DR Eddie O'Connor, the Bord na Mona managing director, will come under further pressure next week when the board is to judge whether his pay package conformed with Government guidelines and tax law.
The chairman, Mr Pat Dineen, said these were now the key issues in the eight week old dispute. With the board still unhappy about the remuneration arrangements, Dr O'Connor's position remains under threat.
The board meeting will focus on whether Dr O'Connor's package conforms with the legislation governing Bord na Mona and with the terms of the managing director's letters of appointment, according to Mr Dineen.
Dr O'Connor continues to maintain that all aspects of his package were agreed with the former chairman, Mr Brendan Halligan, and that his expenses were necessary to allow him to do his job properly.
Mr Dineen, speaking after the fourth board meeting on the issue, also confirmed that the Government had agreed to indemnify the individual directors of Bord na Mona against any litigation arising out of the current dispute. He had sought the indemnity after Dr O'Connor wrote to the directors individually.
A spokesman for the Department of Transport, Energy and Communications said the indemnity had been given after taking advice from the Attorney General's office.
Full consideration of the second Price Waterhouse report has not been possible to date, as Dr O'Connor has refused to cooperate with the accountants who prepared it. Dr O'Connor has now been given until next Wednesday to meet Price Waterhouse, although it is not clear whether he will do so.
The draft final report covering the nine year's that Dr O'Connor was managing director found that his expenses ran to £585,000, out of a total package of £1.9 million. However, Mr O'Connor says this totally overstates the value of the package to him.
Mr Dineen confirmed that he had met Mr Halligan yesterday to discuss the matter. Mr Dineen said that Mr Halligan had approved the managing director's package, but not individual expenses.
Dr O'Connor said last night that Mr Halligan's comments "completely vindicate what I have been saying all along."
Mr Halligan will attend next week's board meeting and answer questions from the directors, said Mr Dineen.
