Reports on allegations of improper use of public money and noncompliance with legal obligations at a largely State-funded business support agency have been sent to An Garda Síochána, the Revenue Commissioners and the Corporate Enforcement Authority.
In a letter to the Dáil Public Accounts Committee the Department of Further and Higher Education said an investigation commissioned by Skillnet Ireland had upheld several allegations that had been set out in a protected disclosure originally made in September 2023.
The department said the protected disclosure raised concerns in relation to the operation of one of Skillnet’s business networks. It said the subsequent investigation looked at 15 allegations broken down into 32 sub-parts.
The department said 10 of these were upheld by the investigation, six were not upheld and that there was insufficient information to make a finding on the remaining 16.
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However, the department said the investigation was significantly constrained in its work due to a persistent lack of co-operation.
Skillnet Ireland was established in 1999 as an enterprise-led business support agency with a core mission of increasing participation in training and enabling companies to upskill their employees. It has a budget of about €51 million this year. The Comptroller and Auditor General told the Public Accounts Committee in February that Skillnet “receives almost all of its funding from the [State’s] National Training Fund”.
The organisation operates through what are known as Skillnet Business Networks, which are focused on specific sectors or regions.
The department said each network was led by a “contracting organisation”, which are legal entities in their own right.
“The contracting organisation is typically a sectoral organisation, regional body, or industry/professional organisation and has responsibilities for addressing the skills needs of businesses within its remit.”
The Department of Further and Higher Education said in correspondence to the Public Accounts Committee the protected disclosure to Skillnet in 2023 had contained “allegations of non‑compliance with legal obligations, unlawful or improper use of public funds or resources, and concealment or destruction of information relating to these matters.”
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It said an investigation was established into the allegations in 2024. It maintained the contracting organisation for the network “engaged with the investigator through its legal representatives and did not provide the requested documentation”.
“Skillnet advise that the investigation was significantly constrained due to persistent non‑co-operation by the contracting organisation, refusal to provide key financial records [eg, bank statements], refusal of relevant individuals to participate and no statutory powers to compel evidence.
“Skillnet advised that the report’s findings were confined to what could be established on the balance of probabilities from the evidence available,” the Department of Further and Higher Education said.
“Skillnet subsequently confirmed to the department that arising from the findings of their investigation, reports have been submitted to An Garda Síochána – in respect of matters that may require criminal examination, Revenue Commissioners – in relation to matters that may indicate potential tax non‑compliance [and] the Corporate Enforcement Authority – concerning issues that may fall within their corporate governance and compliance remit.”
The Department of Further and Higher Education said Skillnet was conducting a review of its risk and compliance procedures.
“Skillnet advised that the findings and recommendations of the investigation will be incorporated into the updates/changes to its internal procedures,” it said.
In a statement on Wednesday Skillnet said it had not been informed if any of the authorities were now carrying out their own investigations into the issues raised.
It said the organisation about which allegations had been made was no longer funded by Skillnet Ireland.
