Moriarty tribunal: An English consultant engaged to estimate the value of land at Glen Ding Wood in Co Wicklow has told the tribunal, in a report, that the value obtained was "in the right order".
However, in his report Christopher Lockwood, a partner with GVA Grimley property advisers, said it would have been better if the Department of Energy had invited other potentially interested parties to bid for the site rather than sell it privately to Roadstone Dublin Ltd.
Roadstone, a subsidiary of the CRH group, bought the site for its sand and gravel content. It agreed a £1.25 million (€1.82 million) price for the 145-acre site, without planning permission, in December 1990.
The tribunal is inquiring into the sale because at the time the late Des Traynor was chairman of CRH and Charles Haughey was taoiseach. Mr Traynor organised Mr Haughey's finances for more than 20 years.
In his report, part of which was displayed during yesterday's hearing, Mr Lockwood said "you cannot be sure you achieve market value" if you deal with only one party.
The tribunal was told yesterday by minerals expert John Barnett that Roadstone has to date removed five million tonnes of sand and gravel from the site. Last week the tribunal heard from CRH witnesses that planning permission for only 15 acres from the 145-acre site had so far been granted.
Mr Lockwood's report notes that one million tonnes were removed from the site in 1995 by Roadstone. It has been reported that material had been removed from the site without planning permission.
In a report for the department in 1990, Mr Barnett estimated that planning permission for extraction was only likely for 85 acres of the 145-acre site. On this basis he gave the site a value of £1.3 million, with planning permission, and £860,000 without planning permission.
Kiaran O'Malley, who gave advice to the department on the planning aspect of the site, told Jerry Healy SC, for the tribunal, that he developed "serious concerns" about the planning issue.
Getting planning would have increased the value of the site, but being refused would have been "fatal", he said.
Mr Barnett and Mr O'Malley attended a meeting with departmental officials in October 1990. Mr O'Malley expressed the view that without planning permission he could not see anyone bidding more than £400,000 for the site, other than Roadstone, who might bid £600,000.
A memo of the meeting recorded that when told of a £1.1 million offer from Roadstone, with £400,000 being conditional on planning permission, Mr Barnett "strongly advised" that a sale to Roadstone be negotiated. It was felt that as Roadstone had an adjacent site, it would be better able to get planning permission.
The tribunal resumes today with a new witness.