‘No Action Has Been Taken’

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Labour TD, Joe Costelloe and Phil Meaney, chairman of the Irish Greyhound Board

Last month, the Comptroller and Auditor General produced a report on the Irish Greyhound Board’s development of Limerick Greyhound Stadium.

The report found the board bought a site for the new stadium in Meelick, on the Limerick/Clare border in April 2005 for €1.02million, while another €935,000 was spent on development, design and project planning on the site.

The C&AG found a consultant’s report – that was prepared before the site was bought – raised concerns about the site’s access to the national road network. The C&AG also found no record that this report was either presented or discussed by the board before they made the purchase.

The plans to build the stadium on the Meelick site were then abandoned because of access issues. The IGB still owns the site and it’s now valued at €150,000, according to the C&AG.

The IGB then bought another site in Greenpark, in June 2008, for €3.4million, or €304,900 per acre, without getting an up-to-date valuation report before the purchase. Additional costs arose because of issues in relation to the filling of the Greenpark site and the use of an adjoining car park.

The C&AG concluded:

“Bord na gCon incurred total expenditure of €21 million in relation to the Limerick stadium project. This contributed to a doubling of Bord na gCon’s borrowing, compared to the average borrowing level in  2006-2008.”

Further to this, Labour TD Joe Costelloe asked the board’s chairman, Phil Meaney, if anyone has been held accountable for the ill-conceived plans.

Joe Costelloe: “There was nobody in charge from a financial point of view.”

Phil Meaney: “Again, I’m not sure whether there was a financial CFO [Chief Financial Officer] in place at the time the decision was made. From memory there was, it was some time after that that we were without a finance director but I accept that every organisation should have a chief financial officer and, as I say, the current board moved quickly to fill that gap. The other point, deputy, I’d like to make is that, following on from what Geraldine [CEO of IGB Geraldine Larkin] has said, as regards, you know, the present board and the previous board, you know, we weren’t involved and I think that’s a point, in that actual decision. But we’re very happy and we recognise our responsibility in dealing with the consequences of that decision, both as a board and as an executive…”

Costelloe: “Ok, so moving on from where we are at the present time but we have to look back as that is what the analysis here, the auditor’s report has given us. And there seems to have been submissions made in relation to the purchase of the original site, the Meelick site, even though it would have been, it should have been obvious to anybody that this was not a satisfactory site. And, as a result, well the site was purchased for €1.75million – there has now been a write-off of €1.6million on side. What was the relationship between the executive and the board on that matter? How was the decision made to purchase a site that was unusable because there was a lack of access and it wasn’t a suitable site and nothing was ever built on it? How could such a big decision be made? And then find out, subsequently, that you could not proceed with it for the purpose intended for the new track, headquarters?”

Meaney: “Well, again, I would say, deputy, through the chair, that it’s 10 years ago now almost, a month short of 10 years since that decision to purchase Meelick was made. The only thing that I can say on it, from the paper trail that exists and from the findings of the C&AG, you know, I accept that it was, it doesn’t seem a good decision but again, it wasn’t a good decision, it was an atrocious decision.”

Costelloe: “I mean, any right-thinking person would not have made the decision where you would buy a site where there was identified, the whole issue of access was identified prior to the purchase of the site. The site was bought, then of course the issue of access, prevented the site from being developed but it was identified in advance. Is it not perverse that such a decision could have been made – to purchase the site from €1.75million knowing that it had no access at the time the purchase took place? I mean this isn’t rocket science. What does the paper trail tell us about it?”

Meaney: “Well, that’s what the paper trail tells us. As I say, it’s 10 years ago, I wasn’t privy to the thinking at that stage…”

Costelloe: “Were any of the previous executive or board? To find out why they made those decisions?”

Meaney: “..and in saying that, from the paper trail that’s available, and from the recommendations of the C&AG, we are happy to accept that it was a decision that shouldn’t have been taken.”

Costelloe: “And has anybody been held responsible for that decision? Has anybody pointed the finger? Anywhere? As to how this could happen? That taxpayers’ money could have been so wilfully thrown around like confetti on something that, from before the purchase took place, was unsustainable? Unusable? Couldn’t have been used for the purpose for which it was bought? Which was to then include a very substantial capital project, capital outlay? The intention was to spend, as happened with the further site, the next site, €19.4million on building a headquarters and new race track. So, there could have been an awful lot of good money going after bad money, from the initial, incredibly negligent decision that was taken.”

Meaney: “During my time no action has been taken.”

Costelloe:And no person has been identified as being culpable in this area? In other words, people can make the most perverse decisions and get away scot-free? Is that the..you know, the new board comes into place and the new board says, ‘that’s the legacy of the previous board or the previous executive and we wash our hands of it and we ride off into the sunset with taxpayers’ money after being wasted.

