Minister ‘regrets’ hospital chairman’s failure to disclose shareholding

James Reilly defends appointee in conflict row

Minister for Health James Reilly has defended his appointment of a businessman at the centre of conflict of interest allegations to the chair of the West/North West Hospitals Group.

Noel Daly resigned last week after controversy over his failure to disclose his 50 per cent stake in a consultancy which was commissioned by the group to review maternity services in the two regions.

Dr Reilly told the Dáil today he did not know Mr Daly before appointing him. “I do not believe I had ever met him before that. Maybe I had met him, but I certainly did not know him or know of him,” he said.

“However, I was told about his curriculum vitae and the fact he had been a great servant of Roscommon, being an excellent footballer representing his county, that he had knowledge of the health service and that he would be an ideal candidate to be chair of a board.”

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Responding to questions from Sinn Féin's Caomhghin O Caolain, Dr Reilly said he was "particularly taken" with the idea of appointing a chair from Co Roscommon, as this would send a message that the group was representative of all the hospitals in the group and not just the biggest one in Galway.

Dr Reilly said he regretted the fact that Mr Daly had not declared his shareholding of the company. He said smaller contracts of this type required three tenders, but in this case this did not happen. “That is why the chief executive of the hospital group received the rebuke he did from the head of the HSE,” he said.

Mr O Caolain accused the Minister of trying to play down the conflict of interest exposed by his party in this case. “This matter is not closed with the resignation of Mr Daly and we will continue to pursue the full facts and hold the Minister and this Government to account.”

Paul Cullen

Paul Cullen

Paul Cullen is Health Editor of The Irish Times