Cabinet to consider strategy on rumours, allegations

Ministers are today expected to consider how to deal with the flow of allegations and subsequent queries which are putting the…

Ministers are today expected to consider how to deal with the flow of allegations and subsequent queries which are putting the Taoiseach and his Government constantly on the defensive.

Against a background of unease at the possibility of further damaging allegations, senior sources last night said the Cabinet was likely to consider how the Government should respond to the "rumour and innuendo" which has been plaguing it.

The Tanaiste and leader of the Progressive Democrats, Ms Harney, will be expected by her Fianna Fail colleagues to show unity of purpose as the Government attempts to launch its fight-back and recover lost confidence.

The Minister for Finance, Mr McCreevy, yesterday advised the Taoiseach, Mr Ahern, that he "wouldn't be in half the difficulty" if he took "a reasonable, rational approach" to the media and decided not to be half as helpful to journalists.

READ MORE

During his time in the Dail, no political leader had been as open as Mr Ahern, he said. "In fact, if there is any criticism of the Taoiseach to be made, it is that he is too open. He seems unable to say no to any journalist, high up or low down, to refuse them a re quest for an interview and to be helpful at all times.

"And, maybe if he was less helpful like other taoisigh were in the past, particularly his predecessor [John Bruton], he wouldn't be in such difficulties because every time that he seems to answer a question, he has to answer another body." Every Friday, it seemed the Taoiseach's office was receiving a list of questions with the suggestion "please answer them by 3 o'clock this evening and more or less can we have legislation by 5 o'clock later on".

"It is a very unsatisfactory way to have to operate. It doesn't lead to ministers and government to be able to do business in any kind of rational manner," he added.

A "nonsensical stage" had been reached where the climate dictated how everyone responded to the agenda that had now been set.

"I honestly believe that we cannot keep going on like this and we have tribunals out there who are investigating matters, we have a number of inquiries set up under various acts of parliament and there are inquiry officers." Mr McCreevy said the Taoiseach would today answer questions raised at the weekend in relation to the awarding to An Post of the contract to run the National Lottery for an additional four years. In 1992 the original licence was revoked and An Post was awarded a new licence to run the lottery from January 1994 until March 2000.

From what he could ascertain, there was "nothing untoward" in the allocation of a new five-year contract to GTech to supply technology and hardware to the National Lottery.

It emerged last week in the Moriarty tribunal that Mr Guy Snowden, the former chairman of GTech, had invested $100,000 in Celtic Helicopters in 1993, the same year as the new contract was allocated to the company.

Mr McCreevy said the allocation was a matter for the board of the National Lottery, which was owned effectively 100 per cent by the State.

"The second question that has arisen would be the extending of the licence of running the National Lottery for another X number of years and that is also totally above board but, as I say, we are assembling all the information in the Department and it will be all made available and the Taoiseach will answer any questions on it," the Minister added.

Speaking to reporters at the launch of the Euro Changeover Board's regional roadshow, Mr McCreevy said the cycle of tribunal-driven revelation and Government reaction had reached "a nonsensical stage" and represented "an unsatisfactory way to have to operate".

"But that's the climate in which we live . . . there is uncertainty around; who knows what is going to evolve? I honestly believe that we cannot keep going on like this," he said.