Minister for Media Catherine Martin has said the current RTÉ board should remain in place “for now” so it can remain accountable for a failed musical that recorded multimillion euro losses.
RTE’s Toy Show The Musical recorded more than €2.2 million in losses after a season at Dublin’s Convention Centre in 2022.
An independent report into the controversy found that the musical required board approval, but it was not sought or provided, and also identified additional costs of €69,000 – bringing the total losses to €2,272,859.
Ms Martin said the report, compiled by Grant Thornton, makes for “grim reading”.
“Firstly, to say that this report does make for a very grim reading and it highlights very serious failings in governance, oversight in financial management and in the control procedures that you would expect in relation to any project of this size,” Ms Martin told RTÉ’s Morning Ireland.
“I also think it points to a really dysfunctional relationship that was there at the time between the executive and the board.
“There seems to be a clear awareness of risks to be considered, but for some reason, the focus was on the softer risks and the damage to the brand rather than, you know, musicals are a really big gamble, how competitive the Christmas season is with established events, that RTE expertise lies in broadcasting and not in live events.
“I think what we see too is information, which the board should have expected, was not provided.
“Also at some stage, information was changed from an executive meeting by the time it was forward briefed [to a board meeting], approval was never on an agenda, approval was never administered.”
Ms Martin said the five board members who were in place at the time of the RTÉ musical should remain.
She said she wants to see the board members and the executive to appear before an Oireachtas committee.
“I believe accountability is key in this and I have heard many members of the Oireachtas committees, who’ve done invaluable work in relation to the crisis that emerged in June, say they want accountability,” Ms Martin added.
“They want the board members and the executive to appear before the committee.
“If I remove the board members, firstly, that accountability is gone because there’s no onus on members, if they’re removed, to attend.
“So I’ve listened to the concerns of the committee. RTÉ is at a really critical time in relation to the development of its strategic vision, in relation to the reform, in relation to building public trust.
“I believe it’s in the best interest of the staff and the organisation as a whole and in recognition of the significant change that we have seen take place and that is ongoing.”
“What I’m saying is that, for now, I believe the current board, what is best for RTÉ, for the staff and in the public interest, is given the value of our national public service broadcaster to the public interest, that the current board should remain in place to facilitate a the ongoing functioning of the organisation.”
Further reports on RTE governance are expected at the end of February.
The report also found there was “no justification” for the way the broadcaster recorded €75,000 in advertising money and that the musical would have struggled to break even under the proposed number of shows.
The report does not publish any names and refers only to those interviewed as ‘Person 1’ through to ‘Person 26’.
Ms Martin said this decision was made for legal reasons but that the removal of people’s names from the report was a “distraction”.
“You find yourself, as you’re reading it, nearly trying to work out who was who,” she added.
“I don’t think identities can be revealed, but I have spoken to the chair and to the DG [director-general] this week, and I have been given assurance of full cooperation.
“I know that the board members themselves and those on the interim leadership team are absolutely willing to go into the Oireachtas and reveal who they were in that report.”
The RTÉ board said it has informed the Public Accounts Committee and the Media Committee that it is “happy” to attend further sessions following the publication of the Grant Thornton report into the matter.
