Sipo concern over conduct code

The lack of a statutory code of conduct for executives and staff of State agencies is a major cause of concern, the Standards in Public Office Commission (Sipo) said today.

Publishing its annual report earlier today, commission chairman, Mr Justice M.P. Smith said a revised code of practice for state agencies, which was issued by Minister for Finance Brian Lenihan last month is not “an adequate substitute” for a statutory code.

Provision for a statutory code of conduct was made in the Standards in Public Office Act 2001, but while codes have been published for TDs, Senators, civil servants and office holders, none have been introduced for directors and employees of State agencies.

Following revelations about excessive spending by executives at the State training and jobs agency Fás, a revised Code of Practice for the Governance of State Bodes, which is aimed at ensuring that they are run transparently and with no waste of taxpayers’ money, was introduced last month.

However, in its annual report, Sipo said the new code, which makes reference to ethical standards and obligations, applies on an administrative basis only. It said that the absence of a statutory code could lead to serious difficulties in the event of a complaint against an employee or a director of as State agency under the Standards in Public Office Act 2001 and urged the Minister for Finance to address the issue as a matter of urgency.

“The question of the standard of governance of State agencies has been the subject of much public comment in the recent past; allegations have also been made about impropriety on the part of certain persons in state agencies. Rightly, there is public expectation that high standards be demonstrated by all public servants in the exercise of their functions and in the use of public resources,” said Sipo in its annual report.

“The clearly expressed intention of the Oireachtas in the 2001 Act was that codes of conduct be introduced across the public service to provide clarity about the standards of ethical conduct required. It is in the public interest that there is no further delay in introducing these codes,” it added.

According to a report into the management of Fás by the Dáil Public Accounts Committee, Fás failed to get full value for €40 million of taxpayers’ money when buying goods and services, including advertising. The report also concluded that it wasted at least €2 million.

During the enquiry, it emerged that the former director general of Fás, Rody Molloy, took 16 trips abroad in three years, and that the agency provided free flights for other board members and journalists at the State’s expense.