The head of one of the North-South bodies set up under the Belfast Agreement has been suspended on full pay pending a police investigation. He has denied any wrong-doing. Gerry Moriarty, Northern Editor, reports.
Mr John McKinney, who as chief executive of Omagh District Council came to prominence after the Omagh bombing in 1998, was suspended from his post as chief executive of the Special European Union Programmes Body, it was announced yesterday.
The Department of Foreign Affairs in the Republic and the Department of Finance and Personnel in the North, which have joint responsibility for the cross-Border body, made the announcement in a joint statement.
The suspension comes in the wake of an investigation by the North's local government auditor arising from a £142,000 loan to the Fintona Regeneration Initiative (FRI) Ltd by Omagh District Council, according to the departments.
The money was authorised to pay for sand for an equestrian centre run by FRI. The loan, however, is still outstanding, and as well as the non-repayment of the sum the auditor also had concerns over an alleged failure to properly account for and monitor the delivery of the sand.
This loan is now the subject of a Police Service of Northern Ireland investigation. The PSNI said a domestic dwelling in Omagh and business premises in Fintona, Co Tyrone, were searched yesterday in connection with the investigation.
Mr McKinney was adamant yesterday that he had acted properly at all times. "There can be no foundation to any allegation against me," he told The Irish Times.
Mr McKinney was widely applauded and won an OBE for how, as Omagh District Council chief executive, he dealt with the aftermath of the Omagh bombing which claimed the lives of 29 people and twin unborn girls.
The Special European Union Programmes Body is responsible for a budget of around £900 million up until 2006.