Socialist Party expenses abuse complaint – again

Last Friday (June 29) I submitted a formal complaint to the Ceann Comhairle’s office regarding a possible abuse of expenses by Socialist Party TD Clare Daly.

I had intended submitting the complaint to the Clerk of the Dail but was informed by the Communications Unit of that office that the Ceann Comhairle’s office was the appropriate authority.

Today, as I had received no acknowledgement of my complaint, I rang the Ceann Comhairle’s office to check if they had received my email.

I was informed that they had only received my email on Friday and in any case it was not a matter for the Ceann Comhairle’s office, the Clerk of the Dail was the relevant authority for dealing with such complaints.

An official at the office of the Clerk of the Dail confirmed this morning that his office was indeed the correct authority for dealing with such matters.

So, once more:

To Whom It May Concern:

I wish to lodge a formal complaint concerning an apparent abuse of expenses by the Socialist Party.

My complaint is based on the following exchange between Socialist Party TD Clare Daly and journalist Matt Cooper on Today FM on 26 June last.

Matt Cooper: But why claim the expenses? It has been claimed that Mick Wallace doesn’t claim expenses, why not follow his example?

Clare Daly: We do accept the money and the money is used for local campaigning, supporting works in our area or community campaigns or trades union issues or whatever and we account for that.

I have checked the allowances and expenses section on the Houses of the Oireachtas website and can find no reference that allows politicians to use expenses for political campaigning or trades union activities.

Yours sincerely,
Anthony Sheridan

New legislation to tackle white-collar crime – don't hold your breath

I see the Government has introduced new competition law.

The new legislation will, allegedly, tackle white-collar crime by imposing heavy fines and prison terms.

The new measures will also, allegedly, make it easier for the Competition Authority to secure convictions against those who flout the law.

There’s just one problem, Irish ‘law enforcement’ authorities do not actually enforce law when it comes to white-collar crime.

So no matter how impressive the legislation, no matter how many promises the politicians make that this time it will be different, nothing will change until we see the white-collar criminals in jail.

Irish citizens are strongly advised not to hold their breath.

E-Voting machines scrapped

So, €55 million down the drain on the e-voting machine scandal and those responsible have nothing to say.

Speaking from his art gallery in Florida former minister Martin Cullen said;

I had nothing to do with that. I don’t want to get into that.

Former minister Dempsey also refused to make comment saying he was now a private citizen.

Former Taoiseach Bertie Ahern also refused to answer any questions.

Three gombeens still as arrogant as ever.

Herr Noonan forbids free expression

Finance Minister Michael Noonan on Cabinet ministers expressing personal views.

Cabinet ministers are Cabinet ministers. They’re Cabinet ministers when they go to bed at night, they’re Cabinet ministers when they get up in the morning.

So Cabinet ministers don’t really have personal views, they have views as Cabinet ministers.

Jawohl mein Fuhrer.

A fortune for the politicians; crumbs for the peasants

A letter in today’s Irish Times highlights the problems some people are going to face as a result of plans to increase the retirement age to 66 in 2014.

As part of the plan to increase the retirement age to 66 in 2014, the transition pension will be discontinued from December 31st, 2013.

This will mean that those who are 65 in 2014 (i.e. those born in 1949) will be left without any State pension for 2014.

So, as discussed on Liveline yesterday, some people, after working and paying contributions for 50 years will get nothing in their first year of retirement and €12,000 per year thereafter.

Ministers, from the previous government, who signed off on the deal, received a €250,000 lump sum and will receive an immediate pension (at age 51) of €12,000 – per month.

No State pension for 2014

Sir,

As part of the plan to increase the retirement age to 66 in 2014, the transition pension will be discontinued from December 31st, 2013.
This will mean that those who are 65 in 2014 (i.e. those born in 1949) will be left without any State pension for 2014.

I have worked for 40 enjoyable years and made all the required contributions. I was expecting to be eligible for a State pension (transition pension for 2014 and State pension from 2015 onwards) when I retire at aged 65 in January 2014.

I requested that my employers allow me to work on until I am 66, but they have confirmed that I must retire at 65 in line with their standard procedures.

So in 2014, I will have to retire, I will have no State pension, and I have had insufficient time to make an alternative plan.

What am I to do?

Yours, etc,

Sheila Gorman,
Havelock Place,
Dublin 4

Efficient justice system for those without power or influence

Today with Pat Kenny recently did a piece from the Four Courts concerning those who failed to pay their TV licence.

On the day, court 8 was given over entirely to deal with the 150 cases on the books. All those appearing in court had been caught in the previous six months.

Clearly, the TV licence law enforcement agency and court system for dealing with these people is very efficient.

Many of the cases were struck out when those owing paid up but there were convictions especially for those who failed to turn up to defend themselves.

Again, the justice/punishment system is extremely efficient when it comes to dealing with people who fail to pay their TV licence.

The formula is:

Fined €300, €50 costs, three months to pay, five days in lieu (jail) for not paying.

