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Board's confidence in RTÉ Executive 'eroded'

Siún Ní Raghallaigh said the crisis has shaken RTÉ to its core
Siún Ní Raghallaigh said the crisis has shaken RTÉ to its core

The Chair of the RTÉ Board has said its confidence in the RTÉ Executive has been eroded and that she is "deeply unhappy" over the incomplete information provided by it so far.

In her opening statement to the Joint Oireachtas Committee on Media, Siún Ní Raghallaigh said this is "regrettable" and there "is a high probability that more information will emerge in the days and weeks ahead".

She said she welcomes the interrogation of a culture of "careless stewardship and indifference to proper process, that has sown the seeds of the crisis," which she said has shaken RTÉ to its core.

Ms Ní Raghallaigh said the RTÉ Board cannot fulfil its role to the highest standards when it cannot rely on the information provided.

The board, she said, depends on the communication of timely and accurate information from the Executive.

Ms Ní Raghallaigh said that she cannot give a "blanket yes or no" to the question of whether the board has confidence in the executive.

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The "Executive is made up of nine people ranging from news and current affairs to legal to human resources to finance and so on. It is a diverse team," she said.

For her to give a blanket yes or no, Ms Ní Raghallaigh added, would be deeply damaging to each of those individuals and the staff members that report to them.

She also called for the auditing of RTÉ's finances to be carried out by the Comptroller and Auditor General.

During questioning, Ms Ní Raghallaigh said that she, interim Deputy Director General Adrian Lynch and incoming Director General Kevin Bakhurst would meet Minister for Media Catherine Martin tomorrow to outline the next steps that they intend to take.

Asked if there would be further resignations from RTÉ, Ms Ní Raghallaigh said: "Please respect I have obligations under the Broadcasting Act."

O'Leary 'not sure' position tenable

Commercial Director Geraldine O'Leary told the committee that she is "not sure" if her position is tenable due to the invasion of her privacy and incorrect reporting and commentary in recent days.

She was responding to a question from Sinn Féin TD Imelda Munster.

Geraldine O'Leary gave a robust defence of money spent on client engagement activity (Pic: RollingNews.ie)

"From my side, I'm not sure my position is tenable because the invasion into my privacy, the effect on my mental health, and most importantly the erroneous reports on both Twitter and in newspapers about me and my husband has crossed a line that I do not find acceptable," she said.

"For the record my husband and I paid for our own hotels and flights to Chicago," she added.

Questions had been raised about Ms O'Leary's attendance at an international rugby match between Ireland and New Zealand in Chicago in 2016.

She also gave a robust defence of money spent on client engagement activity in RTÉ.

Ms O'Leary said that over the past 11 years, she was responsible for bringing in revenue of more than €1.65 billion, of which 0.1% was spent on maintaining commercial relationships.

Clients who were brought to the 2019 Rugby World Cup in Japan brought in a combined revenue of €38 million, she added.

Ms O'Leary said that flights to the tournament were routed through Dubai, but there was no stopover.

Mr Lynch confirmed to the committee that an RTÉ staff member who had a car on loan returned it yesterday.

One barter account, three companies - Collins

RTÉ's Chief Financial Officer (CFO) Richard Collins said that there is one barter account "in terms of how it is looked at financially" but three companies are feeding into it.

He was responding to Fine Gael TD Brendan Griffin, who said Mr Collins told the committee last week that there was one account "when we have since heard that there were three".

"There is nothing new here," the CFO insisted.

"Everything was going onto the balance sheet together".

Richard Collins said three companies 'are feeding into' the barter account (Pic: RollingNews.ie)

Deputy Griffin read out details from the barter account, including an agency and client summer party at €20,900, which he pointed out did not fit into categories for the correct use of the account.

There were also an agency breakfast and lunches series for €13,000, tickets to a Bruce Springsteen concert costing €12,000, a golf outing coming to €7,500, and tickets to Robbie Williams and Phil Collins at the Aviva Stadium for €6,358.

He also revealed that €4,956 was spent on flip flops.


Read More:

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Mr Collins said he was not trying to "mislead or hide anything" by referring to one barter account during his appearance before the Oireachtas Media Committee last week, when he referred to one barter account.

He told Deputy Peter Fitzpatrick there no "extra barter accounts". He said the issue is one of "terminology".

'Utter contempt' from RTÉ for committee - Munster

Sinn Féin TD Imelda Munster accused RTÉ of showing "utter contempt" for the committee in its release of information.

She said that elements of an explanatory note on the use of barter accounts were "simply not true".

The note said such accounts were solely used in the context of commercial activity and selling advertising airtime.

Ms Munster said: "It's a lie because the barter account was used to funnel secret top-up payments to broadcaster Ryan Tubridy.

"You used the barter account to raise false invoices under the heading 'consultancy fees'."

Ms O'Leary said there was no intention to show contempt and the note was to explain how barter accounts were normally used.

"I was not aware of the intention to deceive. That’s my truth."

Asked about the two invoices for consultancy fees that were funnelled to Mr Tubridy, which Ms Munster described as a "sneaky underhand deal," Ms O’Leary said she knew they were payments for the presenter.

