Foot.ie Q&A Questions - Padraig Smith

** Please note - Questions Only, please discuss in another thread.

OK folks .... Its that time again, we have lined up another Q&A session.
We, the patrons of foot.ie are invited to compose questions for Padraig Smith - The FAI's Internal Compliance Officer.

His primary role in League matters is to oversee the financial structure and financial reporting framework of the League of Ireland. He also acts as financial expert on licensing matters. Padraig Smith joined the association in April 2007 as Internal Compliance Officer, having previously worked for Ernst & Young. Padraig will monitor the Salary Cost Protocol as part of his overall role in strengthening the financial structures in the eircom League of Ireland.

http://www.eircomloi.ie/_internal/cimg!0/gpnbyzztn4y51o

You will have a week to compose your questions below and we'll pass them onto Padraig, then he'll send back his answers and we'll post them up on the blog.

All normal message board rules apply, no abuse will be tolerated, this thread will be policed and not foul play will be permitted.

** Please note - Questions Only, please discuss in another thread.

What steps are being introduced to ensure that the financial problems that hit certain clubs last year aren't repeated?

Did all clubs stay within the 65% wage cap for the year 2008? If not can you explain why there were no consequences via licensing?

How can clubs who went into examerniship now recieve a Premier division license for the 2009 season?

How can clubs with debts in excess of €1million be granted a premier divison license for 2009?

What will the punishment for the clubs to be found paying players wages(or part of in cash) under the table. (Id like to see an imediate expulsion for the remainder of the 2009 season ,relegation to Div 1 starting with a 20pt deduction for 2010)

How can the FAI decide what an appropriate budget is for a club ,if a club has sat down and put together the figures they "know" will they will be able budget for? i.e Sligo Rovers budget had to be changed 3 times so what happened that meant we had to reduce our budget after the 1st presentation another 2 times.Was it a case the FAI wanted to see how low we would go.

How is it that a club that recenty came out of examinership(Drogheda) are allowed a playing budget thats 2k less than the team that finished 4th in the league?

How do value supporters trusts and what role can they play for LOI clubs?

Were there any early warning signs of the crises that were to hit Cork, Drogheda and Cobh and if so why wasn't there more done by the FAI to prevent those clubs getting themselves into serious trouble as there was with Galway for example?.

If Cork City had a legally binding agreement with Arkaga, which was to the satisfaction of the FAI's licencing committee, why did Cork City not simply sue Arkaga for breach of contract? If no such legally binding agreement was in place how did Cork City get a Premier licence?

The licence in The League of Ireland is based on rules passed down from UEFA. What are the main differences that apply between this licence and a European licence when a team from the League of Ireland plays in European competition and is it true that if the rules applied domestically to League of Ireland teams also applied to all European teams during the 2007/2008 season then Manchester United would not have been allowed to play in the Champion's League?

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Originally Posted by Scrufil

... is it true that if the rules applied domestically to League of Ireland teams also applied to all European teams during the 2007/2008 season then Manchester United would not have been allowed to play in the Champion's League?

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I've not heard that. Can you clarify what you mean?

I have a few questions:

1. Have you and the relevent FAI committees had to compromise in terms of compliance, i.e. let some things slide for a year because a club is in too bad a shape to fully comply, but is correcting itself?

2. Do you think that the league clubs have bought into the type of financial planning you are helping implement? How difficult is it for a club to undermine your oversight of their finances, e.g. cash payments to players?

3. What do you find most frustrating about your job?

John83 the question I posed arises from a discussion I heard on RTE radio in regards to top clubs being in debt. Manchester United in particular were mentioned.

are you going to bring in a set punishment for any club that goes into examinership and other financial infractions so that clubs know exactly what the punishment is for each offense. Therefore all clubs will be treated equally and none are above the law?

have you any suggestions how league of ireland clubs can raise attendances at games and in turn raise their incomes?

do you think the fai should be pushing it more to national newspapers and the media to get the league of ireland priorty in mindset of irish football fans (credit due for mns) more like this needs to be done?

do you find, as an fai representative, that RTE are suppourtive or make the Fai's life unreasonably hard in broadcasting League of Ireland football and would rather spend money on showing Premier League football in England?

