Spotlight on FF accounts system

REVELATIONS regarding Fianna Fáil’s handling of excessive donations has put the accounting system for its multi-million euro income stream under scrutiny.

Like other parties only a fraction of its expenditure is explained in annual disclosures. Other companies’ accounts show the party accepted payments in excess of legal limits and failed to report others it was obliged to do.

Six donations were above the limit where they should be declared to the Standards in Public Office Commission.

Two payments from Durkan New Homes (€15,658 and €7,390) and one from Mosney Irish Holidays (€6,500) breached the amount parties can take from a single company.

The limited accounts published ahead of Fianna Fáil’s February Árd Fheis showed it received €2.2 million from the state in 2007 and 2008. Its superdraw fundraiser in 2008 raked in €659,050 and its national constituency collection raised €536,000. During the four-week election campaign of 2007 it spent €3.6m. Regarding the payments revealed today the party insisted it abided by electoral law.

“Fianna Fáil never comments on individual donations or on names of possible donors. We always adhere to best practice in relation to donations. We always ensure full compliance with legislation in this area and with the statutory requirements, as laid down by SIPO,” it said.

These incidents are not the first time its accounting has been questioned.

In 2007, the Standards in Public Office Commission spared it an embarrassing prosecution when a branch accepted payments above legal limits. These two cheques, of €6,500 each, were made to its Dublin North East Comhairle Dáil Cheantair Accounting Unit and listed with SIPO.

Party general secretary, Sean Dorgan, said he was not aware of this when he was prepared the declaration statement.

SIPO ordered Mr Dorgan to make sure all branches knew the rules.

Fianna Fáil returned €151.31 to both donors, but as this was not done within 14 days. SIPO could have made a report to gardaí but decided not to.

A similar defence in the Durkan case would not be straightforward.

Before the 2007 general election it emerged that Durkan New Homes had posted cheques of €500 to a number candidates from different parties. A Labour Party candidate, Eric Byrne, publicised it and sent back his cheque.

Under the Electoral Act 1997 if a party believes more than €5,078 had been paid to its candidates by a single company it was required to add them up and report to SIPO. There was no mention of Durkan in either of its disclosures for 2007 or 2006.

For the Mosney payment it is understood Fianna Fáil has declared €5,500 in its 2008 disclosure. But Mosney’s accounts list two payments in June 2008. The first was to Meath East Fianna Fáil (€1,500 on June 10) and then to Fianna Fáil (€5,000 on June 23) the total is €6,500.

Electoral law defines donations and how multiple payments to organs of a party should be treated. Section 24 says a political party covers any subsidiary, candidate, branch or agent. Donations should be tallied up and treated as one.