Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

A statement from RTÉ and an external audit show that RTÉ did not sign an agreement pertaining to the arrangement. Alamy Stock Photo

RTÉ, Ryan and Renault: The broadcaster's deal to keep Tubs on side

How an unsigned contract, a verbal agreement and a “loyalty bonus” lead to the secret €75,000 payments.

DETAILS OF RYAN Tubridy’s contract with RTÉ show that while the broadcaster had publicly stated that it intended to reduce the salaries of its top ten earners by 15%, it continued to underwrite and guarantee a €75,000 deal in Tubridy’s new five-year contract.

The controversy surrounding undisclosed payments to Tubridy has engulfed the national broadcaster, dominated the headlines and resulted in RTÉ representatives having to come before the Oireachtas to explain their actions. 

Board members and senior executives faced over four hours of questioning at the Oireachtas Media Committee yesterday.

Some of those questions related to the deal RTÉ struck to pay Tubridy €75,000 per year as part of a commercial arrangement with Renault.

However, an external audit conducted by Grant Thornton forensic accountant Paul Jacobs, which was published on Tuesday, shows that RTÉ never actually signed an agreement pertaining to this arrangement.

Additionally, the timeline, provided by the broadcaster on Tuesday, shows that the arrangements and payments between RTÉ, Ryan Tubridy’s agent NK Management and Renault took place before any formal contract was made or signed.

No formal, written agreement to underwrite and guarantee the €75,000 deal was ever made and was allegedly based off a “verbal agreement” made by former Director General Dee Forbes alone.

In a statement from RTÉ’s Interim Deputy Director-General Adrian Lynch on Tuesday, he outlined that negotiations to review Tubridy’s contract took place between October and December 2019 with his agent, Noel Kelly.

According to Lynch’s statement, on 19 December 2019, RTÉ’s then-Chief Financial Officer Breda O’Keeffe proposed that they would “offset” an “exit payment” in Tubridy’s contract to his agent.

While the new deal detailed a 15% pay-cut, O’Keeffe oversaw the deal that proposed Tubridy could avail of a “possible additional commercial agreement” to the value of €75,000 per contract year. 

This later became the Renault deal.

‘Loyalty bonus’

Speaking before the Oireachtas media committee yesterday, the current Chief Financial Officer of RTÉ, Richard Collins, said that Tubridy’s contract had a €120,000 “loyalty bonus” connected to it in 2020.

“Ryan Tubridy was due a loyalty bonus at the end of his contract of €120,000. That was never paid, it was never accrued for in the accounts. But for an unexplained reason, that €120,000 was credited against his earnings. That’s under investigation at the moment, Collins said. 

He said that he didn’t sign off on the misreporting of Tubridy’s salary, and that the loyalty bonus was negotiated and agreed before he became Chief Financial Officer in January 2020. 

The treatment of the exit payment – of which there is little publicly reported detail – is now the subject of another Grant Thornton review for the radio host’s earnings during the 2017-2019 period, according to the statement.

rte-commercial-director-geraldine-oleary-left-interim-deputy-director-general-adrian-lynch-centre-and-chief-financial-officer-richard-collins-right-arriving-at-leinster-house-dublin-to-appea RTE Commercial Director Geraldine O'Leary (L), Interim Deputy Director General Adrian Lynch (C) and Chief Financial Officer Richard Collins (R) arriving at Leinster House yesterday. Alamy Stock Photo Alamy Stock Photo

From January to March, RTÉ said further discussions on terms and conditions continued and a draft contract was sent to NK Management on 10 March.

In his response on 20 March, Noel Kelly included a draft ‘side letter’ stating that RTÉ will guarantee and underwrite the proposed €75,000 yearly commercial arrangement. 

RTÉ’s former Director General Dee Forbes, who allegedly was the only member of the organisation who was fully aware of all the facts connected to Tubridy’s agreement, “verbally agreed” to underwrite the deal on 7 May 2020, according to the Grant Thornton review and RTÉ’s statement.

Adrian Lynch reiterated this point before the Oireachtas committee today.

