Politics

European Commission queried Hogan’s consultancy work with further clients

Commission ethics panel reviewed Phil Hogan’s plan to advise tech privacy organisation

After Phil Hogan stepped down as EU trade commissioner, he set up a consultancy firm that advises several high-profile corporate clients, drawing in revenue of at least €1 million a year. Photograph: Nick Bradshaw
After Phil Hogan stepped down as EU trade commissioner, he set up a consultancy firm that advises several high-profile corporate clients, drawing in revenue of at least €1 million a year. Photograph: Nick Bradshaw
Jack Power
Fri Sept 27 2024 - 06:00

The European Commission questioned the nature of former European Union commissioner Phil Hogan’s consultancy work with a number of current and prospective clients, following concerns over his involvement with a legal firm.

The former senior Fine Gael figure stepped down as EU trade commissioner in August 2020 in the wake of the Golfgate controversy during the Covid-19 pandemic. He later set up a consultancy firm that advises several high-profile corporate clients, drawing in revenue of at least €1 million a year.

As a former commissioner, Mr Hogan was subject to a two-year “cooling off” period where he was restricted from lobbying or other work that overlapped with his old trade and agriculture portfolios in the EU’s executive arm.

The commission’s independent ethics committee raised concerns about his work with international law firm DLA Piper in late 2021, given it specialised in international trade.

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Correspondence shows the committee warned it would likely issue a “negative opinion” about whether the consultancy work complied with restrictions. As a result, Mr Hogan agreed to cut ties with DLA Piper until the two-year transition period ended later in 2022, to ensure there was “absolutely no doubt” about his compliance with rules for former EU commissioners.

Internal documents show commission officials also queried the nature of Mr Hogan’s work for a number of other existing and prospective clients.

Mr Hogan sought clearance from the EU institution in November 2021 to take up work advising a new non-profit organisation in the tech privacy field. The organisation “will advocate for public policies that build and maintain trust among the public and businesses that online activity can be kept secure and private”, he wrote.

[ Phil Hogan consultancy work ‘breached’ lobbying rules, European Commission feared ]

Records released to The Irish Times by the commission under access to information rules redacted the name of the entity, citing commercial confidentiality.

European Commission president Ursula von der Leyen decided to ask the ethics committee to also review Mr Hogan’s plans to advise the tech privacy organisation.

In further correspondence Mr Hogan said the entity had not been launched but he expected it would be “operational” in February 2022. He would be paid “some remuneration and expenses” for the role via his consultancy firm, he wrote.

In a letter on January 25th, 2022, Dagmar Roth-Behrendt, a former senior MEP on the ethics panel, said they would need more details about the new organisation to make a ruling, as there was “no publicly available information” about the entity. She noted initial seed funding for the non-profit was to be provided by another company. The committee asked Mr Hogan to provide documents setting out the new organisation’s legal status and governance structure.

In a March 3rd response, Mr Hogan said he wished to withdraw his request for clearance to take on the organisation as a client. “I have been informed that there is likely to be a delay in the formation of the new not for profit organisation to later in 2022,” he said. “Accordingly, it is not necessary to proceed with the process any further.”

The commission also queried the scope of the former minister’s role on the “European, Middle East and Africa” advisory council of another company.

While the name of the company was redacted in records released by the commission, public filings show one of Mr Hogan’s largest clients is US banking giant JP Morgan, where he is a member of its European, Middle East and Africa council. Following clarification from Mr Hogan, the commission said it was satisfied this work was limited to “advisory services” and did not breach any rules.

Restrictions on Mr Hogan’s consultancy work were lifted in August 2022, following which he resumed work with the law firm DLA Piper. The former commissioner did not respond to requests for comment.

Jack Power

Jack Power

Jack Power is acting Europe Correspondent of The Irish Times