Galway Bay fm newsroom - The Public Accounts Committee has raised fresh concerns over the controversial city arthouse cinema, which has opened to the public recently after a long battle.
PALAS at Merchant's Road is run by Dublin firm Element pictures, after it took over the beleaguered project from the Solas group and brought the cinema to completion.
However, members of the PAC have raised concerns over the fact that a private company is now running a business funded by the taxpayer to the tune of 8.4 million euro.
The construction of the cinema took 12 years due to being dogged by a variety of issues - including financing.
Element Pictures has invested about 1.65 million euro in the project, and will pay just €1 in annual rent for the 25 years.
The government is due to undertake a post-project review later this year once final accounts on the cinema have been completed.
Speaking at this week's PAC hearing, Galway West TD Catherine Connolly said when she was on the City Council, she and some of her colleagues found it difficult to question the project.