The two €75,000 payments were paid by RTÉ’s barter account, and were described on invoices as “consultancy fees”. 

When asked why this was never questioned, RTÉ’s head of commercial Geraldine O’Leary said she could not answer “because I cannot remember the precise detail”.

She said the invoices were raised by her office. Fianna Fáil TD Christopher O’Sullivan asked whether the invoices pertaining to Tubridy’s payment which had the words “consultancy fees” would not have “raised flags”, O’Leary said Tubridy’s name was not on the invoices.

“But you knew the invoices pertained to the payment of Mr Tubridy,” O’Sullivan said.

“Yes, because I was aware that they were related to the €75,000 per annum,” O’Leary responded.

O’Sullivan said it was “seriously concerning” that there was such a “lack of oversight” within O’Leary’s office. 

“Clearly there wasn’t the checks and balances in place to see that the term consultancy fees on an invoice that pertained to the payment of Mr Tubridy wasn’t flagged at that time. I think that beggars belief to be honest.”

‘No way’ RTÉ should sign the deal

According to the Grant Thornton audit, a “Tri-Partite Agreement” was made between Renault, RTÉ and NK Management (on behalf of Ryan Tubridy) for October 2020 to 31 December 2021.

No exact start date was provided by the audit or the statement from Lynch to this agreement, only “October 2020″.

There was also “no mention of a monetary amount for the provision of Requirements or Services” under the tri-partite agreement, but it did include the provision of three public appearances by Tubridy.

For these events, RTÉ also agreed to front the bill and the broadcaster paid, via the UK barter account, for the costs of hosting the commercial sponsor’s events to the tune of €30,586, last year. This ended up being valued at €47,477 in the barter account. 

Talks took place between the three parties for this agreement during 27 July and 22 October 2020, according to the RTÉ statement.

However, Renault were approached 24 July and were invoiced €75,000 by NK Management for “bespoke partnership” between Renault and Tubridy to include personal appearances.

The Grant Thornton audit suggests that Renault agreed to the tri-partite agreement on 29 September 2020, even though they had already paid and been credited the €75,000 fee by RTÉ on 31 July 2020.

Renault did not sign the agreement until 15 April 2021 as per page 10, 2.7 (d) (i) of the Grant Thornton Audit.

According to the the timeline provided by RTÉ on Tuesday, NK Management got a guarantee from RTÉ on the agreement on 7 May 2020.

It then invoiced Renault in July 2020, received the tri-partite Agreement in October 2020 and “furnished” the deal between 29 March and 22 April 2021.

Agreement never signed

But, NK Management didn’t actually sign the tri-partite Agreement until 21 April 2023 – just over a month after the initial internal audit from RTÉ, as per page 10, 2.7 (d) (ii) of the Grant Thornton audit.

RTÉ didn’t sign the tri-partite agreement at all, as per page 10, 2.7 (d) (iii) of the Grant Thornton audit. However, they still underwrote, paid and credited the payments months prior.

During the committee meeting today, Fine Gael TD Ciarán Cannon asked why the tri-partite agreement was not signed by RTÉ.

Lynch said he presumed that the agreement would include the provision of the €75,000 but “it didn’t”.

“In terms of the sequencing of events, in 2020, obviously we had Covid, and the events didn’t happen then until 2022,” Lynch said.

“So everything was getting pushed around and this agreement then was between NK Management and RTÉ,” the acting director general added.

screenshot-297-630x332 RTÉ representatives at the Oireachtas Media Committee. Oireachtas TV Oireachtas TV

Commercial Director Geraldine O’Leary said “the main reason” the agreement was drafted in writing was solely to provide clarity to Renault over what they needed from Tubridy and “what the events would be”.

However, Renault received the deal on a wholly cost-neutral basis and did not have to pay for the commercial partnership or the events.

Tuesday’s statement from RTÉ said: “The ‘Tri-Partite Agreement’ between the commercial partner, the Agent and RTÉ was arranged by the Commercial Director at the direction of the Director General.”

