The Irish auditors to Turkish company Gama Construction have resigned citing the refusal of the company to furnish certain information.
One of the State's largest accountancy firms, PricewaterhouseCoopers (PwC), has been acting as auditors to Gama Construction Ireland Ltd since the company filed its first accounts in 2001.
However, this week it sent a letter to the directors of the company announcing it was resigning and giving its reasons. The letter was filed in the Companies Registration Office earlier this week, as required by law, and is now publicly available.
Dated May 20th, 2005, the letter opens by saying the auditors wish to refer to the meeting of a day earlier, May 19th, and then confirms PwC's resignation as auditors to Gama Construction Ireland Ltd.
"We confirm the circumstances connected with our resignation which we consider should be brought to the notice of members or creditors of the company, namely that we sought information and explanations from the company in relation to alleged breaches of employment rights in respect of Turkish workers who are employees of Gama Endüstri Tesisleri Imalat Ve Montaj A S [ Gama Turkey] on secondment to the company.
"The company did not furnish us with all of the information and explanations which we sought. The company advised us that such information and explanations were not within the company's possession or knowledge and that these were matters for Gama Turkey."
Neither the auditors nor the construction firm would comment on the development yesterday. The company has for the past number of months been at the centre of a row over allegations that it grossly underpaid its Turkish workers.
Up to 300 of Gama's Turkish workers began an unofficial strike some weeks ago, claiming they were paid between €2 and €3 an hour for an 80-hour week.
The workers also alleged that further money was being paid by the company into bank accounts in Holland that was in the names of the Gama workers, but about which they had no knowledge.
Meanwhile, talks were continuing last night between management and unions at the Labour Court.
Labour Court chairman Kevin Duffy invited representatives of both sides to separate meetings on Wednesday with a view to arranging a formal investigation at the earliest opportunity. The talks resumed yesterday.
A Siptu spokesman said the talks were ongoing and he did not think there would be an immediate outcome.
A Gama spokeswoman also said talks were continuing.