The Labour Party is canvassing business support for a golf classic set to raise thousands of pounds at the same time as it is threatening to boycott an all-party committee on political funding because of the Taoiseach's refusal to consider a ban on corporate donations.
Labour's head office this week wrote to major businesses seeking support for its £1,000a-team golf classic to be held in Druid's Glen on July 13th.
The letter, signed by the party's development officer, Ms Anne Byrne, promises sponsors they will be able to join the party leader, Mr Ruairi Quinn, and other members of the parliamentary party that evening at the prize-giving dinner.
In the Dail yesterday, Labour indicated in sharp exchanges with Mr Ahern that it would not participate in the Taoiseach's proposed all-party committee to get consensus on reform of the funding of the political system unless Mr Ahern accepted the principle that corporate donations should end.
Government sources accepted last night it might have to abandon an attempt to get all-party consensus on political funding and might have to introduce legislation itself.
Mr Ahern made it clear in the Dail he did not agree with abolishing corporate donations, as such a move would be "against the Constitution".
The Taoiseach announced the establishment of the committee on May 17th following pressure after the Flood tribunal revelations. He gave a commitment that the committee would report by September and any legislation it proposed would be drafted and enacted before the end of the year.
Fine Gael said last night it would not participate in the committee if all parties were not included. During sharp exchanges in the Dail yesterday, Mr Ahern said there were currently Bills covering various aspects of political funding from the Labour Party, the Government and Fine Gael. "If we are serious about trying to deal with the issues on an all-party basis we should do so." He said he would make another attempt to get the Labour Party on board. The Labour Party deputy leader, Mr Brendan Howlin, challenged the Taoiseach's claim that there was a constitutional right to corporate funding.
"I challenge the Taoiseach to publish his legal advice," he said.
A Labour spokesman said last night the party had used golf classics to raise funds for a number of years.
"We have always accepted that the practice was likely to continue, despite our position on corporate funding, so long as we were forced to compete with Fianna Fail and Fine Gael on their terms," said the spokesman.
`Our legislative proposals would ban corporate donations and also reduce trade union contributions to the party by around £30,000 a year. "No other party has suggested such a sacrifice and as is clear from the Taoiseach's statement today, Fianna Fail certainly have no intention of doing so. They wish to retain a system that confers massive electoral advantage on themselves."
In the Dail on May 16th, the Labour leader, Mr Quinn, said for the record, he wanted to make it clear again that his party and its representatives had solicited and received donations from private sources. "In the absence of a system of State funding, we will be probably be forced to continue to do so," he added.
Under current legislation, political parties have to declare any amount over £4,000 given by any one company in a year.