Critics slam ‘perverse’ €7.6m prof it by men at helm of refugee hostels

A GROUP of companies – owned by three businessmen – providing accommodation for refugees amassed profits of €7.6m last year.

The amassing of so much profit from the public spend on such a sensitive social issue has been called inappropriate by campaigners. The Irish Mail on Sunday previously revealed how many of the refugee centres across the country are run by just three men – Sean Lyons, Sean Lyons Jr and Graham Carry.

The three are directors of a number of companies that operate direct provision centres.

These include: Fazyard Ltd, which runs the Elm Centre in the Montague Hotel in Laois; Rowtes Ltd, which operates The Clondalkin Towers in Dublin; Old George Ltd, which runs Georgian Court in Dublin; Oscar Dawn, which runs the Hazel Hotel refugee centre in Kildare and Mint Horizon, which runs the centre in Richmond Court Hostel in Longord.

The ultimate parent company, Gardiner House Limited, is owned by Mr Lyons Sr, who maintains a 50% shareholding in most of the companies.

The 2014 accounts for Gardiner House were filed this month and show that the group of companies retained profits of €7.6m at the end of 2014.

Oscar Dawn, Mint Horizon and another company, Alpha Dawn, were only set up over the summer and haven’t yet filed accounts.

The healthiest group company – Fazyard Ltd – had capital and reserves of €6.5m as of November 2014.

The three directors were paid €99,675 in 2014 from Fazyard Ltd – the same as in 2013.

Mr Lyons Sr also had an interest free director’s loan in 2013 from Fazyard Ltd that amounted to €231,578. In 2014, this amount stood at €38,328.

And Old George Ltd paid €500,000 in rent to the directors in 2014.

The amount of money these companies are making has been heavily criticised due to the level of State funding they receive.

The men have received more than €50m in Government funding between 2007 and 2014 to run direct provision centres.

Fazyard Ltd received €20.38m between October 2007 and December 2014; Rowtes was paid €19.9m between 2006 and 2014; while Old George Ltd received €8.3m between 2006 and 2013. The Department of Justice would not reveal how much the companies had been paid in 2014 and 2015.

Sue Conlan, CEO of the Irish Refugee Council, said: ‘At a time when most people in Ireland are still struggling with the impact of austerity, it is completely inappropriate for a few individuals to be making such profit from the public purse.

‘To do so on the back of the plight of people in need of refuge is perverse. I would have to question the contracts entered into by the reception and integration agency of the department.’

Social Democrats co-leader Catherine Murphy, said: ‘The way this Government and previous governments have gone about this is outsourcing responsibility and delivery of the services. When you do that the profit margin comes into it as it is essentially a business. People can be in these places for up to a decade – while the businesses running them are making a huge profit and receiving millions from the taxpayer.’

The first family of Syrian refugees – a mother, father and eight children – are expected to relocate to Ireland from Athens this week.

They will be staying in the Hazel Hotel in Monasterevin, Kildare – run by Oscar Dawn – and a decision on their status will be made within 10 weeks.

€50m in State funding between 2007 and 2014

‘They profit from the plight of people in need’