Pressure grows on Callely as senator resigns party whip

THE travel expenses controversy bit deeper in to Fianna Fáil last night as a second senator confirmed he would be subject to an official investigation.

Larry Butler dramatically announced he was resigning the party whip and subjecting himself to a probe by the Seanad’s watchdog committee.

His action isolated his Seanad colleague Ivor Callely, who has refused to bow to Fianna Fail demands that he, too, resign the party whip.

Government ministers bluntly warned Mr Callely yesterday to go immediately or be pushed out of the parliamentary party at an official meeting next week.

Their warnings came as Labour leader Eamon Gilmore called for the Taoiseach to “remove” Mr Callely from the upper house.

Mr Butler became embroiled in the controversy after it emerged he may have secured an extra €20,000 in travel allowances by claiming from his Kilkenny residence when his Dublin home is listed on the Oireachtas website.

Following on the heels of a top level Seanad probe being launched into north Dublin-based Mr Callely’s €81,015 travel claims from his west Cork holiday home, the Butler affair again threw the Taoiseach onto the defensive.

That pressure was eased slightly by Mr Butler’s decision last night to resign the party whip and subject himself to the same Seanad committee that is investigating Mr Callely.

But the latter’s refusal to follow in Mr Butler’s footsteps and leave the parliamentary party while the probes are ongoing infuriated senior Fianna Fáil figures.

Nonetheless, Mr Cowen dismissed Labour’s call for Mr Callely’s removal from the Seanad, suggesting it risked “prejudicing” the inquiry.

The Taoiseach stressed, however, that Mr Callely would be stripped of the party whip “without prejudice” next week while the Seanad probe progressed.

Mr Gilmore said Mr Callely’s explanations were not satisfactory and, as an unelected Taoiseach’s nominee to the Seanad, Mr Cowen should now insist he stood down.

Meanwhile, in his statement last night, Mr Butler expressed confidence that the probe into his travel expenses would clear him.

But he admitted the issue was causing a distraction to the work of the Government and the Oireachtas and said he was resigning the party whip for that reason.

“I personally informed An Taoiseach that I have resigned the whip from the Fianna Fáil parliamentary party, in the interests of the party, and with immediate effect,” Mr Butler said.

“I propose to deal with this matter with the Seanad Members’ Interests Committee and have confidence that the cathaoirleach, and the committee, will clear my name, as quickly as possible."