Self Help disagreements may threaten its funding

Minister of State Conor Lenihan has intervened in a boardroom row within one of Ireland's leading aid agencies by expressing "serious concern" at the ongoing difficulties affecting Self Help Development International.

Mr Lenihan, whose officials have given Self Help almost €10 million in grants over the past three years, yesterday hinted further funding could be threatened unless the organisation sorted out its internal problems. The agency's application for €17 million to fund its projects over the next five years is due for consideration shortly.

"I am particularly concerned in view of the significant amounts of public money that Irish Aid has allocated to Self Help programmes over the past number of years," Mr Lenihan told The Irish Times. His comments followed another stormy board meeting on Monday when four members walked out after the meeting failed to consider their proposals for corporate reform. Two weeks earlier, UCD lecturer Jim Kinsella resigned in frustration at the continuing disagreements within Self Help.

The agency, which specialises in farmer-to-farmer help for projects in five African countries, announced yesterday it was cutting its ties with the Irish Farmers' Association (IFA) after 20 years. Self Help chairman Liam Reynolds last night accused the IFA of trying to control the charity. According to Mr Reynolds, the IFA demanded that Self Help publicly endorse its pro-Irish farmer stance at recent world trade talks, against the interests of impoverished farmers in Africa.

However, the IFA itself has contacted Mr Lenihan's officials in Irish Aid to say it is withdrawing Self Help's designation as farmers' favoured Third World charity. In an internal memo seen by The Irish Times, assistant general secretary Bryan Barry accuses the agency of failing to adopt effective corporate governance. "Because of the importance of its work and the amounts of money and goodwill being provided through the IFA structure around the country, we cannot accept the closed nature of the organisation which is now run as a self-perpetuating private club," the memo states.

"It is clear from the outcome of the meeting that Self Help has no intention of progressing the core issue of good corporate governance, which is absolutely essential if the organisation is to address the widespread concerns and growing alienation of its own supporters in rural Ireland."

But Hilary McDonagh, chief executive of Self Help, pointed out that Self Help has developed a five-year plan (launched by Mr Lenihan), elected a new chairman (Mr Reynolds), appointed new directors and set up a governance committee. The one point that both sides agree on is the high quality of the agency's programmes in Africa, a point also made by the Minister yesterday.