Police in the North are considering a request to investigate issues around the mistaken payment of Covid relief funds.
Three Sinn Féin activists have resigned after it emerged there was a delay in repaying unsolicited £10,000 (€11,000) grants which were wrongly paid into party accounts.
MP and MLA constituency offices were not eligible for the small business support grants scheme announced by Economy Minister Diane Dodds (DUP) earlier this year.
However, payments were sent automatically to any firm in receipt of small business rate relief.
The Department for the Economy said 24,700 grants were paid out under the scheme. Of those, 2 per cent (452) may not have been eligible.
It has since recouped 70 of those payments and work is under way to recover all ineligible payments.
These public monies should have been returned immediately as no political offices qualified for this grant. The fact that this did not happen is unacceptable.
We view this very seriously and have taken decisive action. As leader I acknowledge and apologise for these failures. https://t.co/5PHB82eiJx— Mary Lou McDonald (@MaryLouMcDonald) October 29, 2020
The grants paid into the Sinn Féin accounts were not paid back until earlier this week.
Sinn Féin president Mary Lou McDonald said the “failure to immediately return grants erroneously paid into Sinn Féin accounts is a most serious situation”.
“As party leader I wish to acknowledge and apologise for these failures,” she added.
Ms McDonald said she has accepted the resignation of three party activists including former Foyle MP Elisha McCallion and officials in Upper Bann and West Tyrone.
In a separate statement, Ms McCallion said she has also resigned from the Seanad.
“I fully accept that as a named signature on the account that I should have taken extra steps to verify this situation before it was brought to my attention on Tuesday,” she said.
“I apologise unreservedly for the poor judgement I showed in relation to this and therefore, last night, I spoke to the party leader and tendered my resignation as a member of Seanad Éireann with immediate effect.”
DUP landlord
Meanwhile the DUP is investigating whether a landlord it rents a constituency office from received the Covid relief cash meant for struggling businesses.
DUP leader Arlene Foster said: “If a landlord received money that it shouldn’t have, then it should be returned, and if it hasn’t, the Department of Finance should pursue that money.”
DUP MLA Gary Middleton said he has written to PSNI Chief Constable Simon Byrne to ask for police to investigate whether “a potential offence” may have been committed.
“The police need to examine if failure to return these grants for almost seven months – especially if it was a conscious decision on the part of those involved – constituted a criminal offence,” he said.
“I have written to the PSNI asking them to investigate whether a breach of the law took place under Section 24A of the Theft Act and subsequent amendments to it including the offence of retaining a wrongful credit.
“It is important that this is investigated in a robust and appropriate fashion to uphold public confidence.”
A PSNI spokeswoman said: “We can confirm a communication was made to the Chief Constable in relation to Covid-19 grant money.
“We are considering the matter as to whether a criminal investigation is required.”
The matter came to light this week in a series of special reports on BBC Radio Ulster’s Stephen Nolan Show.
The reports said that West Tyrone MLA Maoliosa McHugh’s office was one of the three Sinn Fein accounts which received the payment.
Mr McHugh told the programme that he had contacted party officials to make arrangements to pay the money back “quite a while ago”, adding that he received confirmation earlier this week that it had been repaid.
The Assembly’s Commissioner for Standards has been asked to investigate.
Wind turbines
It also emerged that 52 wind turbine owners were among those who received £10,000. The Department for the Economy has since ruled that sector ineligible for grants.
A department spokesman said the Small Business Grant Scheme was agreed by the NI Executive, including the decision to make an automatic payment to those businesses in receipt of Small Business Rate Relief whose bank details were held by Land & Property Services for rating purposes.
“This was to ensure payments were made to as many businesses as possible, as quickly as possible, given the impacts of the Covid-19 pandemic on businesses,” he said.
“In this context, there was always the potential that a small number of businesses would receive the support but would not require it. The Executive was aware of this risk.”
