More than €5,000 was spent on membership of the exclusive Soho House in London. However, Mazars said it saw no evidence of “adequate use” of the club over four years
The Mazars report on the RTÉ accounts is one of three major damning reports published by the government today on the embattled RTÉ.
The Mazars report has flagged a number of exchange purchase transactions where they believe there is “no valid basis for paying for these transactions through the exchange account”.
This is because the transactions were not appropriate for the exchange account and for the purposes for which it was used.
The transactions deemed ineligible for the swap account include the €150,000 payment to now-former RTÉ presenter Ryan Tubridy – who Mazars calls payments to “talent” – and €44,000 in Renault payments.
Two payments of €75,000, totaling €150,000, were described as “consultancy fees” and were reported as “promotional costs” in the RTÉ accounts.
However, this was “not consistent” with the basis for the payments, the report said.
Some of the Renault payments, which totaled €44,000, were classified as 'audience research', which was also 'inconsistent' with the basis for the payments.
Mazars also noted a payment for a canceled meeting of the Board of Directors of €2,510 and a payment of €8,054 relating to expenditure on 'office purchases'.
A total of €5,375 was spent on membership of Soho House, an exclusive club in London, for four years.
Mazars said it saw no evidence to show there was “adequate use” of the club over the four years, including closures due to the pandemic.
The Mazars report concludes that the barter account was used because no “alternative budget” was available.
RTÉ told Mazars that the money in the exchange account was under the control of the Commercial Director and that they had “their discretion as to how these balances could be used”.
An investigation into RTÉ's culture and governance also found that RTÉ management did not trust the broadcaster's board because sensitive information had been repeatedly leaked.
The review shows that board members felt that management believed they were accountable to the board. The report goes through a series of information leaks over the past few years, up until the end of last year
“A lack of trust between the board and the former executive board. Some board members told us they did not believe executives felt they should be accountable to the board.
“In contrast, some executives we spoke to believed, perhaps wrongly, that the board was a possible source of previous leaks of confidential information,” the report says.
The perceived threat of leaks may have contributed to the lack of transparency in RTÉ executives' dealings with the board. The report says research shows “this lack of transparency is a more widespread problem, with less than 20% of respondents believing that RTÉ management had been honest and open about the decisions made”.
Media Minister Catherine Martin this afternoon published reports on governance and accounting practices with national broadcaster RTÉ.
The long-awaited reports were published alongside a separate investigation into the organisation's use of off-balance sheet accounts, commissioned by RTÉ itself.
RTÉ was plunged into crisis in June last year after it admitted under-declaring fees for its star presenter and former top earner Ryan Tubridy.
A series of probing Dáil committee hearings also highlighted other concerns about the culture, governance and financial management at RTÉ and there have been several high-profile resignations of the channel's board and director.
In a statement, RTÉ Director General Kevin Bakhurst said: “We welcome the publication of the Minister's three reports and accept in principle the recommendations contained in both Expert Advisory Committees.
“We have worked closely with both committees and with Mazars since last year to provide all available information and complete the reports.
“We understand the need to restore confidence in RTÉ following a series of revelations last year and I hope it is clear that we are taking the issues that have emerged very seriously.
“The events of last year are a source of deep frustration and disappointment for all of us at RTÉ and those associated with this organisation.
“We have already implemented major reform of RTÉ and addressed many of the recommendations in the reports, and we are committed to continuing this reform process, now with the benefit of the recommendations set out in today's reports.
“We will respond formally and fully once we have taken time to fully consider the reports.”
Minister Catherine Martin will address the media this evening.
More to follow