WHITE-COLLAR crime investigations will be speeded up once the Criminal Justice Bill is enacted, the Director of Corporate Enforcement Paul Appleby said yesterday.
The Bill, which is expected to be passed before the summer recess, proposes that witnesses who are not suspects in a criminal investigation may be compelled, in certain circumstances, to give evidence.
The provision may be used to compel reluctant witnesses to co-operate with the investigation into Anglo Irish Bank by Mr Appleby’s office.
The Anglo inquiry, coupled with budget restrictions, has hampered the level of resources that the Office of the Director of Corporate Enforcement can devote to its regular caseload, Mr Appleby said.
Almost 2,000 new cases were received by the office last year, around one-third higher than in 2009, according to its annual report. Some 1,800 complaints and reports were dealt with, up 26 per cent on the year before.
The volume of reports from liquidators in respect of insolvent companies rose 50 per cent to 1,310, according to the ODCE’s annual report for 2010.
Mr Appleby’s office restricted 156 directors, up from 108 in 2009, while eight directors were disqualified, down from 12 in 2009.
The number of liquidations is expected to be “as large, if not larger” this year. “Indeed, the size and complexity of some of the companies in question seem to be increasing,” Mr Appleby said.
Staff training initiatives will result in an improved rate of enforcement activity this year, he added. To date in 2011, there have been 13 criminal charges and eight director disqualifications.
The total expenditure by the office last year, including staff pay and legal costs, was almost €3.7 million. This was down 37 per cent on 2009, as a result of a sharp drop in legal expenses.
Mr Appleby noted that 75 per cent of the 200 auditors’ reports sent to his office relate to just one offence – directors illegally borrowing from their companies above prescribed limits. Failure to keep proper accounts is cited in 12 per cent of reports.
