Businessman Michael Carey has stepped down from his roles as chairman of both Enterprise Ireland (EI) and the Housing Agency.
This follows recent media reports highlighting the fact that his company, biscuit maker East Coast Bakehouse, where he is a major shareholder and executive chairman, is late in filing its accounts to the Companies Registration Office as required by law.
He took the decision to avoid any embarrassment for the ministers involved, James Browne in housing and Peter Burke in the Department of Enterprise.
In a statement, Mr Carey said: “This has occurred due to management administrative errors. The delay has been exacerbated by an unanticipated need for a decision by our board to change our auditors.
“There is no suggestion of any financial issues at the company; the accounts for these periods are completed and the fully audited accounts are expected to be filed in the CRO by early July.”
It is understood that Big Four accounting firm EY was recently appointed as the company’s auditor.
Founded in 2016, East Coast Bakehouse employs 100 people at its manufacturing facility in Drogheda, Co Louth.
Mr Carey said the business was “growing rapidly” and has recently completed a successful fundraising round securing €5 million in equity.
“Following this successful fundraising and a recent management restructure, I am returning full time to the business as chief executive to lead its next phase of scaling,” he said.
Mr Carey, who was the first client of EI to become its chairman, acknowledged that the late filing of East Coast Bakehouse’s accounts could be a distraction for the agencies.
“I accept personal responsibility for the failure of the business to comply with this corporate governance requirement and the heightened requirement to fully comply, as chairman of a number of state boards.
“A late filing fee will be paid as appropriate and actions have been taken to avoid any future reoccurrence.
Will rent reform make building apartments viable?
“In order to avoid embarrassment to the ministers and any distraction from the crucially important jobs undertaken by these two agencies, I will step aside from these roles with immediate effect.”
“I would like to thank the respective Ministers and their teams, the board members and dedicated executive leadership teams of these agencies for their support over the past number of years and wish them well in their future continued progress,” he said.
In a statement, Mr Burke thanked Mr Carey for his “work and dedication to Irish enterprises over the last two years”.
He said EI director Jim Woulfe would take over as interim chair while a process to find a new chairman is undertaken. EI recently appointed Jenny Melia as its new chief executive, with her taking up the role in July.
In a statement, Kevin Sherry, interim CEO of Enterprise Ireland, thanked Mr Carey for his commitment as EI chairman. “He brought the voice of the client and the insights of an entrepreneur to the table ensuring that clients were at the heart of every conversation.”
Housing Agency CEO Martin Whelan said: “Michael has been a committed leader whose extensive experience and skills have been greatly appreciated by the agency. We thank him for his many years of service.”
Mr Carey noted that the two positions were unpaid with no expenses drawn. He was appointed as chairman of The Housing Agency in 2018 by then Minister for Housing Eoghan Murphy and reappointed for a second term by Minister Darragh O’Brian in 2023. His term was due to end in 2028.
He was appointed as chairman of Enterprise Ireland by then Minister for Enterprise Simon Coveney in 2023, and his term was due to end in 2028.
He was previously chairman at Bord Bia from 2011 until 2017.
