LEADING figures in the bloodstock industry have criticised the Government’s decision to disallow John Osborne from seeking a second term as chief executive of the Irish National Stud.

Last week the INS released a statement saying Osborne would “step down” as CEO of the stud following the end of his seven-year term.

The news shocked the breeding world and this week the Department of Agriculture told The Irish Field that Osborne “was not eligible for consideration [to be reappointed] under the competitive process, on the basis of Government policy”.

Government guidelines state that chief executives of semi-state bodies should serve no more than one seven-year term. This issue received widespread coverage last year when Brian Kavanagh was reappointed as chief executive of Horse Racing Ireland for a third term.Many observers suspect that controversy contributed to the Government taking a hard line on the Irish National Stud vacancy.

Lady O’Reilly, a former INS chairman, said: “I served as a director with John and as chairman when he was appointed CEO. There are very few as well-suited for the job or who could have done it as well as him.”

She said that the nature of the thoroughbred breeding business required continuity in such a key position. “It can take up to five years to see the progeny of a purchased stallion or broodmare reach the racecourse,” Lady O’Reilly said. “The chief executive will barely see the results of their work before their time is up.

“Also there are the connections built up over the years, the client relationships and staff loyalty. I am a shareholder myself in some of their stallions and you don’t like to see a good management team disrupted.”

Fiona Craig, adviser to Moyglare Stud whose Free Eagle stands at the INS, said: “Everyone at Goffs was talking about this during the week. The news has been greeted with shock, bewilderment and now increasing dismay.

“John took on the role of CEO when it was not only in a precarious financial position but a stud losing relevance in the international arena, mired in both unfortunate headlines and legal issues.”

“Today, only seven years later, the status of the Irish National Stud is restored, recognised and respected worldwide. Breeders like Moyglare Stud are prepared to retire top colts to the stud in the belief that their stallion careers will be deftly handled with the quiet unassuming finesse that John has brought to his role.”

Pat O’Kelly of Kilcarn Stud added: “I think it’s a big mistake to remove John from the stud. He has a good reputation and he knows the breeders. I have a share in Invincible Spirit and if the stud is seeking a replacement I would rather have someone like John buying that stallion.”

Goffs auctioneer Nick Nugent has also spoken out at the decision (see page A12).

Kildare TD and Fine Gael chairman Martin Heydon has taken a big interest in the story. He told The Irish Field: “I think it is wrong that John was deemed ineligible for consideration for the role, given the remarkable contribution he has made in the last seven years. This is a very specialised position and I believe it would have been in the best interest of the stud if he could have been considered for another term.”

The decision on Osborne’s eligibility was taken jointly by the Departments of Agriculture and the Public Expenditure and Reform. Heydon has written to Minister Paschal Donohoe on the matter.

On Thursday the INS board met to discuss the matter. Although the position has already been advertised it is believed that the level of interest has been low and a recruitment agency has been actively calling potential candidates and inviting them to apply for the job. A senior racing industry figure associated with the stud but who did not wish to be identified warned that the incoming chief executive could face some industry resentment. “They might be seen as inferior or lucky in some way, which would be very unfair on them. It will be very difficult to find someone of John’s calibre and perhaps the broader issue here is that the Government policy does not work for every semi-state body. The Irish National Stud is relatively small and doesn’t have a structure whereby there are lots of potential chief executives coming through the ranks.”