Sinn Féin TD, Matt Carthy has described Ireland's asylum system as "utterly broken".
A review into the Management of International Protection accommodation has revealed that the state will pay an expected €1.2 billion in IPAS contacts this year.
Deputy Carthy raised concerns about profiteering and cost overruns within the system.
Speaking to Northern Sound, Deputy Carthy described the international protection system as "largely dysfunctional".
He said: "For a number of years I've been raising concerns about profiteering and cost over runs within the international protection system.
"It is largely dysfunctional, and government have overseen a crazy situation where decisions in respect of applications are taking far too long. The system is costing a literal fortune.
"There is virtually no transparency or accountability in terms of IPAS contracts. What it has meant is, a very small number of individuals and companies have made literal fortunes. In fact, people have been made millionaires overnight, while local communities have been left feeling voiceless," Deputy Carthy added.
The TD, who is Sinn Féin's justice spokesperson, claimed that there has been a "blatant disregard for taxpayers money", and called for a full review of IPAS contracts.
"Above all, we need to get on top of the overall system. Government need to ensure that if somebody comes to Ireland, and they are claiming asylum, that the application is processed very, very quickly. If people aren't entitled to be here, then we have to ensure that they leave.
"Then we need to ensure that those decisions are enforced, and above all, we need to move away from any sort of a system where taxpayers money is being used to the benefit of a small numbers of companies."
