State-funded report calls for commission of inquiry into banking collapse

A commission of inquiry into the financial failure leading to the bank guarantee is being sought in a report funded by the Department of Public Expenditure and Reform.

The report, which is aimed at achieving more open and transparent governance in the State, said the commission would have a mandate to make "findings of responsibility" and recommendations as to how to prevent a repeat of the collapse. It would also have the power to refer files to the Director of Public Prosecutions.

The document advocates the establishment of a forum within two years to draft a bill of rights and responsibilities for Ireland in the 21st century. The body would consult widely and its recommendations would be put to the people in a referendum. "There is a lack of clarity over what Irish citizens are entitled to and responsible for . . . It could be useful in affirming the welfare of society over economic interests," it says.

The report was co-ordinated by the anti-corruption agency Transparency International Ireland, following a consultation process involving more than 100 participants.

A total of 62 proposals emerged from a series of public meetings. These are aimed at helping to formulate a national action plan for Ireland as part of Open Government Partnership, which was launched by US president Barack Obama in 2011. It has attracted more than 50 member countries and Ireland intends to join.

"The action plan proposals from civil society show that there is a really strong appetite for more openness and accountability at national and local level,'' said Nuala Haughey, Transparency International Ireland's head of advocacy and research.

The report says that the agenda, minutes and relevant documentation relating to government meetings should be published, adding that cabinet confidentiality was not a valid reason for failing to do so.

“While defending the right of government to have robust discussions and debate in private, there is no reason why citizens should not know the topics being discussed as well as factual information being presented to Ministers,” it adds.

Proposals on oversight
The report also calls for the introduction of a bankers' charter, outlining duties and responsibilities, and more rigorous auditing standards for banks. There should be a Financial Crimes Act criminalising reckless trading, including lending, and misfeasance in office.

"Low levels of public trust in the Government are partly attributable to the lack of accountability over the financial collapse," it adds. "These measures would restore a sense of social justice by enforcing strict standards of transparency on the Irish financial sector so that the more opaque policies of the Celtic Tiger years will not be repeated."

The report calls for scrutiny of public representatives and officials being lobbied as well as the lobbyists. It states that contact details and information relating to all paid advisers to elected representatives and political parties, especially ministers and spokesmen and women, should be published. While appointments were sometimes reported in the press, there was a lack of transparency about who they were and the roles they played.

A referendum to lower the voting age from 18 to 16 should be held next year, it says, adding that allowing teenagers to vote would get them thinking critically about politics and involved in decision- making.

The report advocates the setting aside of a percentage of local authorities’ annual budget for decisions by citizens working with officials, civil society and councillors.

Citizen involvement
"Participatory budgeting is an innovative form of democratic engagement that involves citizens in the allocation of public finances," it adds.

The European Commission president, it says, should be directly elected to give citizens a stake in the appointment, raise awareness about the commission's role and create a further level of accountability.

It urges abolition* of fees for Freedom of Information requests and access to environmental data. “The introduction of fees led to a halving of non-personal requests, including from those outside of business and journalism,” it says.