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THE MINISTER for Finance says he hopes to publish the findings of two investigations into a €3.6 billion accounting error in state funds - but that they may not be released to the public, depending on legal advice about their contents.
The minister also said that an external review of the incident is under way.
The error saw €3.6 billion in state funds was counted twice in the government finances in 2010. The money was transferred between the National Treasury Management Agency and the Housing Finance Agency when it was counted twice.
The error led to controversy around the government’s support of the nomination of Department of Finance Secretary-General Kevin Cardiff for a place on the European Court of Auditors. Despite the controversy, Cardiff’s nomination was approved and he is due to take up the post on 1 March.
Responding to a question from Fianna Fáil TD Michael McGrath, Michael Noonan said on Tuesday that a draft of the internal report has been prepared by management in his department with assistance from the department’s internal audit unit.
The minister said that, following advice from the Attorney General, this draft “is being circulated to some of the parties involved who will be allowed sufficient time to provide their final comments on it.”
“Although this error was most regrettable, it was a statistical reporting discrepancy where our debt level was mistakenly stated as being higher than it actually was, but which had no impact on the 2011 budgetary deficit.”
Noonan said that Deloitte Consultants have been appointed to run an external inquiry into the incident and that is now under way. “I expect the external report to be finalised by the end of the first quarter of this year.”
“My intention is, subject to legal advice and in a timely manner, to submit both reports to the Committee of Public Accounts and make them public.”
McGrath said he believes the reports should be completed and published “without any further delay” to give the public “absolute clarity as to what exactly happened” and why the department did not pick up on the error sooner.
“There have been leaked reports in the media that the officials within the NTMA raised the issue with the Department of Finance on a number of occasions over many months but to no avail,” he said. “Details of all correspondence between the NTMA and the Department of Finance should be made public along with the report.”
What’s the bets the external review lasts years and costs the state in the region of, hmmmm, €3.6bn euro!
That’s my thoughts exactly…if I hear of one more report or review I’ll scream
Sally I don’t think we have to worry on that score
“MINISTER……. says he hopes to publish the findings of two investigations into a €3.6 billion accounting error in state funds – but that they may not be released to the public, depending on legal advice ………………”
” they may not be released to the public” is the bit to take out of that! I must confess I stopped reading the article at that stage because like you, I’m just completely fed up with reviews, reports, etc but I’m even more disgusted that we “might not allowed” to know the outcome either……………..
“Although this error was most regrettable………”, I think stronger words need to be used, it is €3.6 billion we are talking about.
Comedy Gold with Fianna Fáil TD Michael McGrath getting on his high-horse over this. Wasn’t it his party that destroyed Ireland’s economic sovereignty and that’s certainly has cost much much more than €3.6bn
A little off topic
By who? If I were Noonan I’d put someone like Pat Shortt on a case like this. His steely wit and attention to detail will get this case solved. It was probably buried in Balinamore along with Shergar.
Wonder how much of taxpayers money will be used for this report. Is it not very interesting also that E Kenny made sure that Kevin Cardiff was promoted to a plum job in Europe before the findings. Clearly the sentence “Canvassing will disqualify” did not apply here. What a scam!
Depending on legal advice….Noonoo speak for depends on weather it makes me look bad. Te second he said that you just know its not going to get publshed..
“My intention is, subject to legal advice and in a timely manner, to submit both reports to the Committee of Public Accounts and make them public.”
Looks like neither report will be published……
It was widely reported at the time that the 3.6bn was entered on the wrong side of the balance sheet.
Emails were sent from NTMA to the Dept of Finance querying the entry of 3.6bn as a liability instead of an asset. No reply was forthcoming, hence the error.
End of review, where do I pick up my fee?
Stephen, what makes basic sense to you & me obviously doesn’t transend to Govt departments. Hence a full enquiry by an external auditor to come to the same conclusion as you, difference is “HEFTY FEE”.
I thought the error concerned the double counting of State debt, not State funds.
A sure it will be ok we can have someone retire with a golden handshake a fat pension and start again it is always the answer for the fat cats.
QUOTE: – but that they may not be released to the public, depending on legal advice about their contents..
EH WHY NOT CAUSE YOU CLOWNS CAN USE A CALCULATOR….. TWATS!
More external consultants used to figure out what went wrong. What a waste of money. Surely to goodness there is no need to spend even more taxpayers money when a straightforward investigation could be conducted by someone from the C&AG’s office. How many external consultants were involved in affirming the amazingly robust health of the banks before the crash in 08? How many exceptionally well paid external consultants consistently under estimated the amount of debt on Anglo’s books? The Central Bank, NAMA, Noonan, and the rest; all of them tripping over each other in the rush to throw taxpayers money to the wind. And not one of them could provide adequate arguments that taxpayer is getting any sort of value for money.
It’s fast approaching 3.5 billion hand over time again, no doubt a token gesture will be made regarding this around about the same time.
Snap!
Me comment is gone! Good one it was too. :-(
John, I’m going to set up an “external” review to look into that. Will let you know the outcome…..or maybe not…depends like…..
Got a few friends that lost their seats in the last GE maybe you could fix them up. Nothing too major like just a bit of a look-see, no hurry and all of that and there might be a few bob init if the know how to keep their gobs shut…the legal boys will tidy it all up in the end and no one will be any the wiser…
Goes without saying John……say no more..
Typical blame it on legal advice policy they can cover up the real reason for the mistake and the people who made it, fucking government. I’d love to know how much has been spent on “external reviews”????
QUOTE; – but that they may not be released to the public, depending on legal advice about their contents
EH WHY NOT!! CAN YOU AND YOUR CRONIES NOT EVEN LEARN HOW TO USE A CALCULATOR…..
Surely we the taxpayer are legally entitled to see these reports, do they not come under the freedom of information act?
Good to see the government move so quick on this
I can explain how it happened. Reasonable fees.
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