The Minister with responsibility for overseas aid, Ms Liz O'Donnell, will meet representatives of Goal today in the first move to find a resolution to the row over the relief agency's accounts. The EU development commissioner, Ms Emma Bonino, yesterday confirmed that the EU sus pended funding for Goal because of inadequacies in its accounts. The Department of Foreign Affairs has also suspended its funding of Goal.
Meanwhile, a former senior executive with Goal, Mr Brian Nugent, has settled his claim for constructive dismissal from the agency. The case was due to have been heard at an employment appeals tribunal yesterday, but both sides reached a last-minute settlement. Mr Nugent left Goal last January.
The EU commissioner's spokesman, Mr Filipo de Robillant, confirmed that an audit by UCLAF, the EU Commission's fraud unit, ruled that the agency's accounts "are not to the standard they should be". A letter had been sent to Goal explaining this decision.
Mr de Robillant said the EC Humanitarian Office (ECHO) first suspended Goal's funding two months ago. This decision was confirmed by the UCLAF audit. Asked how the problems came to light, he said that ECHO officials were carrying out "normal checks" when they discovered some errors made in calculating expenditure. "In addition, it was found that the whole accounting was done in a slack way."
Mr de Robillant said ECHO demanded very strict reporting obligations from the 170 non-governmental organisations with which it dealt. It was now up to Goal to "make an effort" to resolve the problem.
Ms O'Donnell said the Department had not alleged that Goal had been involved in any wrongdoing or fraud. The Department was obliged to ensure the proper use of monies grants to all aid organisations, including Goal. "This requirement is not negotiable," she said.
The Minister defended her Department against a series of complaints made by Goal, saying it had at all times scrupulously respected the confidentiality of its dealings with the agency. The Department had only commented when it had to respond to serious allegations made by Goal, she added.
Meanwhile, the Department and Goal have withdrawn from RTE's Davis television programme featuring a discussion about aid agencies.
