Lowry tax details leak sparks row
Former government minister Michael Lowry tonight accused tax authorities of a “breathtaking abuse of power” after confidential details of his tax affairs were leaked to the media.
RTÉ reported today that the Director of Public Prosecutions (DPP) is to decide in coming weeks if it will bring criminal charges against the former Fine Gael TD for breaching tax laws.
The national broadcaster alleged that the Revenue Commissioners had sent a file to the DPP following a lengthy inquiry into undeclared income given to Mr Lowry by business tycoon Ben Dunne in the early 1990s.
Mr Lowry served as minister for transport, energy and communications from 1994 until he had to resign over the revelations in November, 1996.
He insisted tonight that he made a voluntary disclosure to the Revenue, and in such cases, criminal investigations do not follow.
The independent TD, who made a rare appearance in the Dáil chamber today to speak on the Disability Bill, claimed he has been “singled out for discriminatory treatment” and he would defend his rights in court.
He said: “It is absolutely stunning that confidential and sensitive tax information has been leaked to RTÉ. It is surely outrageous that a taxpayer should learn of such information from a journalist.”
“This action is in breach of the Revenue’s own voluntary disclosure code.”
“The subsequent leak of that information to the media is a breathtaking abuse of power by the authorities.
“This leak is in blatant breach of the Revenue’s own code of practice in relation to taxpayers and the confidentiality of their tax affairs.”
“The facts are that a full and frank voluntary disclosure was made in 1996 in respect of any tax owing to the Revenue authorities by Mr. Michael Lowry and/or his company, Garuda Ltd.”
A spokesman for the Revenue tonight said it did not comment on individual cases but confirmed that officers did not generally pursue prosecution investigations in cases where taxpayers make voluntary disclosures.
It is believed that Mr Lowry has made two substantial settlements to the Revenue and a small amount is still outstanding.
After Mr Lowry resigned in 1996, his accountants wrote to the Revenue admitting that there might be errors or omissions in relation to returns submitted by Mr Lowry and Garuda Ltd.
During evidence to the Moriarty Tribunal on payments to politicians, it emerged there were differences between Mr Lowry and the Revenue Commissioners relating to the amount of undeclared income.
If the DPP was to press ahead with charges against Mr Lowry and he were found guilty he could face a maximum of up to five years in jail and or a fine.
