Dunlop describes handing over cash in Dublin street

Mr Frank Dunlop has described handing over an envelope containing £2,000 in cash to a county councillor on a busy Dublin City centre street.

Mr Dunlop: says he gave money to Fianna Fáil councillor Mr Tony Fox on the corner of O'Connell St

This was in return for the councillor's support for a vote on the rezoning of 108 acres of land owned by Paisley Park Investments, Mr Dunlop told the Flood tribunal this morning.

He said he gave the money to Fianna Fáil councillor Mr Tony Fox on the corner of O'Connell St and Parnell St. This payment was a "bribe" for Mr Fox's support for the motion in June 1992, he said. They then went to a local pub "for a libation".

Mr Fox, from Dundrum, Co Dublin, voted in favour of the motion which was narrowly defeated. He denies receiving any improper payments from the lobbyist.

The tribunal also heard claims from Mr Dunlop that he paid the late Mr Cyril Gallagher, also a Fianna Fáil councillor, £1,000 for his support in relation to the same vote.

Mr Dunlop said he could not remember actually handing over the money but was certain he had done so. When asked by Mr John Gallagher SC, for the tribunal, what would have happened had he not paid, Mr Dunlop said: "The word would have spread pretty rapidly and I would have found it difficult to get people to co-operate in the future".

Shortly before his death in 1998, Mr Gallagher responded to a questionnaire from the tribunal and denied he had ever received a bribe.

Mr Dunlop also claims he gave former Fianna Fáil councillor Mr Colm McGrath £2,000 to support the motion. Mr Dunlop said: "He guaranteed his support on the basis of his relationship he and I had, which was that he supported the matter in exchange for money."

Mr Dunlop says he handed over the cash in Mr McGrath's office in Clondalkin. "The actual transaction of handing over the money was a very swift excercise."

He said he would describe the payment "as he has characterised others...under the interchangeable words of an inducement as a bribe."

Mr McGrath, who won a council seat as an Independent in the 1999 elections, denies any improper payment, but admits he received a number of political donations, ranging from £500 to £2,000 from Mr Dunlop. These were all spent on everyday expenses associated with running his office, he said.

Mr Dunlop also described giving Mr John O'Halloran - who was expelled from the Labour party in 1993 and is currently an Independent councillor - £2,500 retrospectively for his support for Paisley Park.

He said he never gave money to Mr O'Halloran prior to votes concerning the land in 1991 or 1992. However, he said the councillor approached him some time in 1992 and said he would have supported the Paisley Park motions and was annoyed that "he was getting nothing and others were coining it". He responded: "You didn't ask me."

Mr Dunlop said he later paid Mr O'Halloran £2,500 towards his campaign in a 1996 Dáil by-election. Part of this was paid because Mr O'Halloran would have supported Paisley Park if he'd been paid and would support similar developments in the future.