However, O’Leary claimed during the committee meeting today that she was “not involved” in “the construction” of this deal and was purely involved under the direction of Forbes.

From the statements and audit, it appears that the deal was done before the agreement was drafted.

It was then never signed off by RTÉ, who paid for it arising from Forbes’ verbal agreement. 

Lynch told the media committee yesterday that there was “no way” RTÉ should’ve signed anything to underwrite this deal and that there was no written agreement from the broadcaster at all that they would do so.

However, because of the verbal agreement that RTÉ would underwrite the deal for the five-year contract, they were obliged to pay the €75,000.

Lynch told the committee he only found about the verbal agreement “literally this week at like 3am on a Monday” after going to look for the physical agreement underwriting it, “and I didn’t find one”. 

Renault, according to the audit, only agreed to join the previously mentioned “bespoke partnership” if it was cost neutral to them. RTÉ provided Renault with a credit note on 31 July 2020.

In the Grant Thornton review, forensic accountant Paul Jacobs said that he was informed by Dee Forbes that there was an ‘end of contract payment’ due to Tubridy in 2020.

Forbes said that Tubridy’s first contract – which included the exit payment – was negotiated and in place before she took over the job in 2016. RTÉ was keen to make a cost saving in respect of this “end of contract payment”, she told the review.

She also said something similar in her own statement this week: “We were keen to make a cost saving for RTÉ in respect of a contractual payment which was due to be paid.”

It is not known how much this payment would amount to.

RTÉ did not respond to a request for comment from The Journal by time of publication. 

Additional reporting by Jane Moore

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Close
38 Comments
This is YOUR comments community. Stay civil, stay constructive, stay on topic. Please familiarise yourself with our comments policy here before taking part.
Leave a Comment
    Install the app to use these features.
    Mute Mick Hanna
    Favourite Mick Hanna
    Report
    Jun 29th 2023, 10:31 AM

    No matter what way the wind blows, this Stinks to high heaven. The smell will linger for a long long time.

    319
    Install the app to use these features.
    Mute Ger Byrne
    Favourite Ger Byrne
    Report
    Jun 29th 2023, 10:43 AM

    This all boils down to Tubridy Greed. No other radio/tv channel looking for him. He didn’t make it at BBC when he filled in for Graham Norton. Greed

    260
    Install the app to use these features.
    Mute Andrew Kenny
    Favourite Andrew Kenny
    Report
    Jun 29th 2023, 11:06 AM

    I’m not even 1% surprised by this debacle and nobody should!

    RTE and Government along with a lot of other State/Semi State organisations are void of any proper qualifications/experience to manage organisations in a business like manner.

    Most are hacks. Politically connected, out of their depth hacks. This current fallout is another example of the ineptitude and casual arrogance that seems to ‘naturally’ accompany these individuals.

    Imagine if this situation unfolded in a 100% private or independent company? Exactly, go figure!

    Same with HSE management, Irish Water management, Government departments etc. All senior civil servant hacks with zero experience of accountability, business management, people management, communication etc. Inept.

    The casual abuse of public money is quite shocking. Its actually dangerous letting these incompetent individuals run riot but they are and will continue to do so. Why? Because the system allows it and more worryingly, will continue to allow it.

    153
    Install the app to use these features.
    Mute David Corrigan
    Favourite David Corrigan
    Report
    Jun 29th 2023, 11:18 AM

    @Andrew Kenny: Exactly right Andrew. I saw a report recently where a company quoted €1000 to spray paint a dust bin in Wexford. That kind of thing would be signed off by the county council no problem.
    Imagine you worked for a company such as the Kerry Group for example and you were tasked with getting a few quotations to spray a dustbin. Imagine again the reaction you would get if you approached a company manager with that €1000 quote! You would be told to get your coat, pack your things and leave immediately.

    107
    Install the app to use these features.
    Mute Barbara Coleman
    Favourite Barbara Coleman
    Report
    Jun 29th 2023, 12:17 PM

    @Andrew Kenny: Exactly..the same when they gave millions of our monies to charities. No one checking on what was happening at all. Thousands gone in cars, expense accounts etc.

