Independent Co Mayo TD Beverly Flynn has initiated a constitutional challenge to provisions of the Electoral Act 1992 which prevent a person who is a court-declared bankrupt from being a member of the Dáil.
The proceedings were mentioned today by Gerard Hogan SC, for Ms Flynn, before Mr Justice Thoams Smyth who directed they go before the Bankruptcy Court on Monday when an application by RTE to have Ms Flynn adjudicated a bankrupt is due before the court.
RTE brought the proceedings over Ms Flynn's alleged failure to pay any of the €2.84 million legal costs arising from her unsuccessful libel action against the station and its chief news correspondent Charlie Bird.
It is unclear what effect Ms Flynn's proceedings will have on how the bankruptcy proceedings are dealt with. On Monday, counsel for Ms Flynn will ask the court for direction as to how her action should proceed.
In her proceedings, Ms Flynn is contending that Sections 41 and 42 of the Electoral Act 1992 are unconstitutional. They prevent a person who is an undischarged bankrupt under an adjudication by a court from being eligible for election to, or being a member of, the Dáil.
Section 42 provides that where a member of the Dáil has been adjudicated bankrupt and where that order is not annulled within six months, the Examiner of the High Court chall notify the Dáil Chariman and thereafter a vacancy will exist in the Dáil.
Ms Flynn wants declarations that both Sections are unconstitutional, void and of no effect and also wants an injunction restraining their effect. She is also seeking damages.
In its bankruptcy proceedings, RTE is alleging that Ms Flynn has failed to pay any of the total bill of €2,848,088 which it contends is due arising from the libel action of 2001.
Efforts by RTE to enforce, via the Mayo County registrar, the costs orders made against Ms Flynn have also failed to yield payments, it is argued.
In 2001, Ms Flynn, then a Fianna Fáil TD but now an Independent deputy, lost her 28-day High Court action against RTE, Mr Bird and farmer James Howard.
In 2004, she failed in her appeal to the Supreme Court against that decision.
Both courts awarded costs against Ms Flynn which were certified in September 2005 by the High Court Taxing Master.
Ms Flynn, a former financial adviser with National Irish Bank, had alleged she was libelled in six RTE broadcasts in 1998 which reported that, as an employee of NIB, she had encouraged or assisted a number of persons in tax evasion.
In some of the broadcasts, Mr Bird had interviewed Mr Howard (71), of Acorn Way, Wheaton Hall, Drogheda, Co Louth.
In response to five questions, the High Court jury decided the defendants had not proved Ms Flynn had induced Mr Howard to evade his lawful obligation to pay tax but had proved she had advised or encouraged certain other persons to evade tax.
It also found her reputation had suffered no material injury through the material published by RTE about Mr Howard and awarded no damages.
RTE said in subsequent costs hearings that it had to interview and take statements from 60 witnesses and retain five expert witnesses for the action which created substantial costs.
It said it was also necessary to obtain discovery orders against National Irish Bank which was described as "a massive and difficult" operation.