How did Drogheda F.C. receive a premier licence this year when:

A/ The club have outstanding debts?

B/ United Park does not meet the F.A.I. criteria for premier ground regulations , e.g. 1,000 covered seats, toilet facilities.

C/ Did the F.A.I. assist Drogheda F.C. by providing money to pay players and/or staff wages???






Maria Phillips
League of Ireland Supporter.

Derry were given a licence, but within a week, have two clubs taking them to court over outstanding transfer fees. How was this allowed to happen?

How do you respond to suggestions that licencing is a farce?

All clubs received licences last year, and several - Galway, Bray, Harps, Drogheda, Cork and Cobh to name but six - experienced severe financial problems over the season. This year, all clubs bar Cobh have received a licence. How do you see the league's finances panning out this year?

What will happen to clubs who overshoot the budgets set by the FAI this year?

Why did the FAI note they could assist Cobh financially to get a licence, but then said they were obliged to help Drogheda to get a licence, spending money to improve the ground? The fact that the FAI own United Park doesn't oblige them to improve it.

Quote:

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Originally Posted by CelticTiger

Will the leagues debt of 3.5million be fully cleared this year according to Fran Gavin?
i would say so

Do you agree with me in saying that the Irish Domestic Professional league should be one of the Fai's main priorities?
yeah it definetly should

Do you think the package of 5million that the Fai put into the league is enough?,Do you think it could be more?
it'd not enough and should be way more

What is your opinion on the current structure of the league?Do you think we should change it?
no...the structure we have now should suit the league

If we were to change it,would you agree with a National League followed by 2 Regional leagues North and South?
i honestly think an all ireland league would be class...but would it work?with troubles with fans

Do you think clubs should follow Derry in an opening of a social club?
what's the social club?:rolleyes:

Are there any other sources of income you would suggest to clubs?

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well we get a lot of money from renting out our pitch (as it's astro turf) go:rolleyes: astro

why did clubs that went into examerniship cork and drogs receive a Premier division license for the 2009 season?

consider you are a drogheda utd fan padraig does your role not carry a conflict of interest??

This thread will go the same way of the Bob Breen one of a couple of years back I'll bet in that he'll either be "too busy" to respond or else he won't answer anything in any way controversial due to "confidentiality". I realise there's no question here but I don't see any other thread discussing it. I've already asked the question I'd like answered.

Will there any resources being made available to clubs administration teams to assist and equipment them to adhere to club licensing programme. I'm on about something like a task force to come onsite when clubs are in a mess like Cork City and Drogheda United in the 2008 season or a measure similar to that.

Why did the fai give Drogheda United funds, only a week after stating to Cobh Ramblers that the FAI could not be seen to help out clubs before the licences came out?

How many more clubs do you expect to to disband between now and this time twelve months?

Do ye have any plans to help out(not even financial, maybe just ideas on how to raise funds) clubs like Cobh Ramblers and others if they follow suit?

And finally, is their anybody in the F.A.I who actually earns their wages??

Why did Fran Gavin state on MNS that Galway Utd had broken the 65% salery cap only to release players and then when under sign more players, why wasn't Galway punished for this even though they were being promoted as a model club for marketing?

Despite the rules set by participation, why wasn't their any legislation governing the way clubs managed there business off the field. Because 2 clubs went into administration now are now sitting pretty Premier License, and ONLY now more stronger measures are in place when the damage is done.

Quote:

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Originally Posted by Marco

Why did Fran Gavin state on MNS that Galway Utd had broken the 65% salery cap only to release players and then when under sign more players, why wasn't Galway punished for this even though they were being promoted as a model club for marketing?

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:confused:



Do you think the league's future lies in amateur team such as Wexford Youths and Mervue? In you opinion, are full time clubs financially sustainable in the long term?

Quote:

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Originally Posted by Marco

Why did Fran Gavin state on MNS that Galway Utd had broken the 65% salery cap only to release players and then when under sign more players, why wasn't Galway punished for this even though they were being promoted as a model club for marketing?