    63
    See 2 more replies ▾
    Install the app to use these features.
    Mute Dave Hammond
    Favourite Dave Hammond
    Report
    Jun 29th 2023, 7:39 PM

    @David Corrigan: haha RTE would order 120 adsitional new bins installed in the late late studios and have them all painted for 1000 each but the CFO woukdnt remember who ordered the bins the head of operations would only remember using green bins and heqd of commercial would say they weee told to bensire they recordered them as a give away to everyone in the audience during lockdown.

    5
    Install the app to use these features.
    Mute Jamie Langford
    Favourite Jamie Langford
    Report
    Jul 1st 2023, 11:18 PM

    @David Corrigan: odd reply but thank you, I thought I was dreaming, I remember hearing about that, but like mentioned I thought I was dreaming, thought I was doting,
    Although you are right, in my area a picnic bench was being replaced & it was supplied and fitted by a company for 8750 euro, company advertises same picnic bench on FB and donedeal for just 750 Euro,
    No groundworks involved, just 8 holes drilled and it was bolted to the ground somehow, hardly 8 grands worth of work, oh and the council paid a signmaker 899 euro to put up a sign on an existing pole saying the bench was proudly installed by the company, the sign even has stickers on it stating it was made by such a signmaker, free advertising and FYI, the sign cost about 25 euro to make, contracts seem to go to highest bidder.

    1
    Install the app to use these features.
    Mute Burn Turf
    Favourite Burn Turf
    Report
    Jun 29th 2023, 10:27 AM

    I think it boils down to weak leadership. They were scared to lose Tubridy to BBC, Newstalk etc so they do whatever it takes to keep him.

    120
    Install the app to use these features.
    Mute Sarah Hempenstall
    Favourite Sarah Hempenstall
    Report
    Jun 29th 2023, 10:43 AM

    @Burn Turf: what were they scared of? He had a trial run with the BBC about ten years back and it was a damp squib. Nobody, literally nobody, outside of Ireland wants him. Half of the ‘big-hitters’ at RTE would likely be unemployable at other major broadcasters…..

    295
    Install the app to use these features.
    Mute Metaljester
    Favourite Metaljester
    Report
    Jun 29th 2023, 10:43 AM

    @Burn Turf: That was never going to happen

    92
    See 7 more replies ▾
    Install the app to use these features.
    Mute Paul Shepherd
    Favourite Paul Shepherd
    Report
    Jun 29th 2023, 11:01 AM

    @Sarah Hempenstall: good point. No commercial broadcaster in Ireland could afford or want to pay these exorbitant fees or salaries, so to suggest the “talent” could go elsewhere is nonsense. Equally, no foreign broadcaster is going to expend those sort of resources on a person who is effectively unknown outside Ireland. If RTE had offered Tubridy and others substantially less money and they turned it down, odds are they’d still be on the dole!!

    87
    Install the app to use these features.
    Mute Donal Desmond
    Favourite Donal Desmond
    Report
    Jun 29th 2023, 11:03 AM

    @Burn Turf: At best Newstalk ..BBC certainly not an option…

    50
    Install the app to use these features.
    Mute Burn Turf
    Favourite Burn Turf
    Report
    Jun 29th 2023, 11:08 AM

    @Sarah Hempenstall: what other logical reason is there? They treated everyone else like dirt.

    58
    Install the app to use these features.
    Mute David Corrigan
    Favourite David Corrigan
    Report
    Jun 29th 2023, 11:14 AM

    @Paul Shepherd: Correct. Outside of Terry Wogan and more recently Caitriona Perry, RTE have not produced any sellable talent. With his current financial expectations, Ryan will never work again in broadcasting. The only way he will work again is by accepting a lower salary.

    Personally, I don’t think he has the talent to land a job in the UK or the US.

    80
    Install the app to use these features.
    Mute Barbara Coleman
    Favourite Barbara Coleman
    Report
    Jun 29th 2023, 12:14 PM

    @Burn Turf: the BBC don’t want him for heavens sake !!

