The European Commission says it was not informed about an Irish compensation scheme for lost fishing vessels which is being investigated by the Ombudsman's office.
EU Fisheries Commissioner Joe Borg has told Fine Gael MEP and Senator Jim Higgins that the commission was "not in a position to assess or approve" the scheme as it was never informed of its existence.
In a related development, Ombudsman Emily O'Reilly has started an investigation into the exclusion of a Co Donegal fishing family from the initiative. Her office has described the scheme as "seriously deficient and flawed".
Mr Borg was responding to a European Parliament question tabled by Senator Higgins on the Fishing Vessel Lost at Sea scheme, introduced by former marine minister Frank Fahey in June 2001. It ran for just six months and only six out of 67 applicants qualified. Two of the six were from Mr Fahey's own constituency and received some 75 per cent of replacement tonnage for their vessels.
Among unsuccessful applicants was the Byrne family, of Bruckless, Co Donegal. Danny Byrne's father and brother were lost, along with three crewmen, in the sinking of the Skifjord in 1981.
The Byrnes applied after the closing date, having received no prior notification of the compensation. It was advertised in the fishing industry press, but the Byrnes argued that details should have been more widely available for those families no longer involved in fishing.