Politicians have found that the Dublin Docklands Development Authority (DDDA) was paying over the odds for land when it knew the property market was at risk of overheating.
However, the Public Accounts Committee (PAC) has recommended that the quango, which is to be dissolved, remains in place until liabilities arising from the need to remedy fire structural deficiencies at the Longboat Quay apartment complex are discharged.
Residents of the apartments — built by Bernard McNamara in 2006 — were told this year they would have to pay millions of euro on emergency remedial works or face evacuation.
PAC yesterday published a long-awaited report on the DDDA, which found that poor analysis and decisions were rife within the authority. The report details how the DDDA got involved in a joint venture with a company owned by Bernard McNamara to purchase the old Irish Glass Bottle Site in Ringsend in 2006. This deal cost the State body €52m.
Committee chairman John McGuinness TD said: “The DDDA paid over the odds for this site, as it was in a bidding war at a time when it was aware that the Dublin property market was in danger of overheating.
“The financial exposure of the DDDA also kept increasing after it had committed to bid, which was successful. The report of the committee focuses on these crucial decisions, where the risk-management processes did not work.”