Ex-Peter McVerry Trust Board Faces Allegations of Prioritizing Self-Interest Over Charity

The former board of the Peter McVerry Trust is facing serious allegations regarding its management during a financial crisis in 2023. This situation will be addressed at an upcoming meeting of the Dáil Public Accounts Committee.

Key Allegations Against the Board

Francis Doherty, the trust’s former chief executive, is set to provide a critical assessment of the board’s actions. He took over leadership in June 2023, shortly before the organization faced severe financial difficulties. Just four months later, the Irish government intervened with a €15 million bailout to prevent the charity from collapsing.

Financial Mismanagement and Prioritization of Self-Interest

Doherty described the financial state of the organization as “haemorrhaging cash.” He claimed that while essential creditors struggled to keep their businesses afloat, the board prioritized payments to legal and public relations firms. This decision, he argues, compromised the charity’s ability to serve its staff and service users effectively. Additionally, he remarked that the board seemed to shift from ignorance to “self-preservation” as issues intensified in the summer of 2023.

Leadership Changes and Accountability

A new board now oversees the trust following the resignation of Deirdre-Ann Barr in February 2023, who served as chairwoman since May 2022. Since taking over, Doherty has had to navigate considerable operational challenges stemming from the board’s past decisions.

• Previous CEO: Pat Doyle, led for 18 years.
• Current CEO: Francis Doherty, appointed in June 2023.
• Government bailout: €15 million, received in October 2023.
• Recent property writedown: €23 million report released by the new board.

Insights from the Financial Reports

The Comptroller & Auditor General (C&AG) report highlights significant deficiencies in the charity’s financial management. Doherty noted that the board had assured him of their strong financial health, which proved to be misleading as the trust faced imminent collapse.

Current chairman Tony O’Brien, who has led the organization since May 2023, labeled the issues more as a result of incompetence rather than malicious intent. The next meeting of the Public Accounts Committee will further investigate the board’s priorities and the impact on the charity’s operations.