Meaney: “I accept your point. As I say, certainly, with today’s board and today’s executive, OK, maybe, as a board we have to go back and look at what action, what, if any action should be taken against decisions made by previous boards and previous executives.”

Maybe?

Great.

Watch the proceedings continue here

C&AG Special Report: Development of Limerick Greyhound Stadium

Related: The board has gone to the dogs (Conor Ryan, Irish Examiner, May 8, 2012)

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28 thoughts on “‘No Action Has Been Taken’

  1. MUlch

    A complete waste of €1.6 million of the taxpayers money, no doubt.
    But what also needs to be asked is why they spent almost €20 million on the new HQ?
    Their intention was to spend this amount on the HQ, regardless of whether to was to go ahead in Meelick or Green park. I don’t think taxpayers would be comfortable with that amount being spent in the first place, regardless of the terrible site choice.

  2. Westbrit

    The real question is why do the Govt fund a greyhound board at all ? It and the horse racing “industry” suck up taxpayer funding. Why should we as taxpayers subsidise “sports” that solely exist to support the gambling industry ?

    1. Rep

      I can vaguely understand the horse racing as it provides many jobs and brings people to the country but greyhounds? Do people really care about greyhound racing? The greyhound owners don’t even seem to give a damn about their dogs.

    2. Jess

      Greyhound racing is an abominable industry and so much money and time from private citizens is spent cleaning up their mess by trying to look after the dogs that are surplus to their requirements or have outlived they 2 years max of usefulness. It sickens me that a penny of taxpayers money goes to these people

  3. Liam from Lixnaw

    “Is that the..you know, the new board comes into place and the new board says, ‘that’s the legacy of the previous board or the previous executive and we wash our hands of it” –

    Sure isn’t that the line labour and FG trotted out for ages after taking power from FF Greens? Kind of ironic that a labour TD would accuse someone else of using the same tactic.

  4. ahjayzis

    Look, at the end of the day it’s only money. Don’t be too quick to condemn the important work of the Greyhou… IT DOES WHAT?!

    What a complete waste of public money. Seriously, how did this thing survive a decade of ‘austerity’?

  5. deliverancecountry

    2 points-
    Somebody sold land for 10 times it’s value. What luck!
    Somebody spent our money and got paid well and with no consequences for their actions.
    This is where our 40 or 65 or whatever billions went – not the developers or the builders or any of that, it went to people who controlled land and development. And they’ll be back in charge in about 18 months.
    Vomitous

    1. Odis

      I suppose the obvious trick would be to look at the vendor of the original site in Meelick, and check their relationship to any of the previous board members or executive officers. This probably isn’t a two piper (Sherlock Holmes reference).
      Secondly, my understanding is that whilst you might resign a position, you can’t resign the responsibilities for your actions, in that employment, either in tort or criminal law. And that this applies equally to the CEO to the person who sweeps the floor.

      1. Kdoc

        It’s not even a one piper. I’d like to know the original owner of the Meelick site and what relationship, if any, he had to either the doggy crowd or the politicos.

      2. delacaravanio

        More interesting to me is the justification for not building the facility in Meelick – that it’s not well served by main roads – is complete nonsense. Meelick is the site of a major junction on the N18 dual carriageway from Ennis that links the main road into the city from Galway, Shannon Airport and Ennis (also a dual carriageway) with the southern bypass of the city (including a tunnel under the Shannon) as well as being the planned location of a junction of the southern ring road with with the proposed northern bypass of the city (another dual carriageway)

        Home to two dual carriageways (with another one planned), three roundabouts, and a flyover, Meelick probably has the best road infrastructure anywhere west of the Shannon.

  6. Sadface

    The Govt should withdraw all support,if these lads want to Abuse animals,let them spend their own money at it until we finally see sense and ban the “Sport” altogether…

  7. cousinjack

    Again this points to the total lack of basic competence and accountability within the golden circle.
    It appears our ‘olders and betters’ are fools, liars or both

    As Sinead says time for a 2nd republic

    1. Odis

      “Fools, liars” – and considerably more wealthy than myself and I suspect yourself as well.

      So stick to “Liars” – the only rich fools I know of, are those that have inherited wealth or won the lottery.

  8. Alfred E. Neumann

    There seems to be an astonishing avoidance of the obvious questions. Who sold the land? When had they bought it? Do they have any connection, political or otherwise, people who made the decision to purchase?

  9. Mé Féin

    Joe Costello has a fat face just like Pat Rabbitte and Eamon Gilmore.
    He also said “financial CFO.” I once knew a financial CFO who lost his personal PIN number. But that’s a story for another day.

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