The Tánaiste and Minister for Health has accused her own Department of "systemic maladministration" in the handling of the issue of nursing home charges. In an impassioned defence of her actions in dealing with the matter, Ms Harney said she and the Taoiseach had made statements in December on the issue "in good faith".
However, in the preparations for the Supreme Court case on the controversial issue legal advice from 1978 was discovered which showed that the basis of the payments "was not sound".
She asked why "for so long, so many ministers were kept in the dark" and said there had been "systemic maladministration" in the Department.
Calling on the House to await the report she commissioned into the history and handling of the issue, she said: "I want to know who knew what when, because the taxpayers are going to pay back at least €500 million and if this had been dealt with even five years ago, it would cost much less, because we could have legally raised the charges. And every week we can't raise these charges it's costing the health service €2.5 million."
The Minister was ending a two-hour debate on the judgment by the Supreme Court that the retrospective payments provisions of the Health (Amendment) Bill were illegal. The provisions prohibit individuals who had charges for nursing home care illegally deducted from their pensions, from suing the State.
Labour's health spokeswoman, Ms Liz McManus said that the Government knew more than two years ago that the payments were illegal, that the then minister of state for health, Mr Tim O'Malley, was at a meeting at which the issue was raised, and the then minister for health, Mr Martin, was "outside the door".
Ms Harney said that particular meeting decided to seek legal advice and she did not know why the advice was not sought. However, the issue went back to 1978. In her opening statement to the Dáil, she conceded that in the light of the judgment "and in the light of information that came to light in preparing for the hearings at the court but not available in December, I would not now characterise the levying of the charges in the way I did".
She was backed by Ms Liz O'Donnell (PD, Dublin South) who said the Tánaiste believed that "successive ministers were kept in the dark" and "there had been legal advice not given to successive ministers. That is the kernel issue."
Fine Gael's health spokesman, Dr Liam Twomey, called on the Tánaiste to clarify that she would not be using the statute of limitations for cases going back more than six years, because this was a "core issue".
Ms Harney welcomed the judgment, which had brought "clarity and finality to a matter that has been left fester for 29 years". She said the Government would pay "to the order of €500 million, as indicated by the court". She insisted that "the Government has acted responsibly and reasonably since the Attorney General provided legal advice to me on this matter last November".
Ms McManus said the decision "also points to the danger of rushing important legislation such as this Bill through the Dáil without giving members nor the public the time required to fully assess its implications".
Mr Paudge Connolly (Ind) said he had no doubt that "when people smell money, the lawyers will be delighted. Attempts to retrieve the money involved will lead to family wrangles and disputes. A quick solution which is acceptable to the people is therefore necessary."