Joseph Murphy Structural Engineering (JMSE), which made a corrupt payment of at least £30,000 (€38,120) to former Fianna Fáil minister Mr Ray Burke, has run up a legal bill of more than €2 million from its involvement with the Flood tribunal.

Largely as a result of its entanglement with the tribunal, the long-established company based in north Dublin has ceased trading activities and laid off most of its workers.

JMSE appears to have abandoned hope of trading again in the structural steel business. The company's latest set of accounts say the directors do not envisage recommencing trading in its former principal activity.

Tribunal costs are listed as €2,096,996 and no provision has been made for any shortfall in recovery of these costs.

Along with other legal teams represented at the tribunal, JMSE's lawyers recently submitted a bill to Mr Justice Flood for recovery of their costs from the Exchequer. However, it is considered highly unlikely that the tribunal chairman will award costs to the company. Last year's interim report of the tribunal found that Mr Joseph Murphy and his son, Joseph Murphy Junior, hindered and obstructed the tribunal in its work.

Indeed, JMSE could be facing further bills if Mr Justice Flood decides that it is liable to pay part of the tribunal's costs because of its failure to co-operate.

The company's main premises at Shanowen Road, Santry, was put up for sale last year with an open-market value of €11,920,000 million, according to the accounts for the year ended May 31st, 2002.

This valuation, which is based on the use of the land for housing, is almost twice the previous valuation based on industrial use.

JMSE was founded by the expatriate Irish millionaire Mr Murphy Senior in the late 1960s, and specialised in the erection of large-scale steel structures. Among its projects were the Moneypoint electricity generating station in Co Clare and the Sellafield nuclear reprocessing plant in Cumbria, Britain.

During its most successful period, the company employed hundreds of workers in Santry and in the UK. However, it never formed more than a small part of Mr Murphy's business empire, most of which was based in the UK.

Last year, employment dropped to just three, from 13 the year before and 114 in 2000. The company's activities were restricted to leasing equipment and short-term letting of its workshop and remaining plant.

Losses after taxation amounted to €353,409 and no dividend was paid.

However, the loss was offset by an unrealised surplus of €5,317,362 on the revaluation of the Santry premises. The accounts also refer to a deferred tax charge of €1,950,000.

JMSE's involvement with the tribunal arose from its £30,000 payment to Mr Burke in June 1989. Its former chairman, Mr James Gogarty, claimed the payment was made to secure the rezoning of 700 acres owned by Mr Murphy Senior in north Dublin.

In his report, Mr Justice Flood said Mr Murphy Senior and his son lied about the circumstances of this deal.