FAI finances: John Delaney exit package included in delayed audit
Audit was wrapping up but more time needed ‘in light of developments in recent days’
More information on the cost of John Delaney’s deal is likely to come into the public domain at the time of the FAI’s agm next month. File photograph: Ryan Byrne/©INPHO
John Delaney’s exit package will be included in a delayed examination of the Football Association of Ireland’s finances, as will its impact on the financial stability of the association.
The forensic audit, which was commissioned by Sport Ireland amid ongoing controversy at the FAI, had been entering into its final phase when Mr Delaney’s resignation from the organisation he led for almost 15 years was announced last weekend.
According to a letter sent to the Oireachtas Committee on Transport, Tourism and Sport, the firm conducting the report has now asked for more time to complete its investigations “in light of developments in recent days”.
This is understood to be a reference to the exit package agreed with Mr Delaney, with KOSI – the firm completing the report – now set to ask the FAI for more details on it. Mr Delaney’s exit package is thought to be composed of a cash payment worth about €50,000 after tax, equivalent to three month’s wages, and a significant contribution to his pension pot, which will not be accessible for some years.
He has not been indemnified against any future action arising from his time at the FAI. The package has been designed as a once-off “bullet” payment, to be paid in a single instalment, with the aim of drawing a line under the financial side of the Delaney saga from the FAI’s point of view.
The potential liability to the FAI of not doing a deal, due to commitments made to Mr Delaney in his 2014 contract, including the payment of loyalty bonuses, would likely exceed €2 million.
More information on the cost of the deal is likely to come into the public domain at the time of the FAI’s agm next month, as an addendum to the organisation’s 2018 accounts. It is understood the FAI was not made aware of Sport Ireland’s intention to send the letter to the committee.
Noel Rock TD called the delay “disconcertingly vague”.
“What new information did KOSI receive and when did they receive it? I think it’s only fair that we ask for and get answers to these questions which would underpin the fundamental question – on what basis did Sport Ireland sanction this delay?”
Sport Ireland has also asked to defer the meeting it was due to have with the committee on October 16th, in light of the delay to the report. The letter gives no indication of the new date of receipt or publication, but indicates that it could be some way off.