The European Stability Mechanism treaty providing for a bailout fund for distressed euro zone states is unconstitutional because it irreversibly commits Ireland to a policy into the future of diverting our financial resources to save the euro, a seven-judge Supreme Court has been told.
Under the treaty, financial assistance to save the euro could be provided without Ireland’s consent because the treaty allowed for such decisions to be made by qualified majority, John Rogers SC, for Independent TD Thomas Pringle said yesterday. Ireland was committed to providing €11.1 billion to go into a fund of €80 billion to be used by the new ESM institution, representing an irrevocable commitment into the future to an economic, monetary, fiscal and foreign affairs policy with no exit provision, he submitted.
Opposing the appeal, Michael Cush SC, for the Government, said every treaty had a purpose which could be described as a policy and it was unrealistic to suggest that Ireland, a small country, could enter into treaties only where it had a veto over decisions made under those treaties. The appeal continues.