Receivers warned over false fee claims

RECEIVERS APPOINTED by the Courts Service will face criminal sanction if they submit false fees and expenses under an amendment to the Fines Bill 2009.

Minister for Justice Dermot Ahern said he was putting the onus on receivers to maintain a record of their fees and expenses, which would be forwarded to the Courts Service at least every six months.

He had decided to make the submission of false claims a criminal offence, with serious penalties, because misleading information had the potential to involve considerable amounts of money.

“In addition, I envisage that the contract between the receiver and the Courts Service will be drawn up in such a way that it will immediately be terminated in such circumstances.”

Fine Gael spokesman Charlie Flanagan said the message should go out from the Dáil that whatever expenses were incurred by way of professional fees, travel expenses and so on must be kept to a minimum. If a receiver decided to travel, on notice, 50 or 60 miles to visit a fine defaulter on a Monday, returning on Wednesday or Friday, there could be a situation where the expenses exceeded the fine.

He said he did not have an immediate solution to the problem, but the system should not be used as a money-making exercise for receivers.

“There are already concerns at the ease with which a revenue sheriff can clock up considerable expenses which take precedence over the sum sought in the first instance.’’

Labour’s Sean Sherlock said they must prevent situations where the cost of recovery of the fine exceeded the fine itself. “It would be dangerous to allow that type of culture to emerge.’’

Mr Ahern said it was reasonable the receiver should obtain the costs and expenses incurred in seeking to secure property in lieu of a fine.

The costs were set down in the fees’ orders and were reasonable in the circumstances, he added.