Tánaiste and Minister for Trade, Enterprise and Employment, Mary Coughlan has refuted categorically a claim that she delayed in responding to problems at State agency Fás.
Speaking in Donegal this afternoon, the Tánaiste said she had received a report on Fás on her appointment as Minister and “acted immediately on that” by asking the Comptroller and Auditor General to carry out a further investigation.
"He awaited the PAC's [Public Accounts Committee] deliberations before that was commenced and on receipt of that that report I have acted in the provision of a new structure for Fas," she told RTÉ's News at One.
Ms Coughlan again defended her decision to award former Fás director general Rody Molloy a €1 million "golden handshake".
"I knew in my experience as a politician, in meeting with the chairman and the DG at the time that Mr Molloy was going to be very reluctant to move aside. he was of the view - a view which he is entitled to have - that he didn't do anything wrong, and following on from his interview in RTÉ, I knew that his position was untenable. It was distracting the role of Fás and it was very, very urgent he moved aside," she said.
"Equally I knew in my deliberations with him that he would not move unless he obtained an enhanced package with regard to his entitlements."
She said the package followed guidelines laid down by the Department of Finance.
"It is important to reiterate that all of this was signed off by the Department of Finance, who are the people who arbitrate on any recommendation coming from my department or any other minister, so it is well within the guidelines and well within the legislation that is set down," she said.