INM breach and ODCE staffing
Mary Lou McDonald warned that the INM breach could threaten journalists and criticised political complacency and ODCE resourcing. The Taoiseach said the case was before the courts, the ODCE had 36 staff plus seven gardaí, four posts were being recruited, and wider white-collar crime reforms were under way.
The news of the data breach at INM is deeply alarming. Hundreds of thousands of emails may have been compromised. Nineteen individuals were singled out for data interrogation in October 2014 and, allegedly, it involved a hired firm conducting a trawl of electronic records of journalists and others at the company. They included investigative journalists and lawyers who had worked on the Moriarty tribunal. This data interrogation represents an attack on the privacy and safety of journalists and their sources. It undermines fundamentals of how members of the press go about their work in the public interest. We know also that a former chairperson of INM ordered the data interrogation, but we do not know his reasons for so doing. We do not know why the 19 individuals I cited were specifically targeted and certainly do not know why the bill for the data interrogation was paid by Blaydon Limited, a company based on the Isle of Man.
The ODCE, as the Taoiseach said, wants the courts to appoint inspectors to go into INM to conduct a full and proper investigation, which is correct and understandable. However, yesterday it emerged that Mr. Denis O'Brien was seeking a judicial review of the ODCE's request to appoint such inspectors by accusing it of leaking information on the data breach. The ODCE has been investigating the story for a whole year without any leak, but as soon as the affidavit arrived at INM premises there were numerous leaks. INM even reported on details of the affidavit. It appears that an attempt is being made to silence the ODCE.
There is no doubt that the office is up against it because of a lack of resources and support on the Taoiseach's watch and that of previous Governments. Currently, 35 staff and seven gardaí are assigned to the office. That gives a clear insight into the State's attitude to white collar crime and corporate enforcement. Companies should fear the ODCE and the consequences of data breaches or any other unethical action. The office should be properly resourced and empowered to ensure white-collar crime is not only prosecuted but deterred. This jurisdiction has gained a reputation as being the Wild West when it comes to tax avoidance and the prevalence of white collar crime. If we are to shake this reputation, we need to take a stand here and now. The Taoiseach cannot stand by and allow the ODCE to be disrupted or silenced. He has a responsibility to support its work. Does the office have his full support? How does he plan to demonstrate that support in terms of the provision of adequate resources and staffing?
Comment on this
I thank the Deputy. I do not know the answers to the questions she raises either, which is why it is important that we allow the director and the ODCE to do their work. The matter is before the courts.
Anyone has the right to challenge a decision in the courts if that person has a locus standi.
With regard to resources, 36 staff are in place in the Office of the Director of Corporate Enforcement, ODCE, and seven gardaí are also assigned. Reforms have taken place since 2012, which have included the recruitment of additional staff, particularly those with specific skills and expertise. This means the ODCE is well resourced to tackle the increasingly complex breaches of company law. Over recent years, nine professional staff have been recruited to the office to enhance its capability. These include a digital forensic specialist, two enforcement portfolio managers and six forensic accountants. Furthermore, the Department of Business, Enterprise and Innovation is engaging with the Public Appointments Service, PAS, to fill through open competition two more positions for forensic accountants and two more for enforcement lawyers. While recruitment is ongoing, the ODCE, in common with many other State agencies, faces difficulty with recruiting high-quality professional staff. I am advised that, at present, the Department of Business, Enterprise and Innovation has no requests for additional staff other than those I have mentioned.
The director has the full support of the Government. As part of our white-collar crime package, which I published with the former Tánaiste, Deputy Frances Fitzgerald, a few months ago, it is our policy to develop the ODCE, take it out of its current role as an office within a Department, make it a stand-alone statutory body in its own right and make it a national corporate enforcement bureau. That is a policy published by the Government last October or November. Legislation to do that is being developed.
Comment on this
The view of many people is that powerful politicians in and out of government in the State have stood off and even courted very powerful interests within the media. I think the Taoiseach will agree with me that that is a very dangerous perception, never mind the reality of it. I agree with him that the ODCE needs to be assisted in doing its work and I challenge the Taoiseach to put his money where his mouth is. I will grant that he did better than Deputy Micheál Martin when, in 2005, 2006 and 2007, as the line Minister, he, in a studious way, ignored the calls for an increase in the number of staff for the office. The Taoiseach now tells us that there are 36 staff and the Garda complement. Contrast that with 350 welfare inspectors. Of course, we need welfare inspectors. When one looks at those figures, it tells a tale of where the balance of consideration is. In 2018, the Taoiseach allocated a budget of €5 million to the Office of the Director of Corporate Enforcement. He also allocated €5 million to his unit for spin.
Comment on this
That, too, tells where the Taoiseach's balance of consideration and emphasis lies. I will put the question to the Taoiseach again. There is a request for four additional staff places. He has indicated difficulties in recruitment.
Comment on this
I want to hear solidly from the Taoiseach his concrete proposals to beef up the resourcing and staff complement of that office.
Comment on this
I thought I had covered that in my answer but I am happy to reply again. The ODCE has a staff complement of 36 and, in addition to that, there are seven gardaí. Four positions are being recruited for. There is no request for further staff in addition to those four who are being recruited. As part of the white-collar crime package, which the former Minister, Deputy Fitzgerald, and I published alongside the Minister, Deputy Ross, and others in October, we set out clearly how we intend to strengthen the role of this office, turn it into a stand-alone agency, make it separate from a Department, which would be most appropriate, and develop it into a bureau of investigation for white-collar crime. In that package is legislation we put forward relating to corruption. We have a good package in place to tackle white-collar crime and we intend to see it through.