Despite the rules set by participation, why wasn't their any legislation governing the way clubs managed there business off the field. Because 2 clubs went into administration now are now sitting pretty Premier License, and ONLY now more stronger measures are in place when the damage is done.

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We released six of our highest earners: Wes Charles, Gary Deegan, Mark Leech, Stephen O'Flynn, Regillio Nooitmeer, Derek O'Brien. We risked our very survival on this. We could have kept them and done better, and still get away without any severe punishment. Surely having these players would have got us 10 points that would have been deducted at most?

If/when do you foresee League of Ireland clubs breaking even or even becoming profitable?

In the current pre-season, we have seen examples of 'questionable' budgets being passed. Many LOI fans fear yet more financial scandals this year. Do you think there is a fundamental change required at the top level of Irish football? As in, do you think there is still too much of a "money in an envelope", or "old boys' club" attitude to ever run a truly professional league? Do you think it's more important that this attitude is replaced, and younger CEOs come in, like Richie Sadlier at Pats?

Can you access the Bob Breen list of questions?

Any chance you can answer them?

do you think licensing and perticurly financials have retained and credibility after this years licensing decisions.
and when exactly will licensing regulations kick in

Quote:

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Originally Posted by GUFCforlife

We released six of our highest earners: Wes Charles, Gary Deegan, Mark Leech, Stephen O'Flynn, Regillio Nooitmeer, Derek O'Brien. We risked our very survival on this. We could have kept them and done better, and still get away without any severe punishment. Surely having these players would have got us 10 points that would have been deducted at most?

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The point i'm trying to make is if the rules were broken then why no punishment, this goes for all clubs. Personally I think you had to do what you had to do to survive and i'm delighted that yee did. Was it the case that no legislation was in place to deal with this? Maybe i'm wrong.

When will Cobh Ramblers be recieving help from the F.A.I and why were we not granted a license when others who did wrong got theirs and do you not see this as having double standards?

Quote:

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Originally Posted by Marco

The point i'm trying to make is if the rules were broken then why no punishment, this goes for all clubs. Personally I think you had to do what you had to do to survive and i'm delighted that yee did. Was it the case that no legislation was in place to deal with this? Maybe i'm wrong.

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We were told by the FAI in early June that we were over budget so we then had to set about releasing some players. They were transfer listed half way through June, and most were gone within a month. The rest of the squad took a 12.5% pay-cut. I'm not denying we were in the wrong, cos we were. Mainly thanks to Leeson and Cousins (for signing rubbish injury prone players. Leeson later admitted that mistakes had been made.

Given the lack of credibility of licensing amongst supporters(and it appears club) do you feel it will be necessary for a team to experience a serious punishment to establish this credibility?

Do you believe that clubs are inflating off field revenue in order to give a higher level on which to basis their 65% wage cap?

Did you ever work on the Anglo audit when you were in E&Y?:D

Should fans try to second the decision of High Court Judges?

After appeal, should fans try to second guess the decision of Supreme Court judges?

What is your opinion of the contradictory responses by some LoI supporters to the outcome of recent examinership decisions? Where the outcome for Shamrock Rovers in 2005 was considered a triumph for the club and the LoI but the outcome in favour of Cork City and Drogheda Utd. was considered a backward step by some fans.

What advice do you have for football supporters who attempt to predict the outcome of cases involving football clubs in the Civil Courts?

What's the approximate total debt of league clubs at the moment?

How does it compare with the total this time last year, accounting separately for debt written off by the examinership processes Cork and Drogheda underwent?

What role had you in overseeing last years league and club finances? How would you rate your own performance and the performance of the FAI as a whole in this area?

As part of the Licensing process did anybody from the FAI or the Licensing Committee actual measure the length and width of the United Park pitch to ensure that it conforms to the minimum requirement?

The questions have been compiled and sent onto Padraig now. He has previously indicated a target of 6 March to return the answers but this may go over. Closing this thread now.

The answers to this Q&A are up on the blog now.