Civil servants were ‘unaware’ of FF donations

CIVIL servants were not aware property developer John Corcoran was making substantial political donations to Fianna Fáil while urging then Environment Minister Padraig Flynn to give special tax concessions to his Dublin shopping centre at Blanchardstown, the Mahon Planning Tribunal heard yesterday.

Officials noted how, over four years from the late 1980s onwards, Mr Corcoran “persistently” made representations to Mr Flynn and other key ministers — including then Taoiseach Charles Haughey — to include Green Property’s 35-acre site in the urban renewal scheme.

An official document, dated June 1991, tersely observed: “Given the current controversy surrounding the development, it is strongly recommended that the site should not be designated.” The tribunal heard the Government never gave Blanchardstown the tax benefit.

Documents shown at the tribunal recorded two private meetings between Mr Flynn and Mr Corcoran on the Blanchardstown proposal. No official notes were taken at the meetings — on May 10, 1989, and the following October 5 — as civil servants did not attend.

Mr Corcoran’s Green Property gave a total of £35,000 to FF coffers — £25,000 on June 2, 1989 in connection with the general election, and £10,000 on November 9, 1990, for Brian Lenihan’s presidential campaign.

Finian Matthews, a principal officer in the Department of the Environment, said civil servants would never be aware of political donations. But if they were, their advice would be to ministers to ensure an “arm’s length” approach.

He agreed with tribunal counsel Pat Quinn SC the giving of substantial political donations to a party in a position to make decisions could be open to “misinterpretation or a wrong perception”.

After meeting Mr Flynn in October 1989, Mr Corcoran thanked the minister, commenting: “I was most grateful to learn from you the Government will be making a decision (on tax designation) in six months time.”

Questioned about this, Mr Matthews said there was nothing in the department files to suggest this reflected the position at the time.

In September 1990, Sligo-born developer Tom Gilmartin wrote to his AIB bankers of “firm promises” from various ministers of tax designation for his own development at Quarryvale, provided they secured planning permission.

Mr Matthews said there were no records in the department of any such promises. He agreed with Ms Dillon it was unlikely that Quarryvale would be included under the urban renewal scheme for tax designation if Blanchardstown didn’t get it.