Board may deliver `hospital pass' to Government

So far, the only winners from the Bord na Mona saga are the legal teams on both sides and the Dublin hotels which are hosting the seemingly endless series of hoard meetings.

Another time out was called yesterday, this time at the request of managing director, Dr Eddie O'Connor, who said he wanted more time to seek legal advice.

The board of the company has been caught in a bind. The chairman, Mr Pat Dineen, and others are clearly unhappy with Dr O'Connor's remuneration arrangements. However, their legal advice has been to proceed slowly and cautiously and give Dr O'Connor every chance to respond.

But by doing so they have prolonged the whole saga and turned it into something of a media circus. Because the affair moved into the open and became so long drawn out, ii inevitably began to be fought through the media, giving Dr O'Connor cause to claim that someone was out to under a mine him.

The long delays have also raised doubts in the minds of observers about the ability of the board to agree a uniform course of action.

It is no surprise that a statement from the board yesterday expressed "extreme disappointment" at the latest postponement. Again the advice from lawyers was that Dr O'Connor should be given the time he requested to deal with a series of questions from Mr Dineen.

Dr O'Connor argues that having only received questions framed by Bord na Mona's lawyers on Friday evening, he needs more time.

The questions from the board are believed to ask Dr O'Connor how his remuneration package could be seen to relate to Government guidelines, his letter of appointment and to tax law. The board is likely to refer its findings to the Government.

As the managing director of Bord na Mona is appointed by the Government, rather than by the board, it is with ministers that the final decision will rest. Recognising that the issue will now be very difficult to conclude, the Government and Minister Lowry have so far attempted to stay out of the entire affair.

However, the issue looks almost certain to be dropped in the laps of the Government and Minister Lowry before long. The question for the board is whether they should include a recommendation on Dr O'Connor's position, or whether they just outline to the Government the facts as they have found them.

Finding a way out of the mess will not be easy. Enraged by leaks to the media particularly of the draft final Price Waterhouse report Dr O'Connor is fighting every step of the way.

He has pointed out that the copy of the draft report which appeared in the Saturday Independent was one given only to Mr Dineen.

Mr Dineen has denied leaking it and said he passed it on to the company's legal team and to Mr Lowry's Department.

To borrow a rugby phrase, the board looks set to deliver to the Government a "hospital pass" one which lands the recipient in trouble no matter which way he turns.