Celia Larkin:A £30,000 loan described by Taoiseach Bertie Ahern on Thursday as having been given to "a staff member" was given to his former partner Celia Larkin, the Mahon tribunal heard yesterday.
The loan was repaid in the last few weeks, Mr Ahern said.
The loan was highlighted on Thursday when counsel for the tribunal, Des O'Neill SC, examined withdrawals from a "building trust" account into which a donation to Mr Ahern had been lodged.
The withdrawal was made in March 1993 and was used to help buy a property in which three elderly relatives of Ms Larkin lived. The money was lodged with Patrick O'Sullivan, solicitor to Ms Larkin's relatives.
The tribunal heard that only one of the three occupants is still alive and is in her 90s, and that the house now belongs to Ms Larkin. Mr Ahern told the tribunal on Thursday that the elderly people were frightened and the matter had caused "emotional difficulties".
Yesterday Mr Ahern told the tribunal he had no knowledge that the loan was to be given from the building trust account until the "house committee", a constituency group that looked after St Luke's in Drumcondra, decided to lend the money to Ms Larkin.
Mr O'Neill said that at the time, Mr Ahern had a very close relationship with Ms Larkin.
"The relationship had nothing to do with it," Mr Ahern said. "Celia Larkin was head of our constituency office . . . known to all of the officers, known to all of the house committee . . . Her family had a difficulty and it was on that basis the officers assisted."
Mr O'Neill asked if Ms Larkin was working in St Luke's at the time of the loan. Mr Ahern said she was not, but still did organisational work for the annual fundraising dinner and worked with the house committee. The money was not given to Ms Larkin but to the solicitor representing the vendor of the house, he said.
When Mr O'Neill referred to Mr Ahern's close relationship at the time with Ms Larkin, an objection was raised by Hugh Millar, solicitor for Ms Larkin and her aunt, saying his client's private life was just that, private.
"It's neither here nor there . . . what relationship she had with Bertie Ahern," he said.
Judge Alan Mahon said the question was relevant.
"It's being put to the witness that the money was advanced to his girlfriend," Mr Millar said. The chairman replied: "There's no suggestion there is anything untoward here."
Mr O'Neill said Ms Larkin became the owner of the property in which her remaining aunt is now resident.
"Her ownership stems from the fact that funds used to acquire it . . . had their origin in the building trust account," he said.
Mr Ahern acknowledged that his own solicitor, the late Gerry Brennan, who was a member of the house committee, "could well have" acted for Ms Larkin in the purchase of the house.
Mr O'Neill asked if the interests of the trustees were protected under the arrangement by a "legal charge".
Mr Ahern said he was not sure, but he knew there had been an agreement with Ms Larkin on repayment. Mr O'Neill noted the deeds of the property did not contain "any evidence of a charge".
"He said Ms Larkin would be free to sell it without referring back to the trustees. I'm not suggesting she had that intention or anything like that," he said.
Mr Ahern said he knew the trustees were quite happy with the arrangement.
The money was repaid with interest "since Christmas", Mr Ahern said, and was lodged to the constituency account.