Cabinet faces new deadline on publishing Dunnes report

THE Government was facing a new deadline to secure the publication of the controversial Price Waterhouse report last night as…

THE Government was facing a new deadline to secure the publication of the controversial Price Waterhouse report last night as the Taoiseach admitted that he had personally approached Mr Ben Dunne for financial support for Fine Gael.

The Progressive Democrats tabled a Dail motion for next week to set up a tribunal of inquiry into the payments to politicians controversy and Fianna Fail is likely to support the move.

The initiative could cause acute embarrassment for the Government if it is forced to vote down the inquiry. To avoid this, it will seek to pre empt the motion by securing publication of the document in advance.

The Taoiseach's admission that he personally asked Mr Dunne for contributions to the Fine Gael party after he became leader in 1990 coincided with the disclosure by senior Fine Gael sources that the party received £100,000 in 1993, £50,000 in 1992 and £30,000 in 1989.

READ MORE

In his second public intervention about Fine Gael fund raising in 24 hours, Mr Bruton stated in Brussels that he had sought support as part of a fund raising drive involving up to 100 business people - of different political views and none - to assist with the huge debts which the party had faced.

Asked whether the former minister, Mr Michael Lowry, had made the approaches to Mr Dunne, Mr Bruton replied: "Not directly to my knowledge, but I have no doubt he would have had some conversations with Ben Dunne at some stage".

The Minister for the Environment, Mr Howlin, asked to respond to Mr Bruton's admission, said it was a matter between Fine Gael and Dunnes Stores. It was well known that running political parties and elections was a very expensive business, he said.

A spokesman for Democratic Left said it was no surprise. "It is well known that all of the larger parties haven canvassed business organisations for money," he added.

The Taoiseach attributed the timing of yesterday morning's admission that Fine Gael had received £180,000 from Dunnes Stores to the volume of Dail and other business on Wednesday. The party had gone back on its records that day and found the donations, he stated.

It is understood that Fianna Fail, on four occasions between 1990 and 1994, sought funding from Dunnes Stores but did not get a reply. Three unnamed Fianna Fail Oireachtas members have acknowledged, however, that they received contributions for their personal campaigns.

As the legal teams for the Government and Dunnes Stores held their second meeting last night, the Tanaiste, Mr Spring, was confident that legal difficulties surrounding the publication of the political aspects of the Price Waterhouse report could be overcome. If necessary, the Government would introduce legislation for this.

Mr Spring gave an up date to a special Cabinet meeting yesterday afternoon on the negotiations with Mrs Margaret Heffernan, chief executive of Dunnes Stores, to procure a copy of the report for publication. Afterwards he said he hoped that by next week "we would have advanced that considerably".

One of the issues in the negotiations is the question of indemnifying Dunnes Stores and accountants Price Waterhouse against any legal action in the event of publication. The Government is seeking a guarantee that an independent third party will decide what sections of the report relate to politicians and public servants.

The Government also decided yesterday to "enact and advance" the Electoral (Amendment) Bill, 1994, providing for State finding of political parties, setting limits on party, constituency and candidates expenditure in election campaigns, and requiring disclosure of donations by parties and individuals. The Government had been advised by the Attorney General's Office last June that it could not proceed with proposals to provide £2.6 million per year in taxpayers' money because it could be unconstitutional.

It is understood that the new proposals, which will be put before the Cabinet next Wednesday, will involve monies for all candidates standing for election, mixed with a party funding scheme.

Geraldine Kennedy

Geraldine Kennedy

Geraldine Kennedy was editor of The Irish Times from 2002 to 2011