Construction associate refused 75% of costs

Mahon tribunal: A builder involved in constructing former minister Ray Burke's house in Swords, north Dublin, has been refused…

Mahon tribunal: A builder involved in constructing former minister Ray Burke's house in Swords, north Dublin, has been refused most of his costs at the planning tribunal.

Tribunal chairman Judge Alan Mahon yesterday refused Michael "Jack" Foley 75 per cent of his costs because he had failed to fully assist the inquiry. Mr Foley is seeking €26,668.15 in costs.

Mr Foley, a business associate of builders Tom Brennan and Joe McGowan, was a director of Oakpark Developments, which provided a site and built a house, Briargate, for Mr Burke in the early 1970s.

A report by the previous chairman, Mr Justice Feargus Flood, found no evidence that money changed hands in this transaction, which it said amounted to a corrupt payment to Mr Burke from Mr Brennan and his associates.

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Mr Justice Flood wrote: "The tribunal is satisfied that Mr Burke, Mr Brennan and Mr Foley had not given a truthful account as to how Mr Burke came to acquire the property."

The report said the probable explanation for this was that the benefit provided to the politician "would not withstand scrutiny" and stemmed from "an improper motive" linked to Mr Burke's membership of Dublin County Council at the time.

However, Mr Justice Flood's report did not make a specific finding that Mr Foley had hindered or obstructed the tribunal, or failed to co-operate with its work.

Yesterday, Judge Mahon said it was not a matter for him to speculate as to why his predecessor's report did not include a specific finding against Mr Foley.

However, it was clear that the report had made an adverse finding against him.

"This is a significant finding and clearly indicates that Mr Foley failed to fully assist the tribunal as he was required to do."

Because it was "extremely difficult and probably impossible" to decide precisely on the extent of co-operation, the chairman said it was equitable to award Mr Foley a portion of his costs.

Mr Burke sold Briargate for €4 million in 2000 and it is currently being demolished to make way for a shopping centre development.

Four other parties were granted costs during yesterday's hearing on the basis that they had co-operated with the inquiry and no adverse findings had been made against them.

The largest application was from former RTÉ employee John McGrath, who is seeking €99,000 in costs.

Anglo-Irish Bank was granted costs, which it estimates at over €28,000.

Paul Kierans/Amev, now owned by Royal Sun Alliance, were granted costs estimated at €19,075.50 and Michael O'Sullivan was awarded costs of €3,199.

Paul Cullen

Paul Cullen

Paul Cullen is Health Editor of The Irish Times