Dormant accounts will not be used as 'slush fund' - Taoiseach

The Taoiseach has denied that the Government had turned the dormant accounts into a political "slush fund" by putting them under…

The Taoiseach has denied that the Government had turned the dormant accounts into a political "slush fund" by putting them under the control of the Department of Community, Rural and Gaeltacht Affairs.

Mr Ahern said the independent board disbursing the funds would continue. He added that "with the greatest respect to the board," the involvement of a Department working with the agencies concerned was required.

"That seems to me a good way to do it. A group of people who are not dealing on a day-to-day basis with the various organisations, have no real knowledge of the strategic plans, are not involved in the agencies, are not the experts in the matter, with the greatest of respect to them."

The Labour leader, Mr Pat Rabbitte, estimated the amount involved could rise to €400 million, and accused the Government of doing a U-turn on the issue. He said the Government had decided in June 2001 not to set up a "slush fund" and not to put it under the control of a Minister. Yet it had slipped out a statement, "in the dead days before Christmas", giving the Minister for Community, Rural and Gaeltacht Affairs, Mr Ó Cuív, the power to decide where the money would be distributed and what groups would benefit.

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"It is a blatant reversal of the solemn commitment given by the Minister for Finance, and it is shameful that the partner in Government would stand over it. It is an old style Fianna Fáil stroke, which is disgraceful."

Mr Ahern said the available resources were substantial. "The Government does not intend to use this as a slush fund, but it wants the Department set up to deal with community organisations, the Drugs Task Force, RAPID and CLAR and all other agencies. The Department officials have a knowledge about the priorities and should be properly involved. The allocation of the funds will be transparent and accountable."

Michael O'Regan

Michael O'Regan

Michael O’Regan is a former parliamentary correspondent of The Irish Times