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 Post subject: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Oct 11, 2009 9:10 am 
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Kickbacks, waste and bogus orders costing CIE millions -> http://www.independent.ie/business/iris ... 10407.html

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An explosive top secret report on Iarnrod Eireann has found that kickbacks, squandering of millions of euro in taxpayers' money and collusion with contractors, and incompetence has been rife in the loss making semi-state company for several years, a Sunday Independent investigation can reveal.

The damning report which covers close to €120m in third party contracts and spending reveals that the taxpayer faces losses of nearly €9m as a result of rampant malpractices and lack of controls at Irish Rail. "We also note from internal investigations and internal reports that several other inspectors are suspected of involvement in fraud or collusion with vendors," the report notes. It also highlighted dealings with one contractor where it could find "little documentation available to determine whether the job had been completed or not".

The state gives CIE over €300m per year to disperse among Iarnrod Eireann, Dublin Bus and Bus Eireann. CIE is the second massive semi-state company to be exposed for squandering taxpayers money, following Sunday Independent revelations about FAS last year.

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Oct 11, 2009 9:22 am 
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now you know why a return trip is fucking expensive.

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Mon Oct 12, 2009 2:47 pm 
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Dempsey awaiting report on Irish Rail wastage

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Monday October 12 2009

Transport Minister Noel Dempsey says he has asked for a full report into claims of wasteful spending and malpractice at Irish Rail.

Reports yesterday claimed an investigation completed last year found that millions of euros of taxpayers' money had been wasted through incompetence, kickbacks and collusion with contractors.

The investigation was commissioned following the break-up of a railway equipment theft racket by Wicklow Gardai in July 2006.

Its remit was later widened to include contract and tendering practices.

Asked about the matter in Dublin today, Mr Dempsey said he had requested a full report on the matter and would have liked to have been provided with the information once the investigation had been completed.

INN


You have to ask exactly why we have a Minister For Transport, if he can't be arsed to make sure he gets copied on critical reports :roll:

It isn't good enough for Politicians to keep blaming others for them not being informed about what's going on inside their departments !

If he legitimately has a complaint with the performance of his officials, then it is up to him to resolve it !

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"Mr Kelly said Ireland’s “reputational capital” had been damaged by “chancers” such as ex-Anglo Irish Bank chairman Seán FitzPatrick, who had been abetted by “buffoons” such as former financial regulator Patrick Neary, Minister for Finance Brian Lenihan and the Taoiseach." - Irish Times 13th Jan 2009

"If you can't be a good example, then you'll just have to be a horrible warning." (Catherine Aird)


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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Mon Oct 12, 2009 3:23 pm 
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BoyRacer wrote:

The state gives CIE over €300m per year to disperse among Iarnrod Eireann, Dublin Bus and Bus Eireann. ....

Would that be considered a training budget? :x


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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Mon Oct 12, 2009 3:47 pm 
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This might explain why their is a ticket agent cartel enforced by Dublin Bus and probably the rest of the group. The customer who is also taxpayer is the loser on both counts.

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Mon Oct 12, 2009 6:29 pm 
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Criminal activity and rampant waste of money by CIE personnel has been going on for years without any sanctions so what is the surprise?

Remember the mini CTC (Central Traffic Control) signalling contract awarded to MNL (Modern Networks Ltd) in 1997 that was terminated in 2001.

CIE staff involved in awarding the deal to MNL left CIE to join MNL.

While laying the CTC cable, MNL were to lay cable for the then ESAT. Ray Byrne of CIE was on leave from his full time employment and worked with ESAT.

See the Sub-Committee on Mini-CTC Signalling Project at http://www.gov.ie/committees-01/c-publi ... ebates.htm for more details on this saga. The deliberations were terminated without completion because of a legal judgement

Is it any wonder that after nearly a decade when no one from CIE was held accountable or responsible that their unlawful activities should have continued? This is the very definition of moral hazard.

Where are the arrests, trials, sentences and imprisonments?

