TDs criticise audit practices at city college

The State's largest third-level college, the Dublin Institute of Technology (DIT), has been heavily criticised by members of …

The State's largest third-level college, the Dublin Institute of Technology (DIT), has been heavily criticised by members of the Dail Committee of Public Accounts for its management record and accounting practices.

The chairman of the committee, Mr Michael Finucane TD, said a recent report by the Labour Relations Commission (LRC) on DIT was "a shocking indictment" of the college.

He told the DIT president, Dr Brendan Goldsmith, he had "a lot of work to do" to improve DIT, and one of the most worrying findings of the LRC report was the level of "academic snobbery" there. He said the college's plans to appoint a human resources director was unlikely to be enough to improve the climate.

The details of the report on DIT's industrial relations were disclosed recently in The Irish Times. About 140 staff were interviewed by LRC officials and, based on their highly critical views, the LRC proposed far-reaching reforms at the college.

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At the committee meeting yesterday, the Comptroller and Auditor General, Mr John Purcell, criticised DIT for several practices identified in 1998 during audits by his office.

These included the purchase of a rare piano, worth £85,500, which was not used for three years by the college.

Two committee members, Mr Sean Ardagh TD and Mr Michael Bell TD, also raised the issue of DIT staff purchasing materials and equipment without using invoices or purchasing orders. Mr Bell said this showed there was bad and inefficient management at the college.

Mr Ardagh expressed concern that one person in the college's school of music had ordered £12,000 worth of cleaning fluid, £5,600 worth of light bulbs, £3,400 worth of blue pens, £3,300 worth of first aid materials and £5,400 worth of plastic sacks.

Dr Goldsmith said this person had left DIT after disciplinary action was taken.

DIT was also criticised for its lack of speed in preparing accounts. Mr Purcell said his office had still not received completed accounts for 1999.

This drew an angry response from Mr Bell, who said: "This is an institute which is preparing young people for the business world, and they can't even put their own affairs in order. If this was a company it would be in receivership."

He said he was also shocked to read that DIT staff members had opened bank accounts in their own name when buying goods for the college. "I have never come across that in my time in public life," he said.

It was not good enough for the committee to be dealing with accounts four years old. "We represent the shareholder, and money has and is being squandered in your institute," he said.

Dr Goldsmith said some of the accounting problems arose because DIT was the result of six colleges merging. A new management information system would help.

In relation to the LRC report, Dr Goldsmith said some staff had aired grievances, but the 140 interviewed represented only 10 per cent of the total.