Tribunal is told Redmond chose sewerage route to help developer

Mahon tribunal : George Redmond was going to position the route of services through the Carrickmines Valley to suit the interests…

Mahon tribunal: George Redmond was going to position the route of services through the Carrickmines Valley to suit the interests of businessman Mr Jim Kennedy, it has been claimed.

Redmond would fix the line of a sewerage pipe so it would service lands Mr Kennedy was buying in Carrickmines, Co Dublin, but would not touch them, the tribunal heard yesterday.

Mr Sam Stanley, a retired land agent who worked for Mr Kennedy in the 1980s, said his client told him Redmond would have a "major influence" on the route of services. It was "crystal clear from day one" in his dealings with Mr Kennedy that Redmond was going to facilitate his requirements "in every shape and form".

Mr Stanley was then negotiating on behalf of Mr Kennedy to buy a 108-acre farm in Carrickmines from Mr Bob Tracey.

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He said Mr Kennedy boasted about taking Redmond on holidays and to expensive restaurants. He \ claimed he had "a close working relationship" with Redmond.

Mr Stanley told the tribunal that Mr Kennedy made no secret of his "close affinity" with the former official and claimed they were related by marriage. But, he added, you couldn't believe everything Mr Kennedy said.

Redmond retired from Dublin county council in 1989, before the final line of the motorway through Carrickmines was set.

Mr Stanley described Mr Kennedy as "a genius" who had made £14 million gross from land deals in the 1980s. "The man who makes that type of money knows what he's about." The image of Mr Kennedy when caught by surprise by Charlie Bird on television was not indicative of the man, according to Mr Stanley. "He was very, very brilliant. He didn't write anything down, he remembered everything. In a lot of ways, he was a genius."

Mr Stanley said he first met Mr Kennedy in 1981, when he was engaged to acquire land at Ballyowen in Lucan. This was sold two years later with planning permission for a substantial profit.

In 1984, Mr Kennedy asked him to acquire land in Carrickmines. At a meeting in a small pub in Kilcock, Mr Kennedy "jumped down off a high stool" and promised him £1 million for his services.

Mr Kennedy claimed to have a map showing the route of a proposed new sewer in the area, obtained from Redmond. According to Mr Kennedy, the map was confidential and "should be under lock and key".

With the help of Land Registry files, Mr Stanley contacted local landowners to see if they were interested in selling. Only one landowner, Mr Bob Tracey, responded positively.

However, Mr Tracey's lands were not suitable for development, according to Mr Stanley. They were land-locked, they had no drainage and most developers "wouldn't touch them with a 40-foot pole". However, Mr Kennedy didn't seem to mind: "He understood the new sewer and the motorway would look after these problems." He said Mr Kennedy made much use of the concept of injurious affection, whereby someone could claim compensation if their lands had been rezoned and a motorway prevented development on part of the property.

"It's a foolish mouse that doesn't have a second hole," Mr Stanley commented. "Jim Kennedy always left a way out."

Mr Tracey changed his mind about selling after receiving professional advice that he should have nothing to do with Mr Kennedy. However, three years later, Mr Tracey changed his mind again and decided to sell.

In March 1988, Mr Stanley obtained an "irrevocable authority" from Mr Tracey to buy the land for £540,000. He then offered to sell the land to Mr Kennedy.

It was agreed that Mr Kennedy would pay Mr Stanley £1 million, but this was later translated into a 20 per cent share of an offshore company, Paisley Park Investments, which was to buy the land.

Mr Stanley's evidence continues today.

Paul Cullen

Paul Cullen

Paul Cullen is a former heath editor of The Irish Times.