THE IRISH Red Cross, which has been dogged by allegations of poor governance and financial irregularities, has appointed a former senior banker as its new secretary general.
Donal Forde, the former head of AIB’s Republic of Ireland division, takes up his position at the Irish Red Cross (IRC) on February 1st.
Mr Forde left AIB in December 2009, seven months after he moved from his position as managing director of AIB Republic of Ireland to a new role as director of group strategy.
Announcing the appointment, IRC chairman David O’Callaghan said: “Donal brings a proven expertise in every aspect of organisational leadership and people management. His particular experience in the areas of staff and stakeholder relations at AIB is an excellent fit with the priorities of the Irish Red Cross.”
The appointment comes amid calls for reform of the IRC following persistent concerns about governance and financial management within the organisation.
In December, an internal report found the IRC struggled to cope with the high level of donations it received in the aftermath of the 2004 Asian tsunami and “serious administrative failures” led to significant delays in dispersing the money raised. The investigation found that while there was no misappropriation or misallocation of funds, there were problems linked to the management of some of the money received.
The report concluded that the IRC did not have sufficient staff or management controls in place to deal with the response to its appeal. Of particular concern was the delay by the IRC’s Tipperary branch in forwarding donations amounting to €162,960 to its Dublin headquarters. The money remained in a Tipperary bank account for more than three years.
The report stressed the branch did not attempt to hide or retain any of the money it collected.
The minister for defence has responsibility for the IRC and appoints its chairman. Tony Killeen, who this week resigned as minister for defence, repeatedly refused to intervene in the long-running controversy surrounding the IRC. In 2009, barrister Jennifer Bulbulia resigned from the charity’s central council, citing concerns over accountability and transparency.
Last year Noel Wardick, a former head of development at the IRC, was sacked after he revealed that he was the author of an anonymous blog that discussed financial management and governance concerns within the organisation.
He has begun an appeal against his dismissal.
He said yesterday he hoped the appointment of a permanent secretary general would help bring stability to the IRC. The charity receives almost €1 million annually in State funding.