Ministers and office holders are obliged under ethics legislation in certain circumstances to declare personal loans made to them by friends, even if the loans predate the 1995 ethics legislation, it has emerged.
It had previously been thought that Taoiseach Bertie Ahern had no obligations under ethics legislation regarding the money or loans he received in 1993, because it occurred before the legislation came into force and the money was for his personal use.
However, if some of the loans are interest free and still outstanding, and if there is a potential conflict of interest in terms of any of the donors's interests and Government decisions directly involving the Taoiseach, Mr Ahern may have ongoing obligations relating to ethics legislation.
The Irish Times has learned that the ethics watchdog, the Standards in Public Office Commission (SIPO), has in the last 12 months examined the issue of interest-free loans for political purposes, following controversy over the procedure in Britain.
As a result it has advised that the value of interest forgone on an interest-free loan should be considered by parties as a gift or donation for ethics legislation.
If the value of the interest forgone exceeds a certain level - over €4,000 for a party or €650 for an individual in a given year - this should be declared, SIPO has advised.
It also contacted the main political parties in the State in recent months to advise them on this issue, and to ask whether they were in receipt of any major interest free loans.
None of the parties have declared any such political loans to date In its guidelines for the 2007 general election, SIPO deals directly with preferential loans for the first time and advises that if a loan is given for electoral purposes below the standard interest rate at the time, "the benefit accruing from the difference in rates is regarded as a donation to the candidate".
It also warns that SIPO may require "sight of the terms and conditions, including the interest charge applying to the loan, and may require confirmation that the loan has been repaid in accordance with these terms and conditions".
SIPO officials believe that if an interest free loan is still outstanding and of a sufficient size, it could come under the remit of ethics legislation, regardless of when the loan was initially provided.
These SIPO guidelines on loans do not normally apply to loans, loans or gifts to office holders from friends or family and which are for purely private use.
However, the requirements to declare interest free loans and other financial gifts do apply, if there is a potential conflict of interest between the office holder's duties and the donor.
Office holder, including the Taoiseach, Tánaiste and Government Ministers have further requirements to declare any potential conflict of interest involving their business or personal interests, which could be seen to have a bearing on their duties in office.
SIPO's code of conduct for office holders states: "Excluded from this is property supplied or lent, or a service supplied to an office holder, as a gift for purely personal reasons, by a friend or relative of the office holder, or of his or her spouse or child or of the spouse's child, unless acceptance could have materially influenced the office holder in the performance of his or her functions as a member or office holder."