Attempt to stage world games cost state £0.82m

The abortive attempt to attract the World Equestrian Games to Ireland last year cost the State £820,000, and it may be liable for a further £1.5 million, the Dail committee on public accounts was told yesterday.

Ms Margaret Hayes, secretary general of the Department of Tourism and Trade, replying to Mr Sean Ardagh (FF) said a special company had been set up to oversee the development.

It received grants of £770,000 from Bord Failte and £50,000 from Cospoir.

As time went on and the financial perspectives began to worsen, a review in 1996 revealed that a major gap was the absence of a sponsor. A sponsor emerged and the Government was encouraged to continue its support. However, a year later the sponsor withdrew.

Without the sponsor, the State would have had to increase its funding by a minimum of another £2 1/2 million, but probably more, to get the games on time. "We had to make a call on whether we should now withdraw, cut our losses, or continue," she added. Asked by committee chairman, Mr Jim Mitchell (FG), about possible liabilities, Ms Hayes said there was the question of a guarantee entered into by Bord Failte and the international federation. Bord Failte believed it had no liability. But she understood the federation had raised the matter with Bord Failte and a liability of £1.5 million was "the worst case scenario".