Letter says Lawlor contradictory and unco-operative

The resignation of Mr Liam Lawlor from Fianna Fail last night came hours after an internal party inquiry accused him of being…

The resignation of Mr Liam Lawlor from Fianna Fail last night came hours after an internal party inquiry accused him of being unco-operative and contradictory.

The 200-page report included a letter to Mr Lawlor from the inquiry chairman, Dr Rory O'Hanlon, dated May 26th, which threatened severe sanctions for his lack of co-operation.

The report stated that Mr Lawlor gave conflicting accounts of dealings a Czech Republic-based company in which Mr Lawlor has a one-third share, The Irish Consortium SRO, had with Mr Frank Dunlop.

Ten pages of the report dealt with Mr Lawlor and his correspondence and meetings with the committee during its inquiry.

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The report stated that at a meeting on May 17th Mr Lawlor told the committee he visited Prague with Mr Dunlop in 1994 and that the Irish Consortium SRO invoiced Mr Dunlop for £38,000 for consultancy services.

However, at a later meeting Mr Lawlor stated that the Irish Consortium SRO had no dealings with Mr Dunlop. The report said the committee asked Price Waterhouse Coopers to carry out a corporate search on the company. The search showed Mr Lawlor was a member of its supervisory board on the date of its incorporation on February 15th, 1995.

In the letter dated May 26th, Dr O'Hanlon said it was the view of the committee that Mr Lawlor was not giving full assistance and co-operation.

"This lack of co-operation arises from the inadequacy and contradictory nature of the answers that you have furnished to the committee - both in writing and during the course of the interview - and the fact that important information was only elicited from you after specific questioning by members of the committee.

"The committee has decided to write to you to put on notice in writing that your lack of co-operation with the committee could result in a severe sanction being imposed on you by the Fianna Fail party."

The report stated that in an interview with the party chairman, Dr Rory O'Hanlon, and the party general secretary, Mr Martin Mackin, in October/November 1998 Mr Lawlor did not disclose donations from Mr Frank Dunlop or that he was in receipt of consultancy fees from Mr Dunlop.

When questioned by the committee on May 17th last as to why this information was not disclosed in 1998, Mr Lawlor initially stated that there was "no particular reason" for not doing so. When questioned further, Mr Lawlor said he believed he had been addressing specific questions at the meeting in 1998.

At the meeting with the committee on May 17th, Mr Lawlor presented three documents: a briefing note on Quarryvale and related matters, a document regarding payments from Mr Dunlop, and a document containing a list of letters and newspaper articles relative to Quarryvale/Blanchardstown. Following this meeting Mr Lawlor issued a press statement.

Mr Lawlor, according to the report, informed the committee on this date that he was never offered nor had he ever requested one penny to influence his vote. He stated that he had received u £12,000u£14,000 in donations from Mr Dunlop between the late 1980s and the early 1990s.

Mr Lawlor denied to the committee that he was the "Mr Big" referred to by Mr Dunlop at the Flood Tribunal. He also emphatically rejected the suggestion that he received a bag containing £40,000 cash from Mr Dunlop.

Mr Lawlor said he had never had an offshore bank account and had no knowledge of the company, Jackson Way.

At Mr Lawlor's last meeting with the committee on May 31st, he objected to the presence of the party's legal advisers. Mr Lawlor told the committee its inquiries were going far beyond its terms of reference.

Mr Lawlor questioned the accuracy of the committee's record of earlier meetings.

Questioned further on the £38,000 payment received from Mr Dunlop, he said he had no records of that period as they had been destroyed when redecoration work was being carried out.