THE board of Horse Racing Ireland has backed the reappointment of Brian Kavanagh for a third term as chief executive of the semi-state body.

Kavanagh's reappointment caused controversy as it appeared to breach Government guidelines which recommends that semi-state CEOs serve just one seven-year term. Although Kavanagh came through an interview process before serving a second term, his position was not advertised prior to his latest reappointment.

It later emerged that HRI chairman Joe Keeling had presented the case for Kavanagh's reappointment to two Government ministers who approved the request on the understanding that the HRI board backed the move. However, some board members were unhappy that the matter had not been discussed in advance at board level. They claimed that the Ministers had been misled and due process had not been followed.

In a statement released on Tuesday evening, the HRI board "expressed regret that this matter has become the subject of public concern."

The board refuted suggestions that the chairman intentionally misled the relevant Government departments with regard to the CEO appointment process. "Dating back to 2011 the then board mandated the then HRI chairman to advance outstanding matters regarding the resolution of the CEO’s contract and any related matters. This issue was transferred to the new chairman, Mr. Joe Keeling, on his succession to office in March 2013."

The Board said that Keeling's actions and intentions reflected its views regarding the CEO’s contract. "It also recognised that a more collegiate approach would have improved the process, but were fully agreed that there was no intention to incorrectly inform the Minister or that the board’s views had been misrepresented."

At today's meeting the board confirmed it is satisfied that "the best result for HRI and the industry has been achieved with the successful completion of the new CEO contract."

There had been speculation earlier in the day that Keeling was on the brink of stepping down from his position.

MINISTER COMMENTS

Addressing the Dáil’s Agriculture Committee on Tuesday night, Minister Creed said: “The appointment of the CEO is a matter for the board of the HRI. The chairman came to me seeking the necessary consent. I am advised by the HRI it has full support in the CEO.

“The HRI is happy that necessary statutory provisions have been observed ... the chairman of HRI has acknowledged, prior to the submission of the request of consent, that he should have asked the board.”

The Minister said he “would have preferred if the sequencing was different.” He added: “They should have had a discussion at board level before ministerial consent was sought. But the appointment can only be made by the board. Just getting the consent of myself and the Minister for Public Expenditure was not enough to get him re-appointed.”

He concluded by noting that “the board is satisfied the best decision was made by the organisation.”

Questions on the matter were put to the Minster by TDs Charlie McConalogue, Martin Kenny, Willie Penrose, Clare Daly and Senator Paul Daly.

Wrapping up the session the committee said it wanted to meet the HRI board at a future date to discuss the matter in more detail.

WATCH THE OIREACHTAS COMMITTEE HEARING HERE

(SELECT AGRICULTURE SEPT 27th AND GO TO 3hr 17m)

MORE ON THIS STORY IN THE IRISH FIELD NEXT WEEKEND

BUMPER EDITION ON THE WAY THIS WEEKEND - CHECK BACK FOR MORE DETAILS LATER