Dunne says he never sought tax status for stores from politicians

MR Ben Dunne told the tribunal he had never approached any politician - or had someone do so on his behalf - in order to get …

MR Ben Dunne told the tribunal he had never approached any politician - or had someone do so on his behalf - in order to get designated tax status for any Dunnes Stores developments.

Mr Dunne told Mr Michael Collins SC, for the tribunal, that he had had an involvement in the Mullingar site, which was the subject of evidence yesterday, at some time in the l980s.

He had spoken to the property developer, Mr Derry McPhillips, about putting a store in the town. Dunnes Stores had invested money in the project but it turned out to be a "messy deal" due to planning and other difficulties - and he had subsequently tried to get the company's money back.

In 1994, he no longer had an executive role in the company, but he did have a shareholding in Dunnes Stores.

READ MORE

He agreed with Mr Collins he would still have had a financial interest in the outcome of matters affecting the company.

Mr Collins said the evidence from Mr Paul McGrath TD was that Mr Michael Lowry TD approached him on the basis that it would be helpful or prudent for the future if he was to withdraw his opposition to designated tax status for the site because Mr Dunne was a substantial benefactor to the Fine Gael party.

Counsel put it to the witness that it would have been in his interest if the development had gone ahead, on the grounds that it would have benefited Dunnes Stores. Mr Dunne said that was correct.

Mr Collins: "In 1994 or indeed at any time did Mr Lowry approach you in relation to the development in Mullingar?"

Mr Dunne: "No, sir."

Asked if he had ever approached Mr Lowry in relation to that development, Mr Dunne replied: "Never, sir, and in all the development work I done for Dunnes Stores I never approached a politician as regards development or planning or anything."

He added that he had developed 20 or 30 stores for the group, and only two had had tax designation, one in Tallaght and one in Waterford. In both cases this had been organised by the developer.

Mr Collins: "And had you made any representations in relation to those particular developments concerning the granting of designated status for those areas?"

Mr Dunne: "Never." Nor had he ever asked anyone else to make such representations on his behalf, either in relation to Mullingar or any of the other developments.

Asked if he had remained in contact with Mr Lowry subsequent to his suspension from executive duties in the group, Mr Dunne said he would "bump into" Mr Lowry from time to time.

Since 1993 he would have met him between "10 and 40 times". He could not be accurate about it, but it was more than 10 and less than 50.

Asked if they met once a month, Mr Dunne said "no way". He added, to laughter in the public gallery: "I wouldn't see a lot of him. When you put it that way once a month is an awful lot of seeing somebody."

Mr Dunne also said he had no discussion with Mr Lowry about the type of approach described by Mr McGrath. Nor did he believe Mr Lowry would make such an approach without discussing it with him in advance.

Mr Collins told the tribunal yesterday it was also his intention to recall Mr Dunne to the witness box next week in relation to other matters.

The tribunal was adjourned until 10.30 a.m. today when Mr Lowry will resume giving evidence.