    39
    Install the app to use these features.
    Mute PAUL C
    Favourite PAUL C
    Report
    Jun 29th 2023, 12:17 PM

    @Sarah Hempenstall: the late late seems to be the only thing they have that makes consistent money … with the toy show being a massive cash cow which has grown exponentially in the last 10 years with merchandising and advert revenue falling or non existant everywhere else on RTE … management linked its success directly to RT and therefore believed that RT was the draw and not the show and format …

    15
    Install the app to use these features.
    Mute banjo cat
    Favourite banjo cat
    Report
    Jun 29th 2023, 12:23 PM

    @David Corrigan: he might have to sell the guitar and the scooter !!!!

    25
    Install the app to use these features.
    Mute Vincent Doyle
    Favourite Vincent Doyle
    Report
    Jun 29th 2023, 11:18 AM

    This mess is really simple to solve. Scrap the License fee and RTE can do what they like. Done.

    104
    Install the app to use these features.
    Mute Ali murray
    Favourite Ali murray
    Report
    Jun 29th 2023, 10:43 AM

    Get the Gardai and revenue involved. Also, they need that clown Dee Dee to answer questions.

    191
    Install the app to use these features.
    Mute PAUL C
    Favourite PAUL C
    Report
    Jun 29th 2023, 12:12 PM

    @Ali murray: think it’s the CEA that is required … based on what’s coming out .. they went after Delaney and FAI .. they will have to get involved here

    36
    Install the app to use these features.
    Mute Monetpenny
    Favourite Monetpenny
    Report
    Jun 29th 2023, 11:46 AM

    It is RTE pretending they are afraid that Tubridy would leave.
    He wouldn’t have received ‘RTE money’ elsewhere – everyone knows it but RTE pretended they thought he would.

    I don’t think people watch the Late, Late Show because of Tubridy.
    People watch the Late, Late Show because of when it is on – prime time on a Friday.

    I didn’t watch the Late, Late Show anyway but I was significantly less inclined to watch it due to the host.

    83
    Install the app to use these features.
    Mute Mick Hanna
    Favourite Mick Hanna
    Report
    Jun 29th 2023, 11:51 AM

    @Monetpenny: I watched one show when he Started. Couldn’t see any “”Talent!”" NEVER watched it again nor did I ever tune into the Toy Show.

    66
    Install the app to use these features.
    Mute Richard Starling
    Favourite Richard Starling
    Report
    Jun 29th 2023, 12:53 PM

    @Mick Hanna: Be fair now, the Toy Show was exactly at his level of capability.

    21
    Install the app to use these features.
    Mute Kevin Walsh
    Favourite Kevin Walsh
    Report
    Jun 29th 2023, 11:13 AM

    Looks very much like Rehab. If you’re in the room making the decision you can do as you want. So much for audits

    80
    Install the app to use these features.
    Mute Pato
    Favourite Pato
    Report
    Jun 29th 2023, 10:45 AM

    So I stepped out and then stepped in again
    The money has to go down here but sure don’t worry it’ll go up here and sure no one will know.

    51
    Install the app to use these features.
    Mute Garry Lynch
    Favourite Garry Lynch
    Report
    Jun 29th 2023, 11:46 AM

    I think it’s worth noting that RTE and each of it’s presenters have a bias towards Government policy. They recently gave themselves a long video of their protest on RTE campus, in contrast to the myriad huge protests on the streets of Dublin, not a whisper. They also styfill conversations where others have a different opinion. Please also remember that the tv licence fee is a Government imposed tax on owning a tv reciever. Hopefully this present controversary will change everything in RTE and bring truthful news to Irish people.

    49
    Install the app to use these features.
    Mute Barbara Coleman
    Favourite Barbara Coleman
    Report
    Jun 29th 2023, 12:20 PM

    @Garry Lynch: Well of course RTE are useful for FF/FG ..they won’t want things to change too much !!! We can laugh when we hear Putin controls the Airways in Russia not much different here. We’d still have censorship if they had their way

    40
    Install the app to use these features.
    Mute Stanley Marsh
    Favourite Stanley Marsh
    Report
    Jun 29th 2023, 10:48 AM

    Absolute nonsense to think that if RT didn’t get what he wanted he’d leave.

