Taoiseach says $50k donation was ‘wrong’

TAOISEACH Enda Kenny admitted a $50,000 political donation made to Fine Gael by Esat Digifone was “wrong” and said he regretted how long it took for his party to return the gift.

The secret payment, made at the request of Denis O’Brien just two months after his business won the competition to operate the mobile phone licence in 1995, was described as “inappropriate” by the Moriarty Tribunal Report.

It said details of the donations would “have remained hidden from public knowledge” had they not been exposed by the Sunday Tribune in 2001.

Mr Kenny told the Dáil as soon as the former leader, John Bruton learned of the payment, he asked for it to be returned “immediately”.

But the Taoiseach said: “I regret the circuitous route it had to follow before it was returned to Mr O’Brien.”

Speaking during Leaders’ Questions in the Dáil, he confirmed time would be set aside to debate the report’s findings next week.

And he has asked Minister for Communications Pat Rabbitte to refer the report to the Director for Public Prosecutions and to the Garda Commissioner.

He was responding to Fianna Fáil leader Micheál Martin, who criticised the Government for failing to issue a statement on the “deeply disturbing report” on the day it was published.

Sinn Féin leader Gerry Adams described the payment of the donation — through a Jersey bank account and Norwegian company — as “money laundering of a very classical kind” prompting heckles and laughter in the Dáil.

Mr Kenny responded that Mr Adams should “deal with the serious amounts of money” involved in the Northern Bank raid when he takes part in next week’s debate.

The Taoiseach also revealed he is taking legal action on reversing the “disgraceful” appointments to state boards made by the Fianna Fáil Government on its last day in office.

“I am interested in men and women of competence and merit serving where they can contribute to the well-being of the country.

“The Fianna Fáil Government made appointments based on friendship as distinct from merit,” Mr Kenny said.

He was responding to questions from independent TD Shane Ross who said the Government had a “unique opportunity to end the culture of cronyism” by setting up an “independent commission” for appointments to state boards.

Mr Ross said the appointments of a former Fianna Fáil TD and former Fianna Fáil councillor “should be reversed immediately and the Taoiseach should make no apology for doing so”.

He admitted to having “some sympathy” for the Taoiseach for having to take criticism from Fianna Fáil over the Moriarty Report findings.

“I find it difficult to take because I see those who are accusing him as being equally guilty of things of which they are now accusing the Taoiseach,” said Mr Ross.