10/09/2009

Reform Of FÁS Practices 'Underway'

Tánaiste and Minister for Enterprise Mary Coughlan has said work is already underway to address bad practice at FÁS.

Mary Coughlan was responding to a report published today from the Comptroller and Auditor General highlighting wasteful spending on advertising and promotion by the state training agency.

Ms Coughlan today welcomed the report saying FÁS had already cut its advertising budget and eliminated the use of corporate credit cards.

She also said the new FÁS Director General, Paul O'Toole, would be questioned about the report by the Oireachtas Public Accounts Committee later this month.

The Tanaiste went on to say she would be implementing many of the recommendations made by the Public Accounts Committee (PAC), and that the legislation would include a restructuring of the FÁS board to reflect best corporate governance practice.

Also responding to the report's publication, PAC said it would resume its investigation into FÁS following "some alarming findings" in the C&AG report.

In a statement, Committee Chairman Bernard Allen said the report again highlighted "many disturbing aspects" about the way FÁS operated over recent years, in particular showing that "lack of controls and poor corporate governance" has led to a waste of taxpayers' money.

"These revelations have highlighted lax practices and disregard for public sector policy in areas such as procurement and foreign travel," Mr Allen said.

(DW/KMcA)

Related Irish News Stories
Click here for the latest headlines.

23 September 2008
Coughlan Orders Review Of FÁS Spending
The Tánaiste has ordered a review into the management of FÁS following concern over irregularity in the agency's spending controls. It is believed Mary Coughlan has asked the Comptroller and Auditor General (C&AG) to look into the matter following a series of critical reports.
19 February 2009
FÁS Breached Financial Procedures Says Report
The national training organisation, FÁS has been found in breach of financial and foreign travel procedures, in a report published today. The report from the Public Accounts Regulator has found the state agency was spending over the odds, and at a huge cost to the taxpayer.
08 December 2008
Fine Gael Call For Govt To Publish EC Report On FÁS
Fine Gael has called on the government to publish a 2002 European Commission report, which is believed to have warned of serious financial mismanagement within FÁS.
29 January 2010
FÁS Spending Could Be 'Criminal Activity'
The former head of the FÁS audit committee Niall Saul has said revelations emerging from inquiries into spending at the training agency could constitute "criminal activity". A report published yesterday by the audit committee brought further revelations of ostentatious and uncontrolled spending at the maligned State training agency.
25 September 2009
Ex-Fás Chief 'Golden-Handshake' Probed
The Tanaiste has revealed that Rody Molloy, who resigned from Fás in a blaze of controversy, will be investigated in what may lead to criminal charges.