The Government has confirmed this afternoon that the chairman of the Flood tribunal, Mr Justice Feargus Flood, has retired with immediate effect.
Legislation will be passed in October to allow the new chairperson of the Flood tribunal to adjudicate on the issue of costs, the Taoiseach said this afternoon.
The Government had hoped to persuade Mr Justice Flood to resolve the issue of costs because of concerns about the prospect of future challenges to the tribunal arising from this issue.
Following his announcement, Mr Justice Flood, said he expected the tribunal to continue for "a couple of years. The future of this tribunal entirely depends because what it is going to achieve in fact is that if the public realise that the people who do not conform . . . . .that they should be ostracised from society. If that happens this tribunal has been a success."
He said the costs module would be difficult but "it is nothing more or less than any other module. It is just going to have to be done, it may be a bit more contentious", he said.
Today's decision follows a meeting yesterday between the Mr Justice Flood and the Attorney General yesterday.
Mr Justice Flood had written to the Government asking to resign as as chairman but to remain on as a member of the tribunal dealing with payments to politicians.
However, it was confirmed today that Mr Justice Flood will not remain as a member of the tribunal.
In his letter to the Government, Mr Justice Flood said that because the issues of costs would be "exceptionally demanding work over an extended period of time", he suggested Mr Alan Mahon, a member of the tribunal, be appointed as the new chairman and he would deal with costs.
The long-running tribunal dealing with payments to politicians has cost €26 million to date - excluding the monies for those claiming legal costs.
Mr Justice Flood steps down following five-and-a-half years and 390 days of evidence. He is 74 years of age.
The tribunal has completed just three modules of investigation in five years and has 20 more to examine.
The chairman's interim report last year found that some payments to former Fianna Fail minister Mr Ray Burke were corrupt.
