Building firm CRH has criticised Senator Terry Leyden for comments he made in the Seanad calling for shareholders to withdraw their investment in the company due to its involvement in the construction of a "wall of shame" in Palestine.
Mr Leyden made the comments earlier this month, alleging CRH provided cement for the construction of the controversial security wall in the West Bank.
But in a letter to the senator, managing director of CRH Declan Doyle said his remarks were based on a misunderstanding of the position and that neither CRH nor Nesher Cement, which is part owned by CRH, had a direct involvement in the construction of the wall.
But at a Joint Oireachtas Committee discussing overseas development yesterday, Mr Leyden said he felt embarrassed by CRH's role in providing cement for this project.
"They are undermining what we are doing in giving assistance to the people of Palestine," said Mr Leyden. "They have sacrificed their principles for 30 pieces of silver."
Mr Leyden called for the board of CRH to withdraw its interest in Nesher "that provided cement in the region that builds this wall of shame around Bethlehem to take land away from Palestinians and to deny their human rights".
Meanwhile, the same committee yesterday passed a motion calling on the Government to increase its development aid to 0.7 per cent of GDP by 2010.
Speaking at the announcement of the committee's report, chairman Michael Woods said that contrary to some reports there would be no negative effect on State services by honouring this commitment to overseas aid.
"The Irish nation will still retain 99.3 per cent of everything we are making," said Mr Woods.
In welcoming the committee's support for 0.7 per cent by 2010, Michael D Higgins criticised what he called "uninformed comment" in the media.
"It is absolutely dishonest of some economists to be now suggesting we must meet this commitment at the cost of the poor at home," said Mr Higgins, who pointed out that military spending globally was at least 20 times the amount spent on overseas development aid.