UK developer 'astounded' by FF donation request

A British property developer has told the Mahon tribunal he was "astounded" to be asked for a donation to Fianna Fáil by the former minister for the environment, Mr Pádraig Flynn.

However, Mr Ted Dadley of Arlington Retail Developments accepted there was no connection between his refusal to pay the donation and an Irish Timesarticle that revealed his plans to develop a £100 million shopping centre on an 11-acre site in Bachelor's Walk.

Mr Dadley claimed Mr Flynn asked him for a "donation to the boys" at a Fianna Fáil fundraising lunch in the Reform Club in London in November 1989. The event was also attended by the Taoiseach, Mr Ahern, who was the Minister for Labour at the time.

Mr Bernard Madden, SC for Mr Flynn, asked Mr Dadley if was surprised to be asked for money. "You must be joking, I was absolutely astounded," he answered. "I have not been asked by a political party for any contribution to anyone, anywhere in my life."

He said he consulted with his Arlington colleague, Mr Raymond Mould, about the request before telephoning Mr Flynn to say "it would not be possible" as it was against company policy to make political donations.

Asked by Mr Donal O'Donnell SC, for Mr Gilmartin, if the reception he received in Ireland 'dimmed' after refusing to make the donation, Mr Dadley said  that was not the word h would use. "I would say 'terminated'".

Mr Dadley said in his statement to the tribunal that it was "ironic" that an article exposing his company's interest in the Bachelor's Walk site appeared in The Irish Times48 hours after refusing to make a donation to Fianna Fáil.

Arlington had been careful to use front companies to buy properties in the area to avoid publicity, which would drive up property costs. The press exposure meant that prices in the area soared. This became one of the reasons why Arlington was eventually forced to abandon its plans, Mr Dadley claimed.

However, he was forced to accept today under cross-examination from Mr Conor Maguire, SC for Mr Ahern, that he was mistaken about the relation between the two events.

The Irish Timesarticle had appeared on January 15 ^th, 1988 - 20 months before the lunch in London. Mr Dadley conceded to Mr Maguire there was no possible "linkage" between his refusal to make a donation and the newspaper article.

Mr Liam Lawlor later cross-examined Mr Dadley. He said the tribunal is trying to establish why the Bachelor's Walk development - "which we all wanted to see succeed" - was not built. "Did it fail because of gangsterism, corruption or political interference?" he asked.

Mr Dadley said Mr Lawlor promised to guide Arlington down the corridors of power. It was "extremely frustrating" to find all the doors "firmly closed".

Mr Lawlor asked the developer for exact details of the "roadblocks