Diplomat denies paying for passports

A SAUDI ARABIAN diplomat has told the Moriarty Tribunal he is "positive" he bought a horse - or a share in a stallion - with the £50,000 (€73,076) he gave to former Taoiseach Charles J Haughey in 1985.

The tribunal has heard the money - then more than a Taoiseach's annual salary - was routed through former Ceann Comhairle Dr John O'Connell. Dr O'Connell wrote a personal cheque - made out to cash - for £50,000. This cheque, the tribunal has heard, was lodged to an account used to pay some of Mr Haughey's domestic bills.

In a letter dated December 27, 2005, Mahmoud Fustok, a US-based diplomat with extensive bloodstock interests there, told the tribunal: "Under no circumstances did any official in Ireland ask me for a financial gift or donation of any kind." He said he was "positive" the £50,000 "was a purchase of a horse or a share in a stallion that I truly do not recall. I assure you everything was proper and legal".