Second £30,000 payment to Burke revealed

The Taoiseach will come under intense pressure in the Dail today to explain how he did not know that the £10,000 Mr Ray Burke paid to Fianna Fail came from a £30,000 donation from Rennicks Manufacturing, a subsidiary of Fitzwilton plc.

Mr Ahern had assumed up to recently, according to his spokesman, that the £10,000 contribution to Fianna Fail headquarters in 1989 had come from the separate £30,000 cash payment which Mr Burke received from Mr James Gogarty of Joseph Murphy Structural Engineers. The Flood Tribunal is investigating this matter.

Despite conducting three inquiries into the JMSE donation before appointing him to his Cabinet almost a year ago, Mr Ahern's spokesman said last night he only learned recently that Mr Burke made no contribution from the JMSE donation to Fianna Fail. He only became aware yesterday, from Magill magazine, that Mr Burke had received at least £60,000 in donations in June 1989.

Magill has revealed, and a spokesman for Fitzwilton has confirmed, that a cheque, payable to cash, was paid to the then Minister for Industry and Commerce, Mr Burke, on June 7th, 1989. Two representatives of Fitzwilton subsidiaries, Mr Paul Power, managing director of Novum, and Mr Robin Rennicks, of Rennicks Manufacturing, intended the contribution for Fianna Fail.

The Fitzwilton spokesman maintains the two Fitzwilton representatives asked Mr Burke to whom the cheque should be made payable. Mr Burke asked that it be made out to cash.

The former minister last night refused to comment. A reporter from The Irish Times called to his home in Swords, Co Dublin, but after the reporter identified himself Mr Burke ushered him away repeatedly saying "thank you for calling". Several phone messages left for Mr Burke were unanswered.

A statement from Fianna Fail said last night the Flood Tribunal issued an Order for Discovery and an Order for Production to the party on February 20th. It also sought discovery of documents relating to the payment of any sums of money by Mr Burke to Fianna Fail since January 1st, 1989.

In its affidavit of discovery furnished to the tribunal on April 1st, Fianna Fail confirmed it did receive £10,000 by way of bank draft from Mr Burke. It presented an official party receipt made out in the name of Rennicks acknowledging receipt of £10,000; an extract from the cash receipts book showing the contribution from Rennicks for £10,000; and a photocopy of a compliment slip from Rennicks accompanying the donation which also bore the name of Mr Burke.

A Fitzwilton spokesman denied Rennicks Manufacturing had received a receipt from Fianna Fail. The then party leader, ail, Mr Charles Haughey, had written to the chief executive of Fitzwilton, Mr Kevin McGoran, on August 3rd, 1989, thanking him.

Asked if Fitzwilton had made a donation to Mr Ahern as the representative of Fianna Fail in the last general election, a spokesman said it had made donations to two political parties before the 1997 election. When it was pointed out the company was required by law to disclose on January 31st, 1998 donations of more than £4,000 to parties from May 15th, 1997, he said one payment was made before May 15th. The other was below the £4,000 disclosure limit.

The Fine Gael leader, Mr John Bruton, said Mr Ahern should make a comprehensive statement to the Dail today.

"Furthermore, in such as statement, the Taoiseach must explain why, on 5th September, 1997, he confirmed Mr Burke's assertion that the £10,000 he made to Fianna Fail head office in 1989 related to the Gogarty donation to Mr Burke, even though Fianna Fail now acknowledge having receipted Fitzwilton for the same payment at the time," he said.

The Labour Party leader, Mr Ruairi Quinn, said Mr Ahern had to "clear the air and explain how a version of events clearly inconsistent with the facts as they now appear was allowed to remain on the record for so many weeks."