PDs call for explanation of Manchester payment

The Progressive Democrats said today the Taoiseach still has issues to address in relation to receiving a payment of £8,000 from a group of Manchester businessmen while he was minister for finance in the 1990s.

McDowell and Parlon returning to the Dail yesterday

PD deputy leader Liz O'Donnell this morning called on Bertie Ahern to clarify the circumstances around the payment.

"In relation to the Manchester payments, there are still issues arising on that matter because there hasn't been the same level of scrutiny or inquiry in relation to those matters. The Taoiseach proffered this information about the Manchester payments quite late in the day," she told RTÉ's Morning Ireland.

"He dealt with it yesterday in the Dáil but only briefly in the sense that in his view he has dealt properly with those payments.

"Now I presume by that he means he has paid tax on those payments. Now in relation to the Code of Conduct, in my view it would certainly be outside the Code of Conduct currently, but whether or not it was outside the Code of Conduct at the time in 1994, that is a question that needs to be clarified."

Ms O'Donnell said the best place for Mr Ahern to address this issue was the Dáil.

Mr Ahern has admitted he received a payment for an after-dinner speaking engagement in Manchester in addition to getting around €50,000 from a group of friends at the time of his marriage break-up.

Last night, Tánaiste Michael McDowell described the Taoiseach's acceptance of money from friends in 1993 and 1994 as "an honest error of judgment".

Mr McDowell said last night he had no doubts that Mr Ahern had told the truth about the circumstances behind the €50,000 he received from a group of friends at the time of his marriage break-up.

He also insisted that although Mr Ahern should not have taken the money, despite the difficult circumstances, the issue had not compromised his position as minister for finance. However, speaking after a meeting of the Progressive Democrats parliamentary party in Leinster House yesterday evening, Mr McDowell urged Mr Ahern to repay the money with interest

"Based on what the Taoiseach has stated, it is clear to me that the actions of a group of friends in late 1993 and in 1994, in advancing to him monies to assist him in the discharge of liabilities arising from his separation, were ill-advised," he said.

"Based on what he has stated, it would also appear that these actions were well-intentioned and were not intended by them to have any improper effect or to compromise the Taoiseach in his then role as minister for finance or public representative.

"However, I think it fair to say in the light of what the Taoiseach has stated that accepting such help was an honest error of judgment and was neither dishonest nor corrupt."

Mr McDowell is expected to face severe criticism in the Dáil today over his support for the Taoiseach.

Fine Gael last night accused Mr McDowell of being driven by a determination to keep Fianna Fáil in office rather than the issue of accountability in high office.

Labour Party leader Pat Rabbitte claimed the Tánaiste's approach was self-serving. "We may as well have single-party government, as the PDs are now handcuffed to Fianna Fáil for the duration of this Dáil," he said. "After almost a week of untypical silence, Mr McDowell has made a fateful decision for himself and his party."

Green Party chairman John Gormley rejected Mr McDowell's statement as insufficient. "The gentle admonishment, that this was an 'honest error of judgment', is an insult to the many people who voted for the PDs because they would keep an eye on Fianna Fáil."