PAC to focus on Bord na gCon annual accounts

Committee Chairman John McGuinness TD said: “Bord na gCon is a commercial semi-state body which is responsible for the control and development of the greyhound industry in the Republic of Ireland.

The Board has a number of income sources; admission fees; concession fees from on-site facilities; a percentage deduction from totalisator pools; charge on on-course betting and race entry fees. Bord na gCon is also in receipt of Exchequer funding.

Among the key issues of interest for the Committee are Bord na gCon’s borrowings and debt. At the end of 2011, Bord na gCon had bank borrowings were €22.7 million. It paid interest of €550,000 in 2011 and has the assets of six subsidiaries being used as security for the €25 million loan and overdraft facility provided to the group by AIB. In its five year projection, the Board states that it expects surpluses and turnover to increase. The Committee may wish to tease out the issues related to the long-term viability of Bord na gCon, including its plans to reduce its debt.

There were a number of instances in 2011 where proper procurement procedures had not been complied with. The Committee will be keen to establish the reasons for this as well as the value of the contacts involved. Bord na gCon conducted a review process and so the outcome of the review will be of interest.

Almost €300,000 of prize money was overpaid in error in 2011. This occurred because a bank payment file, from 2010 was paid by EFT in error. At the end of 2011, €49,439 was still due to be recouped. The Committee will be eager to explore how this error occurred and how much is still outstanding. The Board commissioned an independent investigation into the incident and so the recommendation from this report will be of interest, how they have been adopted as well as the cost of the report itself.

There are a number of issues related to the development of a new racetrack in Limerick which may be of interest to the Committee. There were a number of unforeseen expenses which arose during the project as well as the purchase of an alternative site which was not used. The debt burden of Bord na gCon was significantly increased also. The Committee may wish to inquire into how capital budgets are scoped, monitored and alterations approved.”

This meeting will start in Committee Room 1 at 10am, Thursday, 7th November 2013.

Committee proceedings can be followed live here.

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Committee of Public Accounts Membership
 
John McGuinness (Chairman)
Kieran O’Donnell (Vice Chairman)
Paul J Connaughton,
John Deasy,
Áine Collins,
Gerald Nash,
Simon Harris,
Michael McCarthy,
Mary Lou McDonald,
Sean Fleming,
Eoghan Murphy,
Derek Nolan,
Shane Ross