Why look for these when we have the Greens looking after the real issues:

Full implementation of the Habitats and Birds directives
Protect Tara and other landscapes by designating them as Landscape Conservation Areas
We will actively promote new sites for acceptance onto the UNESCO World Heritage list, including Tara
We will commence a bio-monitoring programme in 2010 to measure fluoride levels
We will phase-out fur farming in three years
We will end stag hunting


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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Mon Oct 12, 2009 10:54 pm 
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Noel Dempsey refuses to take any interest in the day to day running of CIE as the sole share holder acting on behalf of the tax payer.

He has abdicated his role to provide accountability into the shambles that is CIE, unless there is a soft focus photo op of course...

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Wed Oct 14, 2009 1:11 am 
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We haven't seen even the smallest fraction of half of the waste. FAS wasn't a big deal, FAS was just the canary dying that told us we were heading towards bad stuff.

Irish citizens as yet unborn will be sick of the Tribunals that come out of all of this.
I suspect we'll never know the true scale of what went on, and is still going on.

-Rd

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Wed Oct 14, 2009 9:03 am 
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daltonr wrote:
We haven't seen even the smallest fraction of half of the waste. FAS wasn't a big deal, FAS was just the canary dying that told us we were heading towards bad stuff.

Irish citizens as yet unborn will be sick of the Tribunals that come out of all of this.
I suspect we'll never know the true scale of what went on, and is still going on.

-Rd


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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Wed Oct 14, 2009 9:22 am 
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Anyone here buy weekly/monthly DART tickets? Mine stops working after one or two uses (I was told "It's because it gets too near your mobile phone") and I have to use the manual ticket-checking barrier, along with half the other passengers whose tickets don't work. This provides something to do for the dozen or so blokes hanging round Pearse / Connolly who don't appear to have any other function (sometimes they don't work the door properly and people get caught; it's quite unpleasant when it happens to you) – it could be tinfoil hat time but I'm convinced they've deliberately made crappy tickets that don't work in the machines so the sheer amount of underemployed goons in the station is not so obvious.


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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Oct 18, 2009 8:27 am 
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Key audit posts left vacant as CIE scandal erupted -> http://www.independent.ie/business/iris ... 17166.html

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Two out of four positions on a key CIE board committee remained vacant for six months recently, despite the alarm bells ringing in directors' ears about huge losses and widespread malpractices at its subsidiary, Iarnrod Eireann.
While investigators were probing allegations of fraud, collusion with contractors, false documentation and theft at Iarnrod Eireann, its parent CIE failed to fill the vacancies in the audit committee to whom the investigators were reporting. One of the positions had been vacant for 18 months and still remains unfilled.

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Oct 18, 2009 9:08 am 
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CIE follows the FAS road -> http://www.independent.ie/business/iris ... 17175.html

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Iarnrod Eireann's parent board -- CIE -- has known for some time that all was not well down at the semi-state depots. After internal inquiries had unearthed skulduggery, the directors decided to commission their own top secret report.

And they intended it to remain top secret.

The directors did not give the hush-hush report from consultants Baker Tilly Ryan Glennon to their shareholder, Transport Minister Noel Dempsey. They did not even tell him about its existence.

Last week, my colleague Nick Webb and I stumbled upon leaks from the report. Their publication ignited some of the dynamite that had been relayed to us.

When Noel Dempsey read the Sunday Independent's revelations he appears to have been taken aback. Last Monday, he asked CIE for a copy of the Baker Tilly report. CIE agreed to hand it over.

And well they might.

The report finds that looting of sleepers was widespread down at Iarnrod Eireann; but looting of sleepers is only in the halfpenny place. Far bigger sins have emerged elsewhere in the semi-state joint, namely that the methods of awarding many Iarnrod Eireann contracts are rotten. Procurement rules have been breached by the bucketful. As a result, Baker Tilly conservatively estimates that around €9m has already been lost.

Baker Tilly are not tactless enough to remind the board that CIE received a government subsidy of €321m last year. Not to mention the minor matter of the extra €600m given to it under the National Development Plan. CIE is not subject to the Freedom of Information Act. It is protected. Its attitude to questions from the Sunday Independent has been unhelpful.

