A UK software company with which the Health Service Executive signed a €56 million contract last year yesterday announced losses before tax of €562 million for the year to April.
iSoft also admitted its independent auditors felt unable to approve its accounts, in part because of an investigation into its affairs by the Financial Services Authority, details of which emerged earlier this week.
The HSE reiterated yesterday that it is continuing to monitor very closely developments in the company. It insisted there are significant safeguards built into its contract with iSoft "to protect the HSE's interests covering a range of eventualities".
To date the HSE has paid iSoft €10 million of the €56 million contract price to provide an electronic patient records system for Irish hospitals.
Despite posting huge losses yesterday iSoft said it had secured financing from its banks for the next 15 months, reviving its share price, which had plummeted by 90 per cent this year.
The company also plans to make savings by cutting 150 jobs.
The Green Party's health spokesman, John Gormley, called again on Minister for Health Mary Harney to issue a statement on the matter. However, a Department of Health spokesman said the contract with iSoft was solely a matter for the HSE.
Mr Gormley said this was "nonsense and yet another example of how the Minister tries to use the HSE to deflect unwelcome criticism from her when it suits".