Galway Bay fm newsroom – A tribunal has ordered AIB to pay a sacked former senior manager from Barna over 138 thousand euro after finding he was unfairly dismissed.
In making the award to Sean McHugh the Employment Appeals Tribunal said his sacking by the bank was “disproportionate”.
A branch manager in AIB’s Galway business centre, 56 year old Sean McHugh, was given 10 minutes to clear his desk and leave the building when he was initially suspended in September 2012.
He was subsequently sacked in March 2014 for an alleged conflict of interest due to his activities and role at Galway United Football Club, which was in debt to the bank.
A season ticket-holder at Galway United, he acted as licensing officer at the club in a voluntary capacity.
Mr McHugh personally sanctioned €160,000 in loans to four directors at the club, out of €180,000 loans made to six club directors.
AIB produced a figure for those combined directors’ loans for €300,000, which included €120,000 in interest accrued.
According to the Irish Examiner, the E-A-T found while the bank was ultimately culpable, Mr McHugh had contributed to his own downfall.
It said Mr McHugh “was naive, reckless, careless, and displayed a serious lack of judgement, but there was no malice”.
The tribunal concluded that there was a conflict of interest and awarded €120,000 compensation for unfair dismissal and over €18,000 for a minimum notice breach.
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