Bailey's company gave donations of £26,000 to Dublin politicians

Bovale Developments made political donations of £26,000 to Dublin politicians from 1989 to 1997, the Flood tribunal has been …

Bovale Developments made political donations of £26,000 to Dublin politicians from 1989 to 1997, the Flood tribunal has been told.

Building contractor Mr Michael Bailey yesterday furnished the tribunal with a typed list of around 30 individual political donations, which included payments totalling £14,100 for 1997.

The names of the recipients were not revealed, but Mr Bailey described two politicians who received £3,000 cheques made payable to cash in 1997 as "very good friends of mine".

A third politician who received a £2,500 contribution from Bovale Developments did so because Mr Bailey believed the politician had "great heart in what he was doing" for poorer areas.

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A 1989 contribution of £1,000 to Fianna Fail was acknowledged in a letter from Mr Charles Haughey. Fianna Fail and the Progressive Democrats were also named on the list as benefiting from contributions to golf classics.

According to Mr Bailey, he was surprised that a "particular" political party had solicited a donation from him as one of its female politicians had succeeded in blocking one of his proposed developments, losing the company around £600,000.

He said the donation was given nevertheless, because "I don't hold one bit of a grudge".

In 1989, Bovale Developments donated £1,200 in political payments, £800 in 1992, £4,800 in 1995, £5,100 in 1996 and a total of £14,100 in 1997. Mr Bailey said the 1997 payments were deemed to be what the company could afford at the time. Earlier, Mr Bailey described as "a mystery" two cheques totalling £6,500 which he had earlier categorised as political donations.

In an affidavit last March, the Bovale director explained the two cheques as "political contributions" but on later reviewing the list he could not explain the background to a cheque for £4,500 and a cheque for £2,000, both of which were made payable to cash.

He told the Flood tribunal he had "racked" his brains to find an explanation for the two cheques. "I know in my heart that I did not give a politician £4,500," he said.

The larger cheque, dated December 12th, 1996 was not cashed until May 23rd the following year.

"I just cannot figure that one out, it's as big a mystery to me as it is to the tribunal," Mr Bailey said.

Mr Desmond O'Neill SC, for the tribunal, later queried why this cheque had been initially lodged in the company accounts as the return of a house deposit to "C Duffy", with the entry then changed to a political donations.

Mr Bailey said he had no explanation and had no recollection of the drawing up of a list outlined in the testimony given by his sister-law, Ms Caroline Bailey.

Ms Bailey previously said she had been given a list which she believed both Mr Tom Bailey and Mr Michael Bailey had drawn up which itemised entries in the cheque journal which were to be changed to political donations. "I don't recall but I don't deny there was a list," Mr Bailey said yesterday.

The second cheque, dated June 19th, 1997, was made out for cash for £2,000 and had been stamped by the AIB branch in Finglas. Asked why he originally listed these cheques as political contributions, he said "we were trying to be sure to be sure".

Mr Bailey said he feared that the tribunal would think he had something to hide if it subsequently emerged that these cheques were political contributions.