A Turkish development company accused of underpaying its employees on Irish sites is to legally challenge the validity of a Government probe into its alleged employment affairs in Ireland.
Gama Endustri Tesisleri Imalat Ve Montaj AS, Ankara, Turkey, was yesterday granted leave by the High Court to seek a judicial review of the decision of the Minister for Enterprise, Trade and Employment directing an investigation into allegations raised in Dáil Éireann by TD Joe Higgins.
Mr Justice Frank Clarke also granted the company an interim injunction preventing the release of a draft report on the investigation to anyone other than those involved in any decision to prosecute or take civil proceedings against the company.
Richard Nesbitt SC, for Gama, said the matter had already received some public notoriety. His client was a Turkish company which employed Turkish workers who would then be seconded to Gama Construction Ireland Ltd which was carrying out industrial projects in Ireland.
He said that in February in Dáil Éireann Mr Higgins had made certain allegations concerning circumstances in which Turkish employees were working here, asserting they were paid less than legally required and asked to work longer than appropriate under Irish law.
Mr Nesbitt said the Minister for Enterprise, Trade and Employment had seen fit to direct labour inspector Edward Nolan to commence an investigation into allegations by Mr Higgins.
The court heard that Mr Higgins had claimed in the Dáil that unskilled Turkish construction workers engaged in projects in Ireland were being paid between €2 and €3 per hour with somewhat more than €3 an hour being paid to skilled workers. Mr Higgins had described their alleged 80-hour weeks as "grotesque".
Mr Nesbitt said Gama Endustri had been established 35 years ago and, having successfully completed more than 200 significant projects globally including refineries, power plants, hotels and hospitals, had a high reputation as an international construction contractor.
By the end of 2004 Gama Endustri employed nearly 11,000 people including 1,315 workers in Ireland. While the company had no business or place of business in Ireland it did engage in Ireland in the secondment of employees to Gama Ireland Ltd.
By an agreement made in October 2001, Gama Endustri made available on secondment certain of its Turkish employees to work for Gama Ireland. These workers were employed under Turkish contracts of employment governed by Turkish law.
Mr Dogan Yagiz, a Turkish attorney for Gama Endustri, said in an affidavit that the investigation had been ordered and a draft report drawn up on foot of a defective administrative process. The Minister was not empowered by law to direct investigations by a labour inspector.
Mr Nesbitt said Mr Nolan had conducted in an arbitrary and unfair way a wide ranging investigation and had sought to exercise his powers of investigation for purposes other than those mandated by the legislation.
Mr Nolan had embarked on a wide ranging analysis of the business and affairs of Gama Endustri and Gama Ireland and had acted beyond his powers.
Mr Nesbitt said the Minister had no power to authorise publication of a report of the type that had been prepared by Mr Nolan, a report which, incredibly, included the use of emotive language and statements of views and feelings, matters that had no place in a factually based report.
He told the court that despite Mr Nolan having been specifically informed that the Irish company did not directly employ the Turkish workers he had stated in his draft report that no real distinction between Gama Endustri, Turkey, and Gama Construction Ireland Ltd was being taken.
Mr Nolan had also purported to determine that his draft report be circulated to a wide range of persons and bodies including regulatory authorities, the Garda Síochána and other third parties.
Mr Justice Clarke said he had been persuaded there was an arguable case to be presented to the High Court and would grant leave to seek a judicial review. He granted an interim injunction until Monday next preventing release of Mr Nolan's draft report or any report concerning his investigation to anyone save those bona fide involved in any decision to prosecute.