Claim of 'price list' for radio licences false, Flood hears

Mr Mara: "I was careless"

Allegations that former Government press secretary Mr PJ Mara and the former minister for communications Mr Ray Burke, had operated a "price list" for the awarding of broadcasting licences are a malicious falsehood, the Flood tribunal heard today.

Responding to questioning by tribunal lawyers Mr Mara said: "The idea that Mr Ray Burke and I were wandering around Dublin like two head waiters offering licences for sale is madness".

Last July, former Century Radio founder Mr James Stafford told the tribunal his business partner Mr Oliver Barry told him a "price list" was operated by Mr Burke and Mr Mara.

Under this list the going rate for national television licence was £90,000, £75,000 for a Dublin radio licence and £25,000 for a local radio licence.

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In February Mr Barry denied to the tribunal that the two senior Fianna Fáil figures had operated a "price list". Counsel for Mr Burke today rejected the allegations as idle gossip.

In his first day of evidence, Mr Mara, now a political lobbyist and formerly a director of elections for Fianna Fáil, gave details of a series of meetings with Mr Barry in early 1990 concerning a possible role as a consultant with Century Radio.

Mr Mara said, although such a role seemed unlikely, he went along to a meeting with Mr Barry and Mr Stafford at the offices of Mr Dermot Desmond. Mr Mara was seeking a salary of between £60,000 and £70,000 with half the sum paid up front.

Ms Patricia Dillon SC counsel for the tribunal, recalled evidence by Mr Stafford who claimed that something improper was suggested at the meeting and it ended abruptly.

Mr Mara said he had no memory of that and said Mr Desmond never mention a loan given to him. He added that the tone of the meeting was friendly and he was not looking for "payment" but discussing joining the company.

Mr Mara said he never discussed capping RTÉ’s advertising revenue with either Mr Barry or Mr Burke and said the first he knew of the plan "was when I had to announce it to an ungrateful world".

Earlier, Mr Mara apologised to the tribunal for his late compliance with the tribunal’s order requesting financial information of his accounts held within the State or internationally. Last Friday Mr Mara informed the tribunal of the existence of two bank accounts in the Isle of Man.

Mr Mara said it was never his intention to frustrate the tribunal or evade his obligations to it. He said he had forgotten the existence of accounts in the Isle of Man which were operated by Pullman Ltd trading as Europlan Trust.

Ms Dillon asked how he could have forgotten when records showed that the account had been used as recently as 1997 when Pullman Ltd received payments for an invoice for £18,000 sterling.

Mr Mara told the tribunal he had forgotten about this account because the vast majority or the money in it had been moved to accounts in the Republic where he had paid tax.

"I was careless about it. The overwhelming amount of money was brought back into the republic. These things happen. I did inform you as soon as I became aware".

Mr Mara completed his evidence this afternoon and the tribunal has been adjourned until September 12th.

David Labanyi

David Labanyi

David Labanyi is the Head of Audience with The Irish Times