Callely's costs may top €500,000

Legal costs incurred by former senator Ivor Callely to be paid by the State could be up to half a million euro, the public accounts committee was told today.

Kieran Coughlan, secretary general of the Houses of the Oireachtas Commission, said Mr Callely had not yet sent in his legal costs following his successful legal action against the State, but they were expected to be “as high as €500,000”.

In July 2010, the Seanad Committee on Members Interests found Mr Callely had misrepresented his normal place of residence when claiming allowances and suspended him the house. But the High Court found that his right to fair procedures and natural justice had been breached and he was entitled to compensation of €17,000.

Mr Coughlan said this morning Mr Callely had not yet sent in his claim for legal fees. He also said the High Court ruling had been appealed to the Supreme Court.

The committee also heard that independent Senators each receive a €23,000 “party leaders’ allowance”, while independent TDs got €42,000 a year.

Deputy Sean Fleming described the payment to senators as “the best kept secret” in political life, though it has been widely reported on in the past, including by this paper.

Mr Coughlan told the committee the abolition of the Seanad would result in direct savings of €9.2 million and indirect savings of €13.3 million. Some staff costs would remain if abolition went ahead as many staff worked for both sections of the house.

The secretary general also said that for every additional day the Dáil sat, €90,000 in costs were incurred. He said the commission was anxious that when the decision was made to sit extra days, this should be taken into account. Some €3 million a year in overtime was also paid to staff because the Dáil sat after 6pm, he said.

Deputy Kieran O’Donnell said the Dáil should consider working normal hours.