McCracken tribunal report to be published on Monday

The report of the chairman of the Dunnes Payments to Politicians Tribunal, Mr Justice McCracken, is to be published next Monday. The report will be handed over to the Clerk of the Dail on Monday morning and copies given to the media in the early afternoon.

Among the issues to be ruled on by Mr Justice McCracken is the credibility of the evidence of the former Taoiseach, Mr Charles Haughey.

Mr Haughey told the tribunal that since the 1960s the late Mr Des Traynor handled his financial affairs and did not tell him where the money used to support his lavish lifestyle came from.

The Dail is likely to reconvene early next month to discuss the report. At the centre of the debate will be the issue of whether another tribunal should be established to investigate the finances of Mr Haughey.

A lengthy statement given by the former Taoiseach to the tribunal on July 7th contained an attempt to counter evidence which the tribunal was about to hear from another witness, The Irish Times has learned.

It also stated bluntly that no meeting took place between Mr Ben Dunne and Mr Haughey in Kinsealy in 1991, after which Mr Dunne gave Mr Haughey £210,000. Mr Dunne was mistaken in his memory of this, Mr Haughey said in that statement.

The content of the eight-page statement has not been revealed before. Within two days of the statement being submitted to the tribunal, it was replaced by a simple one-page statement from Mr Haughey.

The eight-page statement contained denials of evidence which was to be given by Mr Dunne's solicitor, Mr Noel Smyth, concerning meetings between Mr Smyth and Mr Haughey.

Mr Haughey had seen a statement from Mr Smyth before he submitted his own statement.

Mr Haughey said it was Mr Smyth who requested a meeting which took place in Kinsealy in early February 1997, during which the two men discussed the bank drafts Mr Dunne had given Mr Haughey in 1991, when Mr Haughey was still Taoiseach.

Mr Haughey, in his statement, said he never said to Mr Smyth that the drafts could be the source of considerable embarrassment to him. He denied that he asked Mr Smyth whether the drafts could be destroyed or hidden in some way.

Mr Smyth, in his evidence, said Mr Haughey had sought the meeting and that he had been considerably concerned about the drafts. Mr Smyth told the tribunal; "I think he said `is there any way we can get rid of these?' or `what can we do?'."

Mr Haughey, in his statement, said that Mr Smyth had contacted him after the Lowry story first broke late last year. Mr Smyth said it was Mr Haughey who contacted him.

Mr Haughey said a meeting on January 4th, to discuss the Price Waterhouse report, was requested by Mr Smyth. Mr Smyth's evidence was that it was requested by Mr Haughey.

Mr Haughey's statement covered his political career; the handling of his finances by Mr Traynor; meetings he had with Mrs Margaret Heffernan; an assertion that he had never brought about any change in fiscal or other legislation that would specifically affect Mr Dunne or Dunnes Stores; and his relationship with Mr Dunne. The most detailed section was that concerning Mr Smyth.

Mr Haughey said any meetings he had with Mr Dunne were social and that most of them took place after he had resigned as Taoiseach in early 1992. This would seem to conflict with the evidence of Mr Dunne concerning the time when most of his meetings with Mr Haughey took place.

Mr Haughey's eight-page statement was submitted on Monday, July 7th. Because of a disparity with Mr Smyth's statement concerning the dates of meetings, inquiries were made to both parties.

Mr Smyth then produced a list of telephone calls made to his office by Mr Haughey in late 1996 and early 1997. The tribunal legal team then realised Mr Smyth kept such records and a telephone log kept at his offices was made the subject of an order of discovery.

The telephone log showed a cluster of calls from Mr Haughey to Mr Smyth's office in late 1996 and early 1997. However it also showed a cluster of calls in 1994. This in turn led to the revelation that Mr Smyth and Mr Haughey had discussed the donations to Mr Haughey by Mr Dunne during meetings that year.

Neither man had mentioned the 1994 meetings in the statements they had by then made to the tribunal.

Following this revelation Mr Haughey filed a new statement, two days after he had filed the earlier one.

In this short, three-paragraph statement he admitted he had known since 1993 that he had received £1.3 million from Mr Dunne. He also said he accepted Mr Dunne's evidence concerning the handing over of the three bank drafts in 1991. He further stated that he had "mistakenly instructed" his legal team.