Serious financial irregularities in Galway

Started by TheGreatest, February 18, 2019, 08:21:37 AM

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Maroon Manc

#60
Galway are reporting a loss of over a quarter of a million in the latest accounts, they've had a drop in income of nearly a million mainly down to to a drop in sponsorship of over 700,000.

I'm no expert but I suspect sponsorship money has been held back given whats gone in previous year, no coincidence with Mick Culhane going for chairman given his involvement in fundraising matters; Given yesterdays statement from tribesman supporters club it would be ridiculous not to appoint Culhane.

Sorry meant fundraising not sponsorship

GalwayBayBoy

Quote from: Maroon Manc on December 11, 2019, 11:52:30 AM
Galway are reporting a loss of over a quarter of a million in the latest accounts, they've had a drop in income of nearly a million mainly down to to a drop in sponsorship of over 700,000.

I'm no expert but I suspect sponsorship money has been held back given whats gone in previous year, no coincidence with Mick Culhane going for chairman given his involvement in fundraising matters; Given yesterdays statement from tribesman supporters club it would be ridiculous not to appoint Culhane.

Sponsorship went up going this. It's fundraising that was dramatically down. Plus no concert like there was the previous year.


By John Fallon

The extent of the financial crisis in Galway GAA will be laid bare to club delegates next Monday night when a loss for the year of over €250,000 will be unveiled.

Income in Galway GAA has dropped by almost €1m after a turbulent year and while expenditure has been reduced, the drop of almost 20% in income has seen a profit last year of €373,831 turn into a deficit of €261,248 for 2019.

Yesterday's announcement by the Tribesmen GAA supporters' club that they are 'assessing its future' after being described as being 'a medium risk' in the Mazars report into Galway GAA is the latest twist in a saga which has now dragged on for a year. The supporters' club, which said it raised almost €1.2m in the past three years. said they were not consulted or briefed before the report was made public.

Two months ago, long-serving main sponsors Supermac's twice issued public statements demanding to know how their sponsorship was spent.

Outgoing chairman Pat Kearney is being challenged at next Monday night's annual convention by businessman Mick Culhane, a prolific fundraiser who has put increasing income and adopting strict procedures as the main pillars of his candidacy.

It has now emerged that the big drop in Galway's income for 2019 was in fundraising income. Sponsorship increased from €551,677 to €609,968 but fundraising dropped from €860,228 to just €144,743 following the revelations at last year's convention.

Income in 2018 was boosted by an Ed Sheeran concert at Pearse Stadium which yielded €119,085 but there was no concert this year.

Income for 2019 was €4,059,671 (down from €4,947,134), with expenditure of €4,320,919 (down from €4,573,303), leaving a deficit of €261,248 before depreciation after a surplus of €373,831 last year.

Galway secretary Seamus O'Grady, in his report, noted that it had been a difficult year but that new procedures were bow being put in place.

"I wish to thank the chairpersons of the various committees for their co-operation and work on the different projects during the year, a year that has been quite fractious and challenging for everybody involved in Galway GAA in 2019," he said.

"As reported at last year's Convention, Mazars, the international auditing and corporate finance company, carried out a review of the financial controls, policies, procedures and staffing levels in operation with the Galway County Committee, and presented their findings earlier in the year.

"Since their findings and recommendations were made known, Galway GAA, with the assistance of the GAA at Central level, has overseen a review of its financial operation.

"We are currently implementing the findings of the 2018 Mazars report, which highlighted previous governance deficiencies in Galway GAA.

"This is work in pogress and is being overseen by David Connellan from Croke Park.

"When completed it will ensure the highest standards of financial and accounting practices are in place," he added.

thebackbar1

Quote from: Maroon Manc on December 11, 2019, 11:52:30 AM
Galway are reporting a loss of over a quarter of a million in the latest accounts, they've had a drop in income of nearly a million mainly down to to a drop in sponsorship of over 700,000.

I'm no expert but I suspect sponsorship money has been held back given whats gone in previous year, no coincidence with Mick Culhane going for chairman given his involvement in fundraising matters; Given yesterdays statement from tribesman supporters club it would be ridiculous not to appoint Culhane.

Sorry meant fundraising not sponsorship
I don't recall a person from the football side of the county ever being elected chairperson of the galway county board, so Culhane is up against it to say the least

An Fhairche Abu

Quote from: thebackbar1 on December 11, 2019, 02:43:13 PM
Quote from: Maroon Manc on December 11, 2019, 11:52:30 AM
Galway are reporting a loss of over a quarter of a million in the latest accounts, they've had a drop in income of nearly a million mainly down to to a drop in sponsorship of over 700,000.

I'm no expert but I suspect sponsorship money has been held back given whats gone in previous year, no coincidence with Mick Culhane going for chairman given his involvement in fundraising matters; Given yesterdays statement from tribesman supporters club it would be ridiculous not to appoint Culhane.

Sorry meant fundraising not sponsorship
I don't recall a person from the football side of the county ever being elected chairperson of the galway county board, so Culhane is up against it to say the least
And how has that worked out for the county as a whole so far? What has the incumbent Kearney achieved during his tenure that's of any note? His opponent, who has a track record of success as both a businessman and a fund raiser has put "increasing income and adopting strict procedures as the main pillars of his candidacy", sign me up for that.
In contrast anyone who heard Kearney on GBFM after the county board scandalously edited Kevin Walsh's resignation statement could only have been left incredulous. 

Galway GAA is in bad order and if the hurling side of the county is only concerned with having one of "their own" in place given all that's occurred, then they deserve another 57 year Liam MacCarthy famine with more years on top for good measure.

thebackbar1

i agree An Fhairche Abu, it will be a very interesting election ! When Kearney was first elected he beat Kevin Clancy by a single vote, on the night every hurling club was present, every football club bar one was there :(

An Fhairche Abu

No change in Galway, Kearney stays there, vote not even close.

GaillimhIarthair

Quote from: An Fhairche Abu on December 16, 2019, 09:37:33 PM
No change in Galway, Kearney stays there, vote not even close.
Kearney was returned on a 146 - 110 vote.  Secretary & treasurer returned also.

Will be interesting to see how this plays out with Pat McDonagh in the coming months! 

Maroon Manc

It shouldn't surprise me but it does

Only in the last week we've had the supporters club issue a warning about fundraising, then there was the mammoth decrease in fundraising in the accounts and then before the delegates last night Kearney told everyone how difficult and demanding the job was yet they still voted him back in whilst ignoring one of the best candidates that will be put forward in any county. Do the hurling clubs have short memories and forgotten why O'Donoghue left?

Good luck to Shane O'Neill as he's going to need it, suspect he won't find it as easy to fund raise Joyce will.

On a separate note the treasurer appears to be doing a very good job and Galway are in a far better place thanks to him. So the country board have generated nearly 400,000 euro extra in club gate receipts to 2 years ago; You'd have to wonder how much has gone missing under previous regimes.



An Fhairche Abu

Quote from: Maroon Manc on December 17, 2019, 01:53:49 PM
So the country board have generated nearly 400,000 euro extra in club gate receipts to 2 years ago; You'd have to wonder how much has gone missing under previous regimes.
This is the most salient point to note from anything that's come out the last while.

thebackbar1

Quote from: Maroon Manc on December 17, 2019, 01:53:49 PM
It shouldn't surprise me but it does

Only in the last week we've had the supporters club issue a warning about fundraising, then there was the mammoth decrease in fundraising in the accounts and then before the delegates last night Kearney told everyone how difficult and demanding the job was yet they still voted him back in whilst ignoring one of the best candidates that will be put forward in any county. Do the hurling clubs have short memories and forgotten why O'Donoghue left?

Good luck to Shane O'Neill as he's going to need it, suspect he won't find it as easy to fund raise Joyce will.

On a separate note the treasurer appears to be doing a very good job and Galway are in a far better place thanks to him. So the country board have generated nearly 400,000 euro extra in club gate receipts to 2 years ago; You'd have to wonder how much has gone missing under previous regimes.

Why o'Donoghue left is still a mystery in my opinion, ok there had been rumors that the funding was going to be cut, but we know that wasn't true. There was talk that he had to pay for tickets for the all-Ireland, but imho that seems like a very weak reason for leaving. Interestingly none of the hurling club delegates had a cut at kearney last night. If kearney was so bad as whats been made out in social media i would of thought at least one delegate would of tackled him, note there is a lot talk that Pat Kearney is a cowboy but nothing to actually back it up, okay he will admit himself he might not be the best communicator but I haven't heard of him doing anything wrong.

I wouldn't be so sure about the treasurer myself, he performed very well in his first year, but hasn't done much of late. Galway GAA ran a quarter of a million debt this year. Okay gate receipts are up, but there was no breakdown of the figures, how much of this is down to extra matches due to championship changes, replays etc ? He reckons we need to raise 500k, but had no plan for this and wont be tackling it until after xmas, surely it was his job to keep the supporters club sweet and onboard ?



GalwayBayBoy

Quote from: Maroon Manc on December 17, 2019, 01:53:49 PM
On a separate note the treasurer appears to be doing a very good job and Galway are in a far better place thanks to him. So the country board have generated nearly 400,000 euro extra in club gate receipts to 2 years ago; You'd have to wonder how much has gone missing under previous regimes.

Think I read last night that gate receipts from club games in Galway are now the highest in the country. Maybe because they know they have to account for every penny now.

twohands!!!

Quote from: thebackbar1 on December 17, 2019, 03:33:13 PM
If kearney was so bad as whats been made out in social media i would of thought at least one delegate would of tackled him, note there is a lot talk that Pat Kearney is a cowboy but nothing to actually back it up, okay he will admit himself he might not be the best communicator but I haven't heard of him doing anything wrong.

