Gilmartin told he 'could end up in the Liffey'

Developer Mr Tom Gilmartin was told he could "end up in the Liffey" after he refused to pay a £5 million extortion demand made after a meeting in Leinster House, the Mahon tribunal heard yesterday.

The demand was made minutes after a claimed meeting with the then Taoiseach, Mr Haughey, and six senior ministers in February 1989, the tribunal was told.

Mr John Gallagher SC, for the tribunal, yesterday outlined in an opening statement the evidence to be given by Mr Gilmartin and other witnesses over the coming weeks.

Mr Gilmartin has told the tribunal that Mr Lawlor approached him in late January 1989 and said the "Boss" (Mr Haughey) wanted to see him. On February 1st, he met Mr Liam Lawlor in Buswell's Hotel, and the politician took him across to a room on the fourth or fifth floor of Leinster House. He says that the following Ministers were present: Mr Gerry Collins, the late Mr Brian Lenihan, Mr Seamus Brennan, Mr Albert Reynolds, Mr Bertie Ahern and Mr Pádraig Flynn. In addition, Mr Ray Burke entered the room a little later, and Ms Mary O'Rourke attended briefly.

Mr Gilmartin says Mr Flynn introduced him to the Taoiseach, who urged him to "keep up the good work". As he was leaving, Mr Haughey said he hoped Mr Lawlor, who was outside the room, was "taking good care" of him.

As he came out of the room, Mr Lawlor moved back against the wall and another man approached him. According to Mr Gilmartin, this man said that a lot of money would be made out of his developments. He suggested that the developer pay £5 million to an Isle of Man bank account and handed him a piece of paper with an account number written on it.

Mr Gilmartin rejected the approach and said he could not believe what he was hearing. The man was taken aback.

Mr Gilmartin said: "You make the effing Mafia look like monks."

The man responded: "You could end up in the Liffey for that statement."

Mr Gallagher then outlined the positions of the various politicians regarding the meeting.

Mr Brennan said that he had never attended any meeting with Mr Gilmartin.

Mr Burke, Mr Reynolds and Mr Collins said that they never met Mr Gilmartin.

Mr Flynn said he had no recollection of any such meeting with the developer in February 1989. Mr Ahern said he had no recollection of such a meeting, and it was his belief that he had not met Mr Gilmartin in these circumstances.

Ms O'Rourke had a recollection of the minister for the environment, Mr Flynn, coming into her office and asking her to meet a man who was going to provide thousands of jobs in Dublin.

The meeting was "not a meeting in the fullest sense", she said, because no one was sitting at the table, and there was no agenda. Mr Flynn, Mr Burke, Mr Lenihan, Mr Ahern, Mr Haughey and Mr Gilmartin were present. There was much "coming and going" and "milling around" the room. She left after being introduced to Mr Gilmartin.

Solicitors for Mr Haughey have told the tribunal that, owing to his ill-health, they have been unable to take instructions from their client.