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Nov 01, 2009 10:27 am 
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CIE's story of secrecy and evasion -> http://www.independent.ie/business/iris ... 30407.html

Quote:
As a member of the committee, I asked the good doctor how much the report cost. The reply shot back: "The figure was roughly €50,000."

Which seemed reasonable value, but a little wide of the mark.

After Lynch's reply, there was a rapid whisper from the CIE spinner on his left. Dr Lynch moved swiftly to correct himself.

"Excuse me, I am told the figure is €450,000."


Perhaps he ought to have known.

It must have been a peach of a report. The cost probably sets a new Irish record.

Back in 2007, Irish Rail wanted to find out how bad the racket in its procurement arm was. So it asked consultants Baker Tilly to do the gig.

Baker Tilly did what they thought they had been told to do. And they did it exceptionally well. Indeed it appears that they were overenthusiastic. In a late draft of the report in May 2008, their total assessment of historic loss at Irish Rail -- as a result of the flood of malpractices -- was €8.7m. Irish Rail told them that they had gone beyond their remit. Irish Rail settled for a lesser figure of just €2.6m, claiming that they had never meant their hired consultants to do so much unnecessary work!

They dismissed Baker Tilly's €8.7m assessments of losses as "guesstimates".

So the €8.7m figure for losses "disappeared". The only figure that eventually appeared in the final report was the lesser €2.6m number -- the amount of proven losses.

It is difficult to prove losses at Irish Rail because so much of the documentation is missing.

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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Nov 01, 2009 10:54 am 
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At any other time this would be front page news & heads would roll.

But now.... :roll:

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"Mr Kelly said Ireland’s “reputational capital” had been damaged by “chancers” such as ex-Anglo Irish Bank chairman Seán FitzPatrick, who had been abetted by “buffoons” such as former financial regulator Patrick Neary, Minister for Finance Brian Lenihan and the Taoiseach." - Irish Times 13th Jan 2009

"If you can't be a good example, then you'll just have to be a horrible warning." (Catherine Aird)


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 Post subject: Re: Kickbacks, waste and bogus orders costing CIE millions
PostPosted: Sun Jul 29, 2012 7:49 pm 
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Shane Ross: Leo carjacked by CIE cabal -> http://www.independent.ie/opinion/colum ... 82553.html

Quote:
Last week CIE spinners, paid handsomely out of the taxpayers' €278m subsidy, were dressing up CIE's self-inflicted insolvency with platitudes. It was all down to "the recession and rising fuel costs".

When costs are cut, these guys should be first for the firing squad.

Nothing is ever the fault of CIE and its management. The guys are paid six-figure sums for running the company into the ground. Of course, the CIE spin is that they must be paid these vast salaries. Otherwise we might lose them to the, er... competition.

The local competition, in the few places where it is allowed, would not touch them with a barge pole. No overseas recruitment agent has been sighted within spitting distance of a CIE office since the foundation of the State.

But back to the dark side.

What the spinners will not tell you is that CIE and its three subsidiary companies failed to produce accounts on time this year. And not for the first time .

Semi-state companies are allowed six months to produce their accounts, far longer than publicly quoted companies -- which are allowed four months. This year CIE once again failed to provide audited figures on time. They are now a month past their already generous six-month deadline.

This year, CIE did not simply flout the rules. Instead it sought another three months breathing space from Minister for Transport Leo Varadkar.

Astonishingly Leo, against all his instincts, gave them the extension. It was a mistake. Insiders say that it was granted because the limping invalid of the State sanatorium did not want its banks to see the dire state of its finances.

The accounts contain details of the State company's lamentable 2011 performance. We know that the situation at CIE is hopeless. Did they want to hide the true state of their finances from their creditors? They were right up against their €105m overdraft -- not to mention their €278m subsidy.

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CIE understood to be increasing fares by 6% -> http://www.newstalk.ie/2012/news/cie-un ... ares-by-6/

Quote:
It is understood CIE is proposing to increase its fares by an average of 6% next year.
The company runs Irish Rail, Dublin Bus and Bus Eireann.
It is currently in talks with the National Transport Authority (NTA) about fare prices for 2013.

source


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