Connell voices IPAS contract concerns

Sinn Féin's Noel Connell has raised serious concerns about evidence of alleged overcharging by international protection accommodation operators, citing how some providers have taken advantage of government contracts.

It follows a report by the Office of the Comptroller and Auditor General, which showed one accommodation centre operator overcharged the State by more than €7M for VAT.

The issue was raised in the Dáil recently by Sinn Féin leader Mary Lou McDonald, who accused the government of squandering of public money in display of utter incompetence.

“This is cowboy stuff, minister, and the big fear is that this is just the tip of the iceberg,” said Deputy McDonald addressing Minister for Justice Jim O'Callaghan who, in response, said he had renegotiated more than 100 contracts and terminated 12 contracts for International Protection Accommodation Centres.

The Minister told the Dáil this has resulted in savings of €50M for the State this year.

Cllr Connell, speaking at the October monthly meeting of Cavan County Council, highlighted to his fellow chamber colleagues that in one-third of the cases examined by the C&AG, contracts were unsigned, invoice rates were not verified, and in only five per cent of properties was proof of ownership or lease provided.

Regarding the government contractor, which charged the state €7.4M in VAT on a building that was in fact VAT-exempt, Cllr Connell pointed out that only a “portion of that money” was ever returned after the discrepancy was discovered.

The issue highlights a broader concern, said Cllr Connell, and with over 160,000 people are currently without homes living in Ireland he criticised what he described as the reckless use of public funds to enrich large landlords while other essential needs remain unmet.

His motion was supported by fellow party member Stiofán Conaty who alleged there has been a “complete lack of due diligence”.