    To go where?

    I have nothing against the man but the reality is he is not all that good and can actually be quite annoying.

    However I would ask that our elected public representatives refrain from pointedly refering to him as ‘Tubridy’ when talking about the issue in the media.

    It stinks of playing to the crowd,school yard stupidity and the kind of thing you’d get on internet discussions from mindless trolls.

    84
    Install the app to use these features.
    Mute Willie Marty
    Favourite Willie Marty
    Report
    Jun 29th 2023, 10:59 AM

    @Stanley Marsh: i think they should refer to him as Tubsidy.

    86
    Install the app to use these features.
    Mute john mcgrath
    Favourite john mcgrath
    Report
    Jun 29th 2023, 12:10 PM

    We need primetime investigates some hope of that

    33
    Install the app to use these features.
    Mute PAUL C
    Favourite PAUL C
    Report
    Jun 29th 2023, 12:13 PM

    @john mcgrath: I don’t know… I think they would love a crack at it … they took the cuts..and were lied to !!

    33
    Install the app to use these features.
    Mute stevie G it is beyond comprehension that if i did
    Favourite stevie G it is beyond comprehension that if i did
    Report
    Jun 29th 2023, 11:13 AM

    Here’s a question for Ms shoe in, was Ms Forbes on annual leave or was her resignation SOUGHT by the executive Committee or did Ms Forbes tender her resignation and was accepted by Ms shoe in (thereby giving her the freedom to show 2 fingers to the Oireachtas Committee) could we have the timelines as this whole s!1% show is a stinking quagmire???

    49
    Install the app to use these features.
    Mute P.j. Mc Dermott
    Favourite P.j. Mc Dermott
    Report
    Jun 29th 2023, 1:28 PM

    @stevie G it is beyond comprehension that if i did: I’d say Dee Forbes was encouraged to resign, by the current DG because, if she was permitted to give evidence to the PAC, they would all be sacked on the spot for gross negligence and accountability with Public funds. Personally, I think the Gardai should be called in to investigate what is essentially another ” white collar crime”.

    22
    Install the app to use these features.
    Mute stevie G it is beyond comprehension that if i did
    Favourite stevie G it is beyond comprehension that if i did
    Report
    Jun 29th 2023, 4:03 PM

    @P.j. Mc Dermott: totally agree, if this was you or me the revenue commissioners would be on the doorstep carrying out an in depth audit and then surely calling the Gardai in.

    12
    Install the app to use these features.
    Mute Ray Martin
    Favourite Ray Martin
    Report
    Jun 29th 2023, 11:49 AM

    Instead of keeping Tubs on side he should have been given a good kick on his backside out the door.

    64
    Install the app to use these features.
    Mute john dowling
    Favourite john dowling
    Report
    Jun 29th 2023, 2:37 PM

    The PAC knew for years the obscene monies being paid out, and did sweet, can we do somethings to prevent depties/senators using GDPR to hide the gross level of pay/ expenses they get?

    18
    Install the app to use these features.
    Mute Paddy C
    Favourite Paddy C
    Report
    Jun 29th 2023, 9:01 PM

    The end of all this will have to be that rte is completely privatised full stop if the TV licence is to continue which no doubt it will it cannot be given to rte in any amount and may be rerouted to better public use of funds were it is without a doubt needed otherwise scrap it altogether it’s a kick in the teeth to people now

    5
    Install the app to use these features.
    Mute John Bent
    Favourite John Bent
    Report
    Jul 2nd 2023, 3:12 PM

    I would have thought the Auditors to RTE might also have questions to answer…why were some of these issues not highlighted in the yearly audit.If Grant Thornton could find it …why didn’t the longstanding RTE auditor

    2
Submit a report
Please help us understand how this comment violates our community guidelines.
Thank you for the feedback
Your feedback has been sent to our team for review.

Leave a commentcancel

 
JournalTv
News in 60 seconds