Instead, the Public Accounts Committee (PAC) heard CFO Donal O’Shea was “on a voluntary period of leave since yesterday” and could not come before it.
“I cannot say anything that would prejudice any investigation that might take place, and I recognise that we are funded by the taxpayer,” new Chief Executive of the IHRB, Darragh O’Loughlin said.
He preferred not to answer whether the individual “asked to take leave, or was asked to take leave.”
Gordon Conroy, Assistant Secretary of the Department of Agriculture, said he had learned yesterday of a matter, “financial in nature, which caused some concern.”
He immediately informed Minister for Agriculture Charlie McConalogue, and a review is to take place “as a matter of urgency,” Mr Conroy said.
Fianna Fail TD Cormac Devlin said a “bombshell has been dropped this morning.”
Mr O’Loughlin replied: “To describe it as a bombshell is not unreasonable in the circumstances.”
He told Mr Devlin that there are five members of staff in the finance department of the IHRB and the Chief Financial Officer had been in post for six years.
Mr Devlin said it was “frustrating” nobody from the finance department had been brought to the PAC, given its financial role.
“Any relevant disclosures will be made imminently, in no more than days,” Mr O’Loughlin said, adding that he had only discovered the issue at 10.40am on Tuesday this week while preparing for PAC.
Mr Devlin said he was “beginning to think there was a bit of competition for headlines today.” He said he was “in shock” at the revelations.
He said: “The hint’s in the name — the regulatory board.” The IHRB was established in 2018.
Meanwhile the committee also heard details of how Mr O’Loughlin replaced former CEO Denis Egan, who recently took an early retirement package of €384,870, which was far beyond the terms of a severance scheme.
“Such a payment was not in the interests of horse racing in Ireland and was 58pc larger than should have ben paid out,” said James O’Connor TD.
The PAC heard that Mr Egan did not have a contract for his employment.
Comptroller and Auditor General Seamus McCarthy said his understanding was that the contract “did not exist.” Mr O’Loughlin offered: “Either it doesn’t exist, or it is not in our possession.”
He said he could not reveal details of earnings in the absence of a waiver, because of advice received “in relation to GDPR and privacy law.”
The CEO nonetheless said he believed all the decisions taken were in good faith and in the interests of Irish racing.
But the C&AG said that, in general, there was an expectation that CEO salary details in the public sector could and should be provided.
“Was the governance around this what it should have been? Clearly not,” said O’Loughlin.
But he said he trusted in the bona fides of those involved and that they believed it was in the best interests of the sport.
Mr O’Connor said the facts, insofar as they were disclosed, were “flabbergasting.”
Catherine Murphy TD of the Social Democrats said: “Given this is the regulatory body, it certainly doesn’t align with how things would be ordered. I would have thought that was self-evident.”
The committee heard there was an “extensive” non-disclosure provision to the former CEO’s departure. Mr Egan left in September 2021 after 19 years and 10 months in his post.
On This Day In History – June 29th
