Crc Board Criticised Over Salaries And Pay-offs

CRC BOARD CRITICISED OVER SALARIES AND PAY-OFFS

A report by the interim administrator into the Central Remedial Clinic has criticised the board of the organisation for rushing into a pay-off deal for retiring Chief Executive Paul Kiely.

The report also says that salaries were artificially split at the organisation in order to avoid public sector pay cuts.

The report – published by the H-S-E this afternoon – says that the Friends and Supporters of the CRC was established to maximise State funding, by not revealing the level of monies from fundraising.

Among the most serious findings is that the retirement package for Paul Kiely was over-stated and the administrator says monies should be repaid or recovered.

The administrator John Creegan says the board did not take the time to calculate the golden handshake deal, especially given as Haddington Road pay-cuts were imminent.

And he criticises the board for being aware of austerity and a hardening of public pay policy, adding that the level of the CEO’s package was the most serious governance issue and they did not inform the H-S-E of their plans.

Mr Cregan says the Board of Governors of the CRC then “added fuel to the fire” by offering the position of CEO to a former board member, again without the approval of the CRC.

The report also finds that the CRC artificially split senior management and executives salaries into agreed HSE and Private CRC – in order to facilitate the avoidance of the full impact of public sector pay cuts by senior staff.

But the administrator says he has not found anything that he believes should be reported to any other organisation such as the Director of Corporate Enforcement or any other authority.

A statement from the new board says the report highlights complex legacy issues that they’ve already started addressing and is immediately developing a comprehensive plan of action to address outstanding issues.

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