Thursday, February 09, 2012

Rooney quit over ‘culture of secrecy at Goal’

A culture of secrecy and resistance to reform at senior management level fed into Fran Rooney’s negative experience at Goal prior to his quitting the board last December.

Although the treatment of the board’s former chairman, Ken Fogarty, by chief executive John O’Shea sealed his decision to resign, Mr Rooney said both had a "very negative experience at the manner in which operations are managed". 

Neither could satisfy themselves that public funds were being "properly and efficiently dispensed".

This was largely because information they had requested to demonstrate how operations were run was not forthcoming.

Their departure brought to seven the number of directors who had resigned from the board last year. 

Mr Fogarty left in November, after Mr O’Shea said he had no confidence in him, and Mr Rooney followed suit in disgust. 

Both had been involved, at Mr O’Shea’s behest, in designing a blueprint to overhaul Goal’s legal structures and improve corporate governance.

Mr Rooney said they had difficulty in getting agreement to introduce any changes including:

* Introducing an audit committee which would report to the board, replacing the finance committee reporting to Mr O’Shea.

* Introducing a remuneration committee to determine top level salaries, to be approved every year.

* Bringing in a human resource specialist to assist the board in appointing a HR director. Mr Rooney said that this suggestion was "totally opposed".

Mr Rooney said Goal’s work was "very laudable" but "the other side of the equation is that people donate money and they are entitled to feel it is properly and efficiently dispensed and we couldn’t satisfy ourselves that this was the case".

Last night, Goal chairman Pat O’Mahoney said: "In the spirit of openness, I would welcome any specific proposals from Mr Rooney to me, or indeed any other interested parties, in order to ascertain if there is anything that has not been already addressed and agreed in Goal’s constructive interaction with the Department of Foreign Affairs to date."

The department’s overseas aid arm, Irish Aid, gives grants to Goal and monitors its performance. 

In its latest audit, Irish Aid raised concerns about the board’s oversight role in ensuring accountability at top levels.

The audit also questioned the board’s organisational risk assessment and strategic planning skills.

It referred to a "serious fraud" in Malawi, where almost €90,000 in funds went missing.

However, Mr O’Mahoney said Goal had acted "firmly and decisively" when the fraud was discovered, with four men arrested and now awaiting trial.