Payment of €30,000 to children’s hospital group was to settle accounts, not for staff party, company says

Public Accounts Committee expected to question background to payment made to Children’s Health Ireland

Aramark said in a statement on Wednesday that it 'held a concession for the running of a retail outlet in CHI'. Photograph: iStock
Aramark said in a statement on Wednesday that it 'held a concession for the running of a retail outlet in CHI'. Photograph: iStock

Retail and facilities management company Aramark has said a €30,000 payment to the group that runs children’s hospitals in Dublin formed part of a balancing of accounts and was not a contribution to a staff Christmas party.

Children’s Health Ireland (CHI) told the Dáil Public Accounts Committee in recent days – in advance of a hearing on Thursday – that the money had been received from a concession holder in Crumlin hospital in respect of the organisation’s Christmas party in 2022.

Authorities at CHI subsequently gave the money back earlier this year.

The payment had in recent months been highlighted by the Comptroller and Auditor General in his 2024 audit of CHI.

The committee had sought answers to questions about the payment and the issue is expected to be raised on Thursday when senior executives of CHI are due to appear at a hearing.

In a statement on Wednesday evening, Aramark, which owns the Avoca outlets, said the €30,000 payment formed part of a final balancing of accounts following the lifting of restrictions that had been put in place during the Covid-19 pandemic.

“Aramark held a concession for the running of a retail outlet in CHI. Retail revenues fell due to visitor restrictions during Covid. The payment was made as final reconciliation of concessions which was required arising from service interruptions caused by Covid restrictions,” the company said.

Members of the committee had asked CHI whether the concession holder had taken part in any subsequent tender processes in the group.

Direct-provision-centre operator gave €30,000 to Children’s Health Ireland party fundOpens in new window ]

In its letter, CHI said the concession holder that made the payment had taken part in a tender process for what it described as the “National Children’s Health Ireland”.

“They were not successful in that competition. The tender process was conducted in line with established public procurement procedures, and the prior contribution had no influence on the evaluation or outcome,” said the hospital group.

Aramark said on Wednesday evening that it did take part in a tender process but was unsuccessful.

CHI in its letter to the committee did not identify the concession holder.

However, at the Oireachtas health committee in March, CHI chief executive Lucy Nugent said Aramark was the contractor.

In the letter to the Public Accounts Committee, CHI said that while a review into the issue was continuing, “to date no other instances have been identified where external contributions of this nature were accepted”.

“Management is satisfied that this was an isolated occurrence,” the hospital group said.

CHI said in the letter that funding of €30,000 had been received from a concession holder in CHI Crumlin in respect of the 2022 Children’s Health Ireland Christmas party.

It said CHI Finance had invoiced the concession holder in December 2022 and that the payment was subsequently received on January 3rd, 2023, in its Crumlin income bank account.

“The €30,000 was recorded as deferred revenue within CHI accounts from 2022 – 2024. This treatment was identified during the C&AG audit review of the 2024 accounts," it said.

“Following the review, it was determined by the CHI executive and board that the acceptance of the €30,000 was not appropriate and it was determined that the amount should be returned to the concession holder. Accordingly, a credit note was issued to the concession holder in December 2025 for the full €30,000, and the deferred balance has now been cleared.”

Social Democrats TD Aidan Farrelly said on Wednesday questions remained to be answered about the payment.

“How was it arrived at? Did CHI seek the money? Did Aramark offer the money? Were there meetings held about it?” he asked.

“Why did the money remain in a CHI account for a year before it was spotted by the Comptroller and Auditor General and CHI decided it should be given back?”

Martin Wall

Martin Wall

Martin Wall is the Public Policy Correspondent of The Irish Times.