The Attorney General, Mr Michael McDowell SC, will present a report this morning to the Cabinet on the selection of a dormant company to operate the national aquatic centre at Abbotstown, Dublin.
Waterworld UK signed heads of agreement with Campus and Stadium Ireland Development (CSID) but took only a 5 per cent interest in Dublin Waterworld, the company which will operate the €62 million centre. The principal shareholder in Dublin Waterworld is a Co Kerry property developer and civil engineer, Mr John Moriarty. He was unavailable yesterday to comment.
Neither the Government nor the CSID board was informed of the status of Waterworld UK, which has a registered office at a solicitors' office in London, although CSID has claimed that "all appropriate due processes were followed" in the selection and added that the outcome was "entirely in the public interest".
The Government has expressed unhappiness with three CSID reports on the matter and the Tánaiste, Ms Harney, stated she would be "very concerned" about the selection of company with no apparent track record for a Government tender.
As finishing touches were put to the report last night, there was no indication about its contents.Among other issues, it was expected to address whether it was permissable under EU procurement rules to allow a letter of comfort from Anglo Irish Bank guaranteeing Waterworld UK after the elimination of rival bidders.
The Taoiseach, Mr Ahern, last night said he had not been in contact with Mr McDowell since he began work on the report 10 days ago. He said: "The action to follow will depend on what is in it. I have not had any report on it. I have not been in touch with anybody about this since last Sunday week."
Eight days before the status of Waterworld UK was disclosed by The Irish Times, its directors applied to the Companies Office in Britain for the firm to be struck off the register. A director, Mr Roger Currie, yesterday said the timing of that application was "absolutely coincidental" with media coverage about the company.
In a statement, he said Waterworld UK was the "original catalyst" of the operating team that submitted the bid in partnership with a US-owned group, NBGS International. "It was always intended and necessary that for the national aquatic centre submission, the original Waterworld UK structure would be developed and adapted to the specific requirements of the operation. The formation of Dublin Waterworld was central to these requirements."
He added: "The structure and shareholding of the company reflected the internal agreements between the involved parties."
The £4 sterling shareholding in Waterworld UK was held by a company registered in the British Virgin Islands, Ealing Trading Corp. Mr Currie said Waterworld UK was designed as a specific-purpose operating vehicle pending the mobilisaiton of a separate project, which was "long-delayed and eventually cancelled". Shares were established in an offshore company - Ealing Trading - for dispersal when trading began.
