Dáil committee to scrutinise how Tusla has spent millions on ‘complex litigation'
Tusla
, is facing an investigation by the
Dáil
Public Accounts Committee
(PAC) over how millions of euro have been run up in legal costs over number of years arising from 'complex litigation' and a protected disclosure.
The costs include about €416,000 spent on a report on issues raised in a whistleblower disclosure made to the Minister for Children. The report was later quashed by the courts.
Tusla's accounts signal that the
State Claims Agency
will this year record significant additional costs arising from the same circumstances.
The chairman of the PAC,
John Brady
of
Sinn Féin
, said the amounts involved represented 'extraordinary levels of expenditure'.
READ MORE
Tusla told The Irish Times it cannot comment on legal cases.
However, some details were provided by the State's financial watchdog, the
Comptroller and Auditor General
Seamus McCarthy, and in a governance statement in Tusla's annual accounts for 2024, which have just been published.
Mr McCarthy told the PAC on Thursday that he wanted to draw attention to some matters including compensation and legal costs incurred by Tusla and the State Claims Agency in respect of four cases taken against Tusla.
He said the compensation payments to the four individuals totalled €799,000, while plaintiff legal costs of €949,000 were paid in two cases and Tusla's own legal costs incurred to date are €1.6 million.
Mr McCarthy said the legal costs of the State Claims Agency for these matters are not yet known.
The Tusla annual accounts show€848,000 was paid out in legal costs last year as well as €296,000 in legal compensation.
The accounts refer to legal settlements and costs relating to 'complex litigation cases' arising from circumstances before 2018.
In a governance statement and board members' report, it says a protected disclosure to the Government resulted in Tusla's board engaging an external investigator to look into the matter. The investigator's report was nullified by the courts following litigation.
'Tusla's own costs in relation to this action have amounted to just under €1.6 million to date,' the accounts note. This figure includes €416,000 for the third-party investigation and report.
The case was settled after mediation, with Tusla paying €200,000 damages and the State Claims Agency paying an additional €100,000 award to the individual. Legal costs have not yet been finalised, the accounts report notes.
A second case, involving 'complex' constitutional and administrative law issues, was settled via mediation with €49,500 damages paid. The other party's legal costs were €870,000, the report says.
Separately, the accounts say, two additional separate awards were made through the State Claims Agency to individuals 'arising from the same circumstances'. An award of €309,000 was made in 2025 (legal costs relating to this have not been finalised), while €140,000 was made in 2023, carrying with it a €79,000 legal costs bill.
Tusla said it 'does not comment on individual legal cases or specific settlements due to legal confidentiality, the integrity of the process and the rights of the individuals involved'.
The agency said a detailed note was provided in its annual report and financial statements.
Mr McCarthy said it was for Tusla to provide explanations to the committee regarding the issues involved.
The committee said it would seek for Tusla to appear before it in the autumn.
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