Pressure cranked up on FAI Chairman Roy Barrett last night after he admitted being recommended to the post by Bank of Ireland.
Reports last week suggested that Barrett was proposed for the vacancy by the governor of Bank of Ireland, who are the association’s largest creditor.
The bank remains the FAI’s main borrower within the €52m of liabilities they remain burdened by.
Goodbody Stockbrokers managing director Barrett confirmed to the 129 delegates participating in tonight’s emergency general meeting that the bank’s senior official Paddy Kennedy proposed his candidature to recruitment firm Amrop.
Pressed during the EGM by Mick Wallace, the MEP and founder of Wexford FC, Barrett admitted he had had a conversation with the bank’s senior official on the day he was approached by the headhunters.
It has emerged that Barrett wasn’t even on the shortlist of independent candidates drawn up by Amrop, who were charged with sourcing the infusion of external expertise.
Barrett was adamant that he was right not to declare to the FAI’s nominations committee the dealings with Kennedy on his day he was approached.
He went to say that he didn't deem it necessary either to notify Uefa or then Sports Minister Shane Ross back in January before he joined the FAI.
Barrett said: “There seems to be a conspiracy theory around it but it’s nonsense to suggest conflict of interest. It’s completely transparent and quite a normal way of business.
“I had no conversations with Patrick about the FAI’s bailout deal, only on the day I was approached by the headhunter in December and last week when this issue was raised in the newspapers.
“It is misleading if people believe that my getting approached by Amrop on the recommendation of a number of people in any way impacted me in my role to try and secure the best funding package for the association.
“All I can say, once again, is that my conscience is very clear on the whole thing.”
FAI chief executive Gary Owens, who was a colleague of his deputy FAI chief executive Niall Quinn and Barrett in the self-style Visionary Group, admitted the handling of the issue was regrettable in hindsight.
Owens told Newstalk: “If we thought about it, yes, it should have been declared. We never saw it as a conflict of interest until it came up recently.”
Members logging into the videocall overwhelmingly backed the reform measures required to release more than €30m of State funding.
Government funding had been suspended in April 2019, after the FAI entered unprecedented turmoil over corporate governance and financial issues. That meant the second instalment of the annual €2.9m (€1.45m) from last year was immediately frozen.
As part of the bailout deal signed by Barrett in January, the State boosted grants and interest-free loans conditional on structural changes being ratified by members.
Included in the updated conditions were the addition of two independent directors to split the 12-person board equally with those elected through football channels as well as a cull of 30 senior council members with 10 years of service.
In a compromise reached over the weekend, those veterans can stay on board until July 2022.
Until the reforms were passed, the FAI claimed they couldn’t draw down €10.5 million from the €40m Covid-19 relief fund ringfenced for major sports organisations.
The impact of Covid-19, such as hosting internationals without paying spectators and the decimation of their coaching course income, has compounded what was already a bleak financial year for the FAI.
Restated financial accounts for 2018, eventually released last December, showed the company had net liabilities of €55m.
Legal costs arising from a series of investigations related to the last regime continue to mount. Barrett added:
“I am entirely satisfied that I have behaved in a very transparent way with all of the stakeholders and I believe that the funding package that was achieved was as good an outcome that could be achieved in the circumstances and probably better than most people would have expected in a time.
“It's been a difficult process, a bruising process, there has been lots of debates and discussions.
“The outcome of all of that was the votes that were taken this evening.
“Ninety four percent of the people who voted feel that, on balance, they are fundamentally the right reforms for the association.
“Maybe it's a good thing because I haven't been part of this organisation for long.
“There seems to be a history where people aren't encouraged to speak their mind or express their views. I've no issue with people want to be critical of me and what I do, I accept their entitlement.
“All I am going to do is to continue to do the best I can for the organisation. I've no doubt, given what I experienced in the last couple of months, a lot of stuff is going to come in for criticism. I don't agree with all of the criticism.
“Hopefully, the Government funding will start being released next week.”
FAI President Gerry McAnaney admitted his board would discuss the latest controversy around Barrett next week.