I wouldn't be so sure about the treasurer myself, he performed very well in his first year, but hasn't done much of late. Galway GAA ran a quarter of a million debt this year. Okay gate receipts are up, but there was no breakdown of the figures, how much of this is down to extra matches due to championship changes, replays etc ? He reckons we need to raise 500k, but had no plan for this and wont be tackling it until after xmas, surely it was his job to keep the supporters club sweet and onboard ?

Kearney and the treasurer should have been gone the same day McDonagh made his statement.
There's no defending a situation where your main sponsor feels forced to make a public statement like McDonagh did, especially given all the previous issues with finances.
The fact that they Kearney won the vote to continue on in the position is just beyond stupid.




Maroon Manc

#72
Quote from: thebackbar1 on December 17, 2019, 03:33:13 PM
Quote from: Maroon Manc on December 17, 2019, 01:53:49 PM
It shouldn't surprise me but it does

Only in the last week we've had the supporters club issue a warning about fundraising, then there was the mammoth decrease in fundraising in the accounts and then before the delegates last night Kearney told everyone how difficult and demanding the job was yet they still voted him back in whilst ignoring one of the best candidates that will be put forward in any county. Do the hurling clubs have short memories and forgotten why O'Donoghue left?

Good luck to Shane O'Neill as he's going to need it, suspect he won't find it as easy to fund raise Joyce will.

On a separate note the treasurer appears to be doing a very good job and Galway are in a far better place thanks to him. So the country board have generated nearly 400,000 euro extra in club gate receipts to 2 years ago; You'd have to wonder how much has gone missing under previous regimes.

Why o'Donoghue left is still a mystery in my opinion, ok there had been rumors that the funding was going to be cut, but we know that wasn't true. There was talk that he had to pay for tickets for the all-Ireland, but imho that seems like a very weak reason for leaving. Interestingly none of the hurling club delegates had a cut at kearney last night. If kearney was so bad as whats been made out in social media i would of thought at least one delegate would of tackled him, note there is a lot talk that Pat Kearney is a cowboy but nothing to actually back it up, okay he will admit himself he might not be the best communicator but I haven't heard of him doing anything wrong.

I wouldn't be so sure about the treasurer myself, he performed very well in his first year, but hasn't done much of late. Galway GAA ran a quarter of a million debt this year. Okay gate receipts are up, but there was no breakdown of the figures, how much of this is down to extra matches due to championship changes, replays etc ? He reckons we need to raise 500k, but had no plan for this and wont be tackling it until after xmas, surely it was his job to keep the supporters club sweet and onboard ?

O'Donoghue & Walsh were told their were significant cuts to their budget.

Kearney might not be a cowboy but he should not have got back in given the calibre of his opponent, I think its a huge missed opportunity. Its not about whats he done wrong, I'd like to know what exactly has he done right? The treasurer was the instigator in sorting out the finances.

You're been naive if you don't think there was an issue with gate receipts under the previous regime, from what I can see the evidence does point towards the rumours been true.

I'd like the full time employee Mark Gotsche will be in charge of fundraising from now.









thebackbar1

How do you know that Walsh & O'Donoghue were told there was significant cuts to their budget ? Neither of them publicly stated it, and the treasurer on monday night stated that this wasn't the case, and no delegate stood up to contradict him.

The calibre of the opponent ? his opponent had plenty of business experience where you can sack an employee who isn't performing but the man had little if any experience in the non profit area where you have to bring a team along with you. I honestly don't think he was as strong a candidate as you might think.

There was an issue with gate receipts, but I would of liked to see a better breakdown of the figures, ie revenue per match figures etc.

An Fhairche Abu

How would we classify Kearney's success as a fundraiser for Galway GAA? Massive hole in the finances on this aspect for the year, blaming the early exit of the two Senior teams isn't going to entirely cut it really as an excuse given the approx €700k drop. Are we to believe that unless one of the teams make an AI final, good fundraising is going to be impossible to sustain year on year? Kearney stated that our financial systems are the "envy" of others, doubtful anyone is looking to copy Galway's fundraising system anyway.
I see from reports that Kearney made out that the relationship with Supermacs was "very, very good", I mean who is he fooling with that nonsense apart from the hurling delegates?

QuoteBrian Keville of Liam Mellows was also complimentary of the reforms brought about, but believes Galway GAA cannot simply forget their troubled past.

"Looking back at the 2017 accounts, inter-county gate receipts over the past two years have increased from €195k to €297k and club gate receipts have increased from €866k to €1.2m. With a difference of €483k in three years down to the new bosca system (tickets are purchased at a van outside the ground on match-day to eliminate cash changing hands at the turnstile), does it, unfortunately, shine a light on past practices? Until we deal with matters of the past, it is very hard to move forward with confidence."
That's from the Examiner report, I think Mr Keville is spot on with his inference to past practices, the leap in revenue is huge, are we really to suppose that the club attendances in particular have increased to match that rise in two years?

Any mention from the top table about the systemic issues requiring action that were highlighted by KW in his resignation statement? Football issues so probably not a major concern for the Galway GAA top brass that edited out reference to it in his statement in the first place.