The Dublin Docklands Development Authority (DDDA) is preparing to make "observations" to the public ethics watchdog on its involvement in a group that plans to redevelop the Irish Glass Bottle site at Ringsend, Dublin.
The DDDA said yesterday that it had received a request for such observations from the Standards in Public Office Commission, which is reviewing a complaint from environmentalist Michael Smith about its role in the €1.46 billion project.
A spokeswoman said the organisation was confident that its board "operated in accordance with a strict code of conduct" when it entered the Becbay group, which bought the Ringsend site for €412 million.
DDDA's partners in Becbay are developer Bernard McNamara, private clients of Davy stockbrokers and financier Derek Quinlan. The Ringsend transaction was backed by a €288 million loan from Anglo Irish Bank, which will provide another €898 million in development finance at a cost of €142 million.
Mr Smith raised possible conflicts of interest in relation to DDDA chairman Lar Bradshaw and non-executive director Seán FitzPatrick and their connections to Anglo Irish Bank. Mr FitzPatrick is chairman of Anglo and Mr Bradshaw is on its board.
The standards commission is believed to have asked both men for their observations on the issues raised in the complaint.
However, DDDA said in a statement that its board operates within a code of conduct which is in accordance with a strict code of conduct for governance of State bodies and general best practice corporate governance guidelines.
"It should be noted that the authority's board is made up of leading figures in the private and public sector and, as such, it is inevitable with such a large-scale and far-reaching project that potential conflicts of interest will arise from time to time. That is why the authority's code of conduct was put in place and is adhered to," the body said.
"For board meetings, there is a practice of board members excusing themselves from meetings where they perceive they have a direct conflict of interest. In other less significant cases, members advise of potential conflict so that the board is fully informed.
"The executive board is responsible for conducting the business of the authority and for approving all major issues in relation to planning and development."