No endless tribunal, no endless investigation by ODCE; no secret deal with Revenue, no excuses accepted.

Justice must not just be done; it must be seen to be done – for those without power and influence.

A reporter spoke with a woman outside the court.

Very stressful. Had to get my licence yesterday but all my weekly money is now gone. I have €10 for the week now.

Do you have arrears?

I do, €80 but I won’t be able to pay because I’m in financial difficulty.

Can you tell me about that?

I’m supposed to get maintenance of about €30 a week but he hasn’t paid it since October. I’m in arrears of over €6,000 in my mortgage, I’m a single parent, on my own for the last 15 years.

I’m in arrears with my gas, my electricity, my phone, my TV, everything. I went to MABS and they help to keep the wolves at bay for the mortgage but I will be going to court about that.

I don’t drink, I don’t smoke, I very rarely go out, I’ve started shopping in charity shops.

What are you going to tell the judge when your case comes up?

Hopefully I won’t have to pay the €80 arrears because if I have to pay I’ll have €17 to live on.

Are you on lone parents allowance?

Yes, I get €197 because they take €20 for my electricity. I pay €100 for my mortgage and I’m left with €97.

So, I guess a trip to Poland for Euro 2012 is out of the question for this woman.

Wallace corruption confirms Ireland as an intrinsically corrupt state

It has always been the core claim of Public Inquiry that Ireland is an intrinsically corrupt state.

This claim is based on the fact that, unlike functional democracies, the Irish political system does not recognise or act against powerful and influential people when they are found to be involved in corruption.

This is not an opinion, it is a verifiable fact that can be confirmed by simply taking a look at how the endless incidences of corruption over the last four decades were or were not dealt with.

The acceptance of corruption as a normal part of Irish political life by the body politic has resulted in the disease spreading into every area of public and private life.

In particular, the spread of the disease into the administrative, regulatory, banking/financial/business sectors has resulted in very serious damage to the best intersts of Ireland and its people.

No action whatsoever has been taken to eradicate the disease for one simple but deadly reason.

The current body politic, that introduced and allowed the disease to fester, is still in power and is still putting its own interests and the interests of its friends and supporters before the interests of the Irish people.

The Wallace corruption scandal is just the latest example of how the corrupt system protects its own and demonstrates how the disease has negatively affected other sectors of socitey like the media and ordinary citizens.

Every incidence of political corruption that has gone unpunished, big and small, over the past four decades or so has chipped away at the credibility, trustworthiness and moral worth of those who inhabit the ruling body politic.

The system has become so corrupt, so dysfunctional that even those independents, elected by the Irish people in a desperate cry for even a semblance of honesty and accountability, have abandoned the people in favour of the corrupt system.

The credibility, honesty and trustworthiness of Irish politicians now stands at zero.

The damage they are causing to Ireland and its people is immense and ongoing.

While the Wallace corruption scandal is just the latest in a long line of such incidences it is worth analysing in detail because it clearly exposes what Public Inquiry has been claiming for many years – Ireland is an intrinsically corrupt state.

Let’s start with Wallace’s admission on live radio that he knowingly broke the law, that is, he knowingly carried out a corrupt act.

I under declared the VAT in the hope that…

What do you mean you under declared the VAT?

When I sent in the VAT returns I didn’t declare all the VAT I owed because I would have been put out of business there and then.

By accident or on purpose?

On purpose.

I made what I thought, even though it was illegal, I thought it was the right thing to do

These are the words that law enforcement agencies, politicians, ordinary people and, indeed, Mick Wallace himself should focus on and nothing else.

Once the ramifications of Wallace’s admission of illegality are dealt with, once the State, on behalf of the people, have brought him to justice, then the nation can indulge in endless analysis on the pros and cons of his behaviour.

Sadly, because Ireland is an intrinsically corrupt state, because there’s hardly a single politician with enough courage or integrity to stand up for Ireland and its people, no action will be taken against this renegade politician.

And because of that the people of Ireland will continue to suffer from the destructive disease of corruption.

Copy to:

Mick Wallace
All political parties
Independent TDs

Included below the Wallace interview of 7th June on Morning Ireland.

How are you going to pay the 2.1 million to owe to the taxman?

At the moment the company would be deemed insolvent and since the ACC moved on us in October and got this €19.4 million judgement agaisnt us we have been unable to get work

Up to that point I had been in an agreement with Revenue. I had made the declaration back in 2010 and I was paying so much a month.

But after ACC moving on us we were no longer able to get work so it’s unlikely that Revenue will get the money.

So you don’t think this money will be paid?

That would be my honest opinion.

Where does that leave you as a TD?

Well, Mick Wallace and Wallace Construction are two separate entities.

Mick Wallace does have a tax clearance cert, Wallace Construction doesn’t.

To the best of my understanding of the law Mick Wallace is allowed to have a tax clearance cert provided his tax affairs are completely in order which they are on a personal level.

Is this not your company?

It is my company, yes.

So how can you separate the two?

