BORD na Mona has confirmed that it has made a second payment to the Revenue Commissioners in a settlement for taxes arrears. It was already known that there was a second settlement but the payment has now been made.

The payment followed a full revenue audit going back to 1985 after the row over the remuneration package of the former managing director, Dr Eddie O'Connor. A spokesman for Bord na Mona would not disclose the size of the settlement. However, it is understood to have been under £1 million. A large part of that payment relates to his remuneration, the rest "relates to other things" he said.

There may be further payments. The audit has not yet been completed and there are, he said "still matters to be finalised".

Dr O'Connor who resigned last month following a long and bitter row over his remuneration package which the company said breached Government guidelines, received a severance package of almost £1 million. He never accepted that he breached the guidelines.

Under the deal, Dr O'Connor does not have to repay money the board contends he owes, including £66,000 in unvouched expenses. Also, he does not have to repay any tax penalties incurred by the company in relation to his remuneration package. In return, Dr O'Connor gave up claims in respect of a bond paid by the company which would have paid him £90,000 after 10 years service or gone to his dependants in the event of his death in service.

Dr O'Connor had agreed his remuneration package, in confidence, with the then chairman, Mr Bread an Halligan. The present board had not been informed about the deal.