The Fianna Fáil TD for Sligo/Leitrim, Mr John Ellis, and his brother, Caillian, have paid €152,369 to farmers left unpaid after the collapse of their company, Stanlow Trading, in 1986. The company bought cattle for its meat factory in Ballintra, Co Donegal, but 80 farmer creditors were left with debts of €380,921 when Stanlow failed.
The Irish Farmers' Association said last night that the payment followed a 15-year campaign by the association. Mr Ellis reached agreement with the IFA last year to compensate the farmers. The issue has been a contentious one in the west of Ireland because Mr Ellis compensated farmers in his constituency of Sligo/Leitrim but not those in neighbouring counties.
It also emerged in 1999 that the former Taoiseach Mr Charles Haughey had advanced funds to Mr Ellis from the Fianna Fáil party leader's account to help him meet compensation demands. This enabled Mr Ellis to avoid bankruptcy, which would have caused a by-election in his constituency.