However, she said: "I did what I was told to do."

Fine Gael TD Ciarán Cannon asked the RTÉ representatives what the organisation's priorities are.

"The good ship RTÉ seems to have a set of people on the bridge living a reasonably lavish lifestyle and then the galley slaves down below pulling the oars, trying to keep the show on the road," he said.

Board Chair Ms Ní Raghallaigh said there must be "a grown-up conversation" about the broadcaster's priorities.

Former board chair Moya Doherty said she would "entirely concur" and, at the moment, there are "broken people making broken decisions" in a broken system.

Apology over documents' delay

Adrian Lynch (L) pictured as he arrived at Leinster House (Photo: RollingNews.ie)

In his opening statement, Mr Lynch apologised for being unable to provide "many of the documents requested until late last night".

He said that issues "extend back some years" and others have legal implications.

RTÉ wants to provide as much information as possible as early as possible, Mr Lynch said.

He said he is "acutely aware" of the accusations of "drip-feed, of non-cooperation and lack of transparency".

Mr Lynch expressed "profound regret, that as an Executive Board the standards of governance" were "far lower than required".

Former chair 'horrified'

Ms Doherty said that she and other members "didn't know" about the existence of barter accounts and other revelations "as we weren't told" by executives, who had plenty of opportunity to do so.

"A deliberate decision was taken not to inform the board of these issues," Ms Doherty said.

"As former chair I am horrified by the extent of operations I and the board had no knowledge of. We did not know because we were never told," she said.

Moya Doherty said she is 'horrified' by the extent of what happened

Breda O'Keeffe, who was RTÉ's CFO from 2012 to 2020, gave a comprehensive statement to the committee in which she said that before she departed the organisation in March 2020, she provided a comprehensive handover to current CFO Richard Collins.

Ms O'Keeffe said she was appearing before the media committee to "set the record straight".

Asked by Fianna Fáil TD Christopher O'Sullivan if she had been "thrown under the bus" by the current executive, Ms O'Keeffe said: "That's a tough one".

Continuing to respond to a question on whether RTÉ's statement on events accurately represented her role in the Tubridy payment issue, she said: "My recollections were more akin to what happened, is my view."

Asked if she felt former director-general Dee Forbes had also been "thrown under the bus", Ms O'Keeffe said: "I can't comment on that."

She said she was not contacted by RTÉ or any personnel on any issues since she left and was not contacted in relation to the Grant Thornton report on payments to Mr Tubridy.

Ms O'Keeffe said that as CFO, she worked with the RTÉ solicitor on contracts and all contracts were reviewed by the head of content.

She told the committee that the head of content told her he was in contact with Mr Tubridy's agent and she was advised by "either the DG (director general) or director of content" of the possibility of a deal with a commercial partner.

Breda O'Keeffe was RTÉ's CFO from 2012 to 2020 (Pic: RollingNews.ie)

In this proposal "there was no cost to RTÉ," Ms O'Keeffe said.

She said that the "request by the agent to underwrite the agreement was refused. I was not aware of the underwriting of the agreement until I hear it in the news".

Ms O'Keeffe told the committee that, in early 2020, the head of commercial said Renault had already agreed cost budgets for 2020, so the agreement had to be cost neutral in the first year.

"This gave rise to a potential rebate to Renault and this potential rebate to Renault was known by me, the RTÉ solicitor, the director general and the head of content.

"I understood this rebate, if agreed, would be assigned to Ryan Tubridy's RTÉ earnings for 2020," she said.

"There was never any suggestion otherwise".

Ms O'Keeffe said the "guarantee on the Renault deal was not on the table" when she left the organisation.

Mr Collins said he attended a meeting in April 2020 in which the guarantee was discussed.

He said he was aware that "RTÉ was trying to conclude an arrangement to boost Ryan Tubridy's earnings" but he was not "aware of the details of the contract".

"It was news to me that the guarantee was given," Mr Collins added.

Payments to Ryan Tubridy have come under the spotlight again at the hearing

Mr Tubridy and his agent did not refuse to take a pay reduction, Ms O'Keeffe said, and "it was the level of cut that we disagreed on".

Mr Lynch confirmed the Executive Board took a 10% pay cut and "it did not apply to anyone outside the Executive Board".

The Executive Board, he said, also agreed at the time (2020-2021) to waive their fees".

He added that work is under way on a register of interests for staff and that while guidelines are clear for staff, the rules are different for contractors.

At the start of the hearing, the committee Chair, Fianna Fáil TD Niamh Smyth, said that former RTÉ director general Noel Curran had prior commitments, but intends "to engage with the committee at a future date".

Ms Smyth added that Ms Forbes and RTÉ Director of Content Jim Jennings were invited today but could not attend.

Mr Lynch said that he spoke to Mr Jennings this morning and he is "significantly unwell and that continues to be the case".

Mr Lynch added that Mr Jennings has "an editorial role" and he will offer a full account "in time".

Mr Jennings would like it to be known that "his role is to do with editorial decision making and that is his primary role," Mr Lynch added.