Constitution through at the upcoming Central Council meeting in the absence of a proper nationwide consultation process with members was akin to the Irish Government trying to change the country’s Constitution without a referendum. It was a point very well made. No well functioning or democratic organisation would ever consider changing its constitution without first engaging extensively with its membership. The Irish Red Cross has failed to do this.

The draft proposals are nothing more than a grab for permanent power by those who have ruled the organisation for the last two decades. It’s high time a full membership general assembly be held at which every member in the country is invited to attend and for once an open, transparent and democratic discussion be permitted to take place on the future of the Irish Red Cross. The last general assembly of the Irish Red Cross took place six years ago. The Executive Committee cancelled the General Assemblies scheduled for 2007 and 2009.

Until democracy is restored to the Irish Red Cross and members of the Society are given a chance to have their say plans to impose a new constitution should be frozen. Perhaps the new Central Council members will provide us with some much needed hope.

A pessimist sees the difficulty in every opportunity, an optimist sees the opportunity in every difficulty-Sir Winston Churchill