Mr Michael Bailey has told the Flood tribunal that his sister-in-law, Ms Caroline Bailey, found a file of political donations made by Bovale Developments, three days ago.
Pressed on where it was found, the Bovale director said: "It was somewhere under the heading of charities." The tribunal adjourned to allow Mr Bailey to get more information on the file. He returned to say it had been found in the Bovale office in Swords. Mr Desmond O'Neill SC, for the tribunal, repeatedly asked why Mr Bailey did not give this information in his original affidavit. Mr Bailey said he did not do so because he only learned of the file's existence two days previously.
"I did my best to give the tribunal everything I believed we had to give," he said. Mr Bailey said he only had a certain amount of time to comply with the tribunal's order.
"We worked day and night to comply with the order," he said, adding he had brought in "horse loads" of cartons to the tribunal. "The amount of work involved was unbelievable."
Mr O'Neill asked Mr Bailey why this file was kept separately from the other files which were destroyed in the fire in Finglas on July 3rd, 1998. "I don't know," Mr Bailey responded. "I never knew of the existence of this file." Mr O'Neill then asked if it was "pure coincidence" the fire destroyed documents that were the subject of a tribunal order, on the morning the Supreme Court was sitting to decide on the validity of the order. The tribunal had sought certain documents from Bovale but the Baileys had taken High Court proceedings against the tribunal on this issue. The High Court ruled against the Baileys, who then appealed to the Supreme Court. Mr Bailey said he did not know these two events had happened on the same day. Mr O'Neill then asked why these documents had not been assembled in preparation for the tribunal, on the basis that the Baileys may have lost their case. Mr Bailey had no explanation for this.
Mr Bailey also told the tribunal Bovale Developments had turned around the fortunes of Swords by initiating the construction of four-bedroomed detached houses in the area.
In a bank memorandum concerning a loan for a 102-house development in the town, Mr Bailey was quoted as saying he was confident the project would get planning permission.
Asked to explain this confidence, Mr Bailey said it was based on Bovale's house-building record. He said he believed Bovale turned around the fortunes of Swords by building luxury detached houses at a time when this was unheard of. He said councillors recognised Bovale's record and that was why he was confident of support. Mr O'Neill suggested the confidence was based on assurances received by a person or persons but Mr Bailey said he would not have taken on the project unless he was confident of success.
