Smiths Detection Ireland, an Irish subsidiary of the UK- listed Smiths engineering group, has been slapped with a bill from the State for almost €1.5 million after moving its research and development function from its Cork plant.
Smiths designs high-grade airport scanners to detect explosives, weapons and other nasty stuff. Accounts for the Irish arm for the year to the end of July 2013 show it is steeped in losses here. The accumulated deficit rose from €15.9 million to a chunky €22.3 million.
Subsequent to the balance sheet date, the accounts say the company announced it plans to shift the R&D jobs from Cork to other parts of the international group, although it is keeping some service functions here.
"As a consequence of [ending its R&D] activities, the company has been notified by IDA Ireland that grants of €1.472 million are repayable . . . The company is currently in negotiations with IDA . . . [but is] not in a position to estimate with any degree of certainty if such repayments are required."
