Harney denies ordering Ansbacher cover-up

TÁNAISTE Mary Harney yesterday denied she had ordered the closure of three investigations into companies involved in the Ansbacher scandal because she did not like what was being uncovered.

In an uncharacteristic outburst, Ms Harney denied any suggestion of impropriety after Labour leader Pat Rabbitte questioned the motivation behind the decision to close the probe.

She said: “You are suggesting that I closed down the inquiries because it was revealing some information that I did not like.

“I have acted properly throughout my career in the Department of Enterprise Trade and Employment.”

The investigations in question were launched by the department under section 19 of the Companies Act in 1990 and focused on companies associated with the Ansbacher affair.

However, before transferring to the Department of Health last September, Ms Harney instructed the authorised officer conducting the investigations to cease his inquiries.

Taking Leader’s Questions in place of the Taoiseach yesterday, Ms Harney said she had taken the decision because the investigation had taken seven years.

“I took legal advice and I took the advice of the secretary general of my department in relation to this matter and any instructions I issued in relation to that matter was as a result of the advice I received,” she said.

Ms Harney also conceded the authorised officer concerned had disagreed with her decision to close the inquiries but denied she had received any representations from anyone, including Cabinet members, to do so.

Criticising the move, Mr Rabbitte said the decision left the perception that the investigations had been terminated “not because they have come to fruition but rather because they might.”

“Why Tánaiste, after building your reputation and investigation into Ansbacher, would you want to terminate the inquiry as it relates to three of the companies where some of the most powerful in Irish society were engaged in tax evasion which makes Ray Burke’s involvement look like a corner sweet shop?”

Responding to parliamentary questions in December, Enterprise Minister Micheál Martin said consultations were continuing on the timescale for completion of the final report.

However, a spokeswoman for Mr Martin was last night unable to indicate when the final report was expected.