Claims and counter claims of corruption probe

THE opening statement of the Moriarty Tribunal’s latest module investigating the awarding of the country's second mobile phone licence has revealed the following information, claims and counterclaims.

Claims and counter claims of corruption probe

March 2, 1995: Fine Gael Communications Minister Michael Lowry announced a competition for a second mobile phone licence to be assessed by a Project Group of civil servants and consultants, independent of Mr Lowry.

Six contestants enter the race and six months later Denis O'Brien's Esat Digifone got the licence.

Late March and April 6, 1995: Auctioneer and veteran Fine Gael activist, Mark Fitzgerald said Mr Lowry asked him to do a favour for Ben Dunne. He wanted to double the rent on a building he was leasing to Telecom Eireann which was within Lowry's ministerial remit.

Mr Lowry asked Mark Fitzgerald to intervene with one of his employees who was acting as a rent arbitrator. When Mr Fitzgerald refused, the Communications Minister pointed out that Ben Dunne had contributed 215,855 to Fine Gael.

April 8, 1995: Another bidder, Tony Boyle said he met financier Dermot Desmond at the Aintree races. Boyle claims Desmond told him he had been approached to chair Denis O'Brien's consortium and that he knew who O'Brien would use to get to Lowry.

Dermot Desmond denies both meeting Tony Boyle and making any of these statements. At this time Denis O'Brien also hired Fine Gael activist Dan Egan, to raise his profile within the party.

April-June 1995: Denis O'Brien allegedly gave 8,126 to various Fine Gael fundraisers, including golf classics and the Wicklow by-election fundraiser.

Mr Lowry claims he met Tony O'Reilly at the Derby and that the Independent Newspapers owner said he expected to get the second mobile phone licence. Mr O'Reilly says he did not say this and that the meeting took place a year later.

August 1995: Denis O'Brien's solicitors secured a confidential EU Commission letter giving significant information about the licence competition. Mr O'Brien says the EU Commission gave them the letter.

The independent Project Group feels the Esat Digifone bid is weak and Denis O'Brien comes to the same conclusion. Mr O'Brien starts to actively recruit Dermot Desmond as his main financial backer.

Auctioneer Mark Fitzgerald claims he met Denis O'Brien in the Shelbourne Hotel who said he had an uphill battle to keep up his profile in Fine Gael. Fitzgerald arranged for O'Brien to meet Fine Gael fixer David Austin who was organising another Fine Gael golf classic.

On August 30, the independent Project Group put Esat Digifone in third place.

September 14, 1995: Tony O'Reilly says he met the Communications Minister at the opening of the Arcon mine at Galmoy. Mr O'Reilly claims Mr Lowry told him that “you fellas” did not do too well - referring to a presentation from the consortium in which O'Reilly was involved.

Mr Lowry, who should have known nothing about the presentation because it was made to the independent Project Group, denies he made that remark.

September 17, 1995: Denis O'Brien meets Minister Lowry in a Dublin southside pub after the All-Ireland. An executive with the Norwegian company, Telenor, which was involved with Esat, has told the tribunal Denis O'Brien told him around this time that Mr Lowry suggested to him in a pub that Dermot Desmond's company IIU should be brought into the consortium.

September 29, 1995: Esat is still ranked in third place by the independent Project Group but on this date Dermot Desmond enters the Esat consortium.

October 2, 1995: The independent Project Group moves ESAT up to second place and Denis O'Brien gave Fine Gael's Dublin South East branch 761 for a lunch in the Berkeley Court and 253 for a lunch in the Westmeath branch.

October 6, 1995: Esat gave 5,078 for a golf classic organised by Fine Gael fixer David Austin - it came out of the Esat account for expenses incurred in the licence application. Mr O'Brien requested that no reference be made to him at the golf classic to be held at the K Club on October 16.

Auctioneer Mark Fitzgerald said he met Minister Lowry at the golf classic who told him Esat made a good impression with the Department and had good sites and good marketing.

October 25, 1995: Michael Lowry announced Esat had won the licence.

January 1996: Esat gave Fine Gael 63,486 through fixer David Austin's offshore account.

July 1996: Denis O'Brien paid 190,460 to David Austin allegedly for a house in Spain and Mr Austin passed on 186,651 to Mr Lowry's offshore account.

More in this section

Lunchtime News

Newsletter

Keep up with stories of the day with our lunchtime news wrap and important breaking news alerts.

Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited