Two payments of £20,000 each were taken from a sum paid by property developer Mr John Byrne to Guinness and Mahon in 1987 and went into an account used to discharge the living expenses of Mr Charles Haughey, the tribunal was told.
Mr Byrne said in July 1987 he paid £260,000 to clear a loan. The money was drawn on the account of Princes Investments Ltd of which he was a director and paid to Guinness and Mahon. Mr Des Traynor was his financial adviser.
Mr Jerry Healy SC, for the tribunal, had said that documents showed the sum did go into Guinness and Mahon but not into its own coffers. As far as could be seen, it went into an account of Amiens Securities Ltd, also in July 1987.
Mr Bill Shipsey SC, for Mr Byrne, asked his client if anybody looked for his consent to deposit a cheque to Guinness and Mahon in Amiens SL's account.
Mr Byrne said nobody did and the first he heard of it was from the tribunal.
Mr Shipsey said his solicitors had requested details from the tribunal as to the dispersal of the £260,000 when it was deposited into Amiens SL.
"In so far as information has been provided to date, it certainly would suggest that of that £260,000, £40,000 was transferred from Amiens SL into the Haughey Boland No 3 account. That's two payments of £20,000 in July 1987," Mr Shipsey said. He asked if that was Mr Byrne's understanding.
Mr Byrne replied: "I would have no idea where the money went once it was paid out. I wouldn't have a clue."
Mr Shipsey said his solicitors had been furnished with copies of bank statements of Amiens SL. "The two cheques for £20,000 went to the Haughey Boland No 3 account and I think you've also been informed that this Haughey Boland No 3 account was an account used to discharge the living expenses of Mr Charles Haughey."
Mr Byrne said he had been told that. He was asked if he was informed in 1987 that £40,000 of Princes Investments money would be put into an account for the benefit of Mr Haughey.
Mr Byrne replied: "Never".
Re-examined by Mr Healy, Mr Byrne said he had never given Mr Haughey a penny in his life. He confined his contributions during election campaigns to the political parties.
"I know the man for going on 40 years . . . I confine my contributions to the party . . ." he said.
The chairman, Mr Justice Moriarty, said: "We must be wary of generalisations, Mr Byrne, but if two things have emerged in your evidence both today and on earlier occasions that you've come to the tribunal . . . would it be fair to say there's been a considerable amount of lack of recollection, and surprise at what may have taken place in various situations on your part?"
Mr Byrne said he agreed. "But remember it's quite some time ago and one's memory doesn't last forever."