Contractors involved in the development of a village enhancement scheme project in Creeslough have issued high court summons on Doe Community Association and the Donegal County Council. 
Contractors who had been very patient in the hope the issue would be resolved amicably eventually issued legal proceedings against both organisations due to the fact they hadn’t received payment for the works carried out on the project.
Henry McFadden spokesman for The Doe Community Association told Donegal Daily that he is appalled that the Donegal County Council have done nothing to resolve the issue.
He also added he is completely baffled as to why Minister Phil Hogan who carried out an inspection deemed the group ineligible for the ‘Leader Grant’ despite the fact it was the same ministry who had initially approved the project.
Henry explained, “In 2011 Creeslough was one of the few villages that hadn’t been able to avail itself of a village enhancement scheme.
“However the community rallied together and formed The Doe Community Association with a view to improving the village and surrounding area for the benefit of all locals and visitors.
“Donegal Local Development Co. Ltd (DLDC) entered into a contract with Doe Community Association in order to provide a ‘Leader Grant’ as part of the Rural Development Programme.
“Donegal County Council then oversaw the works from tender through selection, managing progress to final completion.
Henry added, “That included those parts pertaining to Doe Community Association.
“The community had to provide funding of €225,000 in order to progress the contract.
“This was a huge task but eventually the amount was gathered thanks to a combination of donations and loans from all the local people in Creeslough.
“The grant was approved and made available to DLDC and as the works progressed part was drawn down to pay the contractor as phased payments.
“Before the final payments could be made however, the Inspection Services Division of the Minister of The Environment Phil Hogan carried out an inspection of the project.
“The same ministry that approved the project originally, their decision was that the project was ineligible!
The project was deemed ineligible on 21st June 2012 and since then appeals in August 2012, October 2012, December 2012 have all been rejected.
The appeals were dealt with by the Department of Agriculture with the final and only blame lying with Donegal County Council’s incorrect form of tendering.
The Department of Agriculture demanded Doe Community Association return of the grant money that had already been paid to the contractor.
DLDC commissioned two independent reports, the first by Arthur Cox, the second by Achilles Consultants.
These both concluded that the tendering process used was adequate for the project and that funds should be released.
Henry felt that neither the Minister of the Environment Phil Hogan and County manger Seamus Neely had any intention of resolving the issue.
He said, “The leader of Donegal County Council Seamus Neely, the Minister of The Environment Phil Hogan nor Minister of Agriculture Simon Coveney seem able or willing to resolve this matter.
“The contractors, who had been very patient, eventually, and quite rightly, have now issued high court summons on Doe Community Association and Donegal County Council.
“As a straightforward case of breach of contract we can’t see the case as defendable and expect judgement to be made against us.
“We are unable to pay the contractor his dues nor repay those locals who loaned or donated to the project.
“The grant is actually still available, held by DLDC, but Phil Hogan’s ministry will not allow it to be released.