An Oireachtas committee is to inquire into the multi-million euro conference centre deal entered into by Dublin Port Company with a number of private developers.
The Joint Committee on Communications, Marine and Natural Resources was told by Dublin Port chief executive Enda Connellan yesterday, that he was "fully satisfied" the company did not breach the code of practice for State bodies, by not putting the deal out to tender.
Under the guidelines, deals involving assets worth more than €70,000 have to go to a competitive tendering process.
Mr Connellan said the envisaged centre would be on a "podium" and the 27 acre site would continue to be used as a holding bay for trucks. There would be no loss of port land.
He said the port company had entered into an agreement with the Anna Livia consortium, comprising Bennett Construction, Earlsfort Centre Developments, and Kilsaran Concrete. Port land would be "made available" if the consortium won the competition for a National Conference Centre.
Mr Connellan said a representative of the consortium had approached him with the plan and he had examined it before bringing it to the attention of the company's chairman, Joe Burke, and the board.
Tommy Broughan TD, Labour Party, said Mr Connellan and his board had "wilfully broken" the code that governed bodies such as the port company and that the deal should be cancelled.
Mr Connellan said there were a lot of misconceptions about what the code meant. He said the deal had been assessed by company management along with Arthur Cox solicitors and Hamilton Osborne King.
"The proposal was fully considered by the board and unanimously approved by the board in May 2005 subject to four factors".
These are: no diminution of the company's operational lands; ministerial consent; the consortium being successful in the competition; and compliance with all relevant regulatory and planning obligations. He said he was fully satisfied the code had been complied with, in so far as it was applicable to the deal.
Eamon Ryan TD, Green Party, asked how Mr Connellan could know the deal was the best that could be achieved, when a second bid was not sought for the site. He said he could not see the "sanity" of not seeking a second bid.
Mr Connellan said he was the chief executive and "it was a judgement call". "You may question my judgement but you may not question my integrity in this."
He was not at liberty to set out certain matters concerning the deal for commercial reasons. Committee chairman Noel O'Flynn TD, Fianna Fáil, said he was not satisfied with Mr Connellan's answers and the committee would have look at how it could get more information.
He said the committee would discuss the matter at a future meeting, in private session, and would be likely to call the Minister concerned, Pat the Cope Gallagher, and seek documentation.
The Anna Livia consortium is in competition with the Spencer Dock consortium in relation to the proposed centre. The Spencer Dock proposal is also based in the Dublin docks, on land owned by CIÉ. Mr Broughan said the points he was making in relation to the port company, could also apply to CIÉ.
Mr Connellan said the Department of Communications, Marine and Natural Resources was first informed about the potential deal in the chairman's six monthly report, in July 2004. The department was again told on February 24th, 2005, and March 31st, 2005.
