Proposed INM-Celtic Media merger a concern, Taoiseach says

The proposed media merger between Independent News & Media (INM) and Celtic Media Group is a matter of concern, Taoiseach Enda Kenny has said.

He also told the Dáil a process of examining the merger was underway and the Broadcasting Authority of Ireland (BAI) would make its views known on the issue.

Mr Kenny said he did not “ want to pre-empt what the recommendations or the views or analysis of the broadcasting authority might be” or the views arising from the Oireachtas committee dealing with the proposed merger or the witnesses who address it.

The Taoiseach was responding to AAA-PBP TD Bríd Smith who warned that the country would be owned “in terms of media ownership almost entirely by Denis O’Brien and his media consortium Independent News & Media” if the merger went ahead.

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She claimed the State was “hurtling towards a dictatorship in terms of media”. Ms Smith said it was not a case that media depended on good journalism.

“Editorial control is everything,” she added.

The Dublin South-Central TD raised the issue during leaders’ questions as she highlighted a very tight timeframe of two weeks for the committee to make a submission to the Broadcasting Authority of Ireland.

Plurality

Ms Smith said the committee wanted to invite INM and Celtic Media Group representatives as well as the NUJ and academics “to quiz them about what this would mean for the plurality of media and future of media in Ireland”.

“We’re going to send an invitation to Denis O’Brien News & Media to see if they will attend the hearing. They may not be able to, but then some people are not able to pay their taxes in this country,” she said.

“These things can be difficult if you’re an exile abroad to get permission from your advisors: ‘Can I come over and make an appearance at such a committee within such a tight timeframe. It may not be possible.’”

Ms Smith said she raised the issue because of the Oireachtas committee’s concern about it. She added that there was “extreme concern within the media about media plurality should this merger goes ahead”.

This, she said, was an issue of national concern and not just of the committee and “we are running against a ticking clock”.

She described as extraordinarily interesting, the question of how Independent News & Media was dealt with by the State.

“I mentioned about the difficulty of some people being able to pay their taxes in this country and at the same time €100 million of INM’s debt was written off by Anglo-Irish Bank.

“And then we have the extraordinary ill-treatment of workers’ pensions by Denis O’Brien and INM. So this needs public scrutiny.”

Public scrutiny

Ms Smith asked if the Taoiseach was concerned about the possible merger and if he believed there should be a forum for public scrutiny on the issue.

Mr Kenny said he was concerned and he outlined the process of examining a proposed media merger.

The first phase focused on the competition and market issues.

“Once a proposed media merger receives clearance on competition grounds it has to be notified to the Minister for Communications to assess the proposed transaction on media plurality grounds.”

Minister for Communications Denis Naughten opted to send the proposed merger for consideration by the BAI. This phase two assessment would take 16 weeks after which the BAI would provide the Minister with a report detailing its recommendations on the matter.

Mr Kenny added: “The Minister can establish an advisory panel to provide an opinion to the BAI on the application of the relevant criteria to the merger application.”