Well, if you understand company law. Wallace Construction, a limited company of which I am the managing director of and Mick Wallace the private individual is a separate entity. T

hat’s just the law, I didn’t make it up.

Do you believe that your are in any way personally liable for this €2.1 million tax bill?

I do feel responsible for it, I do not feel good about it.

Owing money to banks who took gambles by giving me the money the same as I took gambles by borrowing it…and I’m far from proud to be owing the Revenue money.

I had a very successful business, I didn’t go mad. A banking crisis arrived and my property value dropped dramatically.

I did my best to try and keep the company afloat. I could have just thrown the keys at the banks and everybody else at the time and walked away from it. It has been very difficult trying to keep it going but I tried but I have failed.

The economic crisis has proved too much for my company.

Just to be clear, the settlement that we’re referring to and when we say settlement that’s an agreement on a figure rather than the bill actually being paid, is this settlement with the company or with you?

With the company. The story behind the money was €1.4 million in VAT. I sold apartments and the money that was coming in all went to the banks because the deposits had originally been used for ongoing business and the money wasn’t there for the VAT because the banks were taking their maximum, we weren’t able to pay it.

I under declared the VAT in the hope that…

What do you mean you under declared the VAT?

When I sent in the VAT returns I didn’t declare all the VAT I owed because I would have been put out of business there and then.

By accident or on purpose?

On purpose. Obviously I was wrong to do so but I did so thinking that I could pay the VAT the following year.

If I had put it down at the time I would have been put out of business there and then. There wouldn’t have been any deals with the Revenue at that time.

I thought I could save the company and pay my VAT the following year but obviously when you’ve reached the point where I felt that that prognosis wasn’t going to work I made my declaration to the Revenue.

The Revenue came in then and examined all our books and they found that the declaration we made was accurate and then we asked to try continue trading and agreed that we would pay so much a month and that we did for over a year up to the point where ACC took the judgement against me in November 2011.

The €19.4 million people just to remind people.

Yes, and that was an end to the company because we were no longer solvent and were finished trading.

How many people apart from you are liable to pay the €2.1 million bill to Revenue, are there other directors involved?

No, just myself.

What would you say to people listening to you saying you owe €2.1 million to the taxman, that you knowingly declared a false VAT declaration, are you a fit person to remain in the Dail?

Well, obviously I believe I am. I acknowledge I was wrong but I did it in good faith.

I really did believe that I would have been able to pay the VAT and I was trying to save the company.

I had 60 people working for me, I was trying to save their jobs, I was dealing with four banks that were putting incredible pressure on me. It was a difficult decision to make at the time.

I made what I thought, even though it was illegal, I thought it was the right thing to do.

In hindsight it would have been better if I had just let the company go at the time.

The haves and the have nots

Letter in today’s Irish Examiner.

Politicians must lead by example

The country is bankrupt with an annual deficit of €15bn, which means we need to borrow €300m a week just to keep the country going.

This Government has forced austerity, emigration and unfair levies/charges on the nation.

We have €3.8bn of new taxes and cuts to services in 2012 and similar measures will initiated up to 2015.

Then we will probably need a second bailout and the cycle of austerity and hardship will begin again.

Fine Gael and Labour have reneged on their manifestos and promises to the Irish electorate by caving in to bondholders and German brinkmanship.

Instead they gone for easy options, ie, cutbacks on fuel allowances for elderly, reduced support to disadvantaged schools and community work schemes, decreased allowances to young disabled people, etc.

They have adopted a code of silence on the emigration crisis which has seen 76,000 emigrate in the past year.

The Irish people and taxpayer are paying through levies and universal social charges for the bailout which has evaporated into our failed banking system and Nama.

Currently 450,000 are unemployed, tens of thousands are in mortgage arrears or negative equity, 1,500 people emigrating weekly, business close daily, citizens’ electricity has been cut off, and people still lie on trolleys in the corridors of our hospitals.

While the country is engulfed with austerity and hopelessness, the lifestyles of our politicians and their exorbitant wages and allowances have remained almost untouched.

The Taoiseach gets €200,000 and up to €118,000 in expenses and allowances (a total of €318,000); Mr Kenny earns 20% more than the British prime minister and gets 8.9 times the average industrial wage.

The Tánaiste gets €184,000 and up to €120,000 in expenses and allowances, a total of €304,000. Mr Gilmore earns 9% more than the deputy PM in Britain and his allowances are greater than the annual wage of President Hollande of France.

The French president and his ministers took a 30% wage cut when taking up office. Cabinet ministers get €169,000 and up to €120,000 in allowances and expenses, a total of €289,000.

Junior ministers €get 130,042, TDs get €93,000, and senators €65,521.

All these can claim annual vouched and unvouched expenses of €50,000 plus.

TDs earn 21% more than British MPs and 8.1 times the average industrial wage.

Central Bank governor Patrick Honohan took a voluntary 15% pay cut in 2011 and a further cut of €63,324 in 2012.

The political fraternity should follow his example.

John Lyons
Bandon
Co Cork