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Paul Kiely told the PAC that he resigned from the board of the CRC in recent weeks Screengrab via Oireachtas TV

'Absolute madness': CRC pays Mater Hospital €660k to administer 'phantom pension fund'

The revelation was disclosed right at the end of lengthy hearings before the Dáil’s Public Accounts Committee this afternoon.

Updated 20:14

THE CENTRAL REMEDIAL Clinic (CRC) pays the Mater Hospital around €660,000 to administer a pension fund that does not exist, the Dáil’s Public Accounts Committee has heard.

Towards the end of an extraordinary nearly six hours of hearings on the recent scandal surrounding the CRC, its former chief executive Paul Kiely claimed that the Mater Hospital charges the clinic for administering a non-existent pension fund.

He explained that the CRC pays the Mater a premium between 10 and 13 per cent of employees’ gross salaries every year for the public hospital to administer a Voluntary Hospitals Superannuated Scheme or VHSS pension scheme.

Kiely also claimed that he has been told in correspondence that the CRC is not the only organisation that the Mater does this for.

“They [the Mater] charge us that for administering the fund on behalf of the members,” he said, but added “there’s no fund that I know of” to the astonishment of members.

Ross, who initially raised the issue of the CRC’s relationship with the Mater, said the public hospital was essentially “charging €660,000 for administering a phantom fund”.

Kiely told the PAC that he raised the issue with the CRC board, saying “It was kicked out of the water. I was told it is what it is and that’s the way it’s to stay.”

Ross (below) described the claims as “outrageous” and said it was “absolute madness”.

image

‘Not the only organisation’

The independent TD for Dublin South said: “So they get €660,000 for administering a fund that doesn’t exist?” to which Kiely responded “Yes”.

“I tried to break it on numerous occasions and no one wanted to know. The Department of Health didn’t want to know,” Kiely claimed.

Kiely, who resigned from the CRC last year and said today he has resigned from the board in recent weeks, added that he was told it was a “legal agreement that went back 30-odd years ago”.

Ross said the arrangement would have meant that the CRC would have paid the Mater “millions” down through the years.

Kiely tried to explain how the money would circulate as the Mater would receive money which “becomes part of their income for the year, so it lessens the amount the HSE have to give them” and would therefore increase the amount the HSE owed to the CRC.

But he said “it was just daft” adding that he tried to get the clinic registered so as that it could administer the VHSS pension scheme itself, but he was unable to do so.

He also alleged that in correspondence from the Mater he learned that the CRC is not the only organisation the hospital does this for.

“I do know in correspondence with the Mater I was told that we aren’t the only organisation we were doing this for,” he claimed.

The HSE’s head of human resources, Barry O’Brien, said he had no idea about the arrangement Kiely spoke of and said the Executive “does the work on the administering of the funds centrally”.

He said that as the revelations have “only come to light in the last five minutes” he would need time to assess the issue and promised a report on the VHSS scheme for the committee by next week.

Committee chairman John McGuinness described the revelations as an “absolute farce”.

He said it is an issue that the committee will return to at the beginning of hearings next week, where someone from the Mater hospital will be asked to appear before TDs.

- additional reporting from Michelle Hennessy

Originally published 16:24

Read: Mater Hospital ‘refutes’ suggestions of operating a CRC ‘phantom fund’ >

Video: Former CRC chief got €200k lump-sum payment from charity fund

More: CRC ‘contractually bound’ to top up salaries

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    Mute Adrian
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    May 4th 2023, 3:58 PM

    One less thing to worry about.

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    May 4th 2023, 4:28 PM

    Jennifer Zamperelli. Jesus wept

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    Mute Madra
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    May 4th 2023, 5:14 PM

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    Mute GERARD KENNELLY
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    May 5th 2023, 3:50 AM

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    Mute rhino
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    May 4th 2023, 4:16 PM

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    Mute William Slevin
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    May 4th 2023, 3:57 PM

    This starting to feel more like a poisoned chalice than a great opportunity lol

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    Mute ggg
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    May 4th 2023, 4:18 PM

    She obviously got pulled aside in the hallway at Montrose and told she is not being considered.

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    Mute Maire Morrison
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    May 4th 2023, 4:20 PM

    Dara ó Briain would be a good fix, imo

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    Mute Sean McCarthy
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    May 4th 2023, 5:33 PM

    @Maire Morrison: I find him a bit sanctimonious to be honest. So maybe you’re right actually

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    Mute GERARD KENNELLY
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    May 5th 2023, 3:52 AM

    @Maire Morrison:

    whatever happened to echo island ?

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    Mute Larry Rawson
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    May 4th 2023, 4:24 PM

    Sorry but the obvious choice is Brendan o Connor he has a proven track record in Rte and at 33/1 i would put my Fiver on Him.

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    Mute Paddy Kennedy
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    May 4th 2023, 5:43 PM

    @Larry Rawson: If he’s 33/1 and you put on a fiver that means you’ll lose a fiver right?

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    Mute alan
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    May 4th 2023, 6:00 PM

    @Paddy Kennedy: you could put an each way bet on him, and then you’d be in with well more than a shout of losing twice as much

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    Mute Ollie Fitzpatrick
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    May 4th 2023, 5:12 PM

    Who actually cares?? I read the article for the comments rather than the content. The show is outdated and well past its bedtime and should be put to bed permanently.

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    Mute Ger Byrne
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    May 4th 2023, 4:13 PM

    Oliver Callan would be brilliant

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    Mute GERARD KENNELLY
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    May 5th 2023, 3:53 AM

    @Ger Byrne:

    SF IRA supporter hosts the late late

    ah huh ..

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    Mute Dave Phelan
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    May 5th 2023, 6:47 AM

    @GERARD KENNELLY: What planet are you on ?

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    May 4th 2023, 4:26 PM

    A good news story, for once.

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    Mute FixoUZLA
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    May 4th 2023, 5:32 PM

    Gay Byrne was young when he started on Late Late Show , maybe 24 years of age . If RTE continues with LLS , how about giving the gig to a young unknown person , not one of the tired old faces who are said to be in the running for the job .

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    Mute Rochelle Hart
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    May 4th 2023, 7:29 PM

    @FixoUZLA: That would make perfect sense but it’ll never happen in modern RTE.

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    Mute GERARD KENNELLY
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    May 5th 2023, 3:54 AM

    @Rochelle Hart:

    Eoghan McDermott will host the late late

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    Mute Paula Leane
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    May 4th 2023, 4:01 PM

    Ask a teacher, they do 3 hours live before & after lunch with a live audience who sometimes answer back..

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    Mute James Shanahan
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    May 4th 2023, 6:28 PM

    @Paula Leane: Work smart, not hard!!

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    Mute Aidan McKeon
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    May 4th 2023, 11:10 PM

    @Paula Leane: You obviously have no idea of what teachers do. If it is such a handy job, why aren’t you at it yourself? And why is there such a shortage of teachers if it so easy?

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    Mute GERARD KENNELLY
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    May 5th 2023, 3:55 AM

    @Paula Leane:

    brendan gleeson was a teacher before he went into acting

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    May 4th 2023, 4:53 PM

    Ditch the poxy late late show, it’s as boring as dishwater & Trump’s speeches

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    May 4th 2023, 4:32 PM

    Who are we left with? Bosco?

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    May 4th 2023, 4:41 PM

    @Stevie Doran: they might as well go with Dustin . Better candidate than Bosco and the other faves anyway

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    May 4th 2023, 5:22 PM

    @Stevie Doran: Dustin

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    May 4th 2023, 3:59 PM

    She gave her own program to spend time with her family so didn’t make sense to go back to long hours again

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    May 4th 2023, 5:17 PM

    John Creedon,or Tom Dunne, both blessed with soft voices.

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    May 4th 2023, 6:45 PM

    Time to put this show on the dead heap now. Its been on its knees for years now time to actually end it

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    May 4th 2023, 5:05 PM

    Good.

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    May 4th 2023, 8:20 PM

    Can’t be many left in the RTE canten to choose from .

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    May 4th 2023, 7:54 PM

    I think Oliver Callan would be perfect for the show as presenter. Funny, intelligent, sensitive and vibrant.

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    May 4th 2023, 6:01 PM

    Like it or not, the much derided LLS is still the heartbeat of middle Ireland. John Creedon or Brendan O Connor or Baz (I don’t think he’d have the patience for it) for me. I’m struggling to come up with a female name that’d be a bit of craic. Angela Scanlon wouldn’t want it long term and as for Jennifer Z; she is a bit crude at times for me.

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    May 4th 2023, 9:31 PM

    RTE are about as relevant as whatisname yeah with whatsisface in thatseries I can’t remember.

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    May 4th 2023, 5:32 PM

    Michael D Higgins

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    Mute Amanda Joyce
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    May 4th 2023, 5:57 PM

    Why are they picking Newsie’s for it… It’s supposed to be a topical Show is it not… And light entertainment.. What about either of the Seoighe Sisters and someone like Tommy Tiernan.. I don’t think it’s a Show for a Newsreader or Political Correspondent… Or what about giving a chance to Una Healy….

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    May 5th 2023, 12:44 AM

    @Amanda Joyce: you’re having a laugh.You must be

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    Mute Michael Dowling
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    May 4th 2023, 5:35 PM

    Maybe they should have a few different presentaters taken from the existing staff. Just for variety.

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    May 4th 2023, 6:25 PM

    @Michael Dowling: they don’t have the talent at hand.

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    Mute Angela Kirrane
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    May 4th 2023, 4:14 PM

    I think somebody like Rita Ann Higgins, somebody with a sense of humour and not too into themselves

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    Mute KilkennyProud
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    May 4th 2023, 4:45 PM

    @Angela Kirrane: She was recently interviewed by Brendan O’Connor and spoke extensively about her holidays and her gall stones – sounded pretty much into herself.

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    Mute Thomas O' Donnell
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    May 4th 2023, 4:53 PM

    @KilkennyProud: That must have been galling

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    May 4th 2023, 4:55 PM

    @Thomas O’ Donnell: It was painful alright.

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    Mute Gearóid MacEachaidh
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    May 4th 2023, 4:20 PM

    That’s a pity. I think she would have been the 2nd best candidate next to Miriam, now both are out of the reckoning.

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    Mute Keth Tgi
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    May 5th 2023, 2:06 AM

    Dougal…..from Father Ted.
    And just call it The Dougal Show. Ah go on go on!

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    Mute justme
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    May 4th 2023, 6:44 PM

    What about Jerry Maye – a nice presenter and respectful interviewer.

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    Mute Paulco
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    May 4th 2023, 7:43 PM

    Think outside the box. How about Conan O Brien? He would crush it! He could do rotating 2 shows in Ireland followed by 2 in NYC. That’s mad, Ted!

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    May 4th 2023, 5:31 PM

    Mike D

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    May 5th 2023, 10:03 AM

    That just leaves me then …… I’m looking forward to it who will be our first guest

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    Mute Emmet Murphy
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    May 5th 2023, 9:09 AM

    Just bury the show, let it die in peace and give us a break from the Rte windbags.

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    May 5th 2023, 9:25 PM

    Who would want it.?

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    May 5th 2023, 7:29 AM

    All she’s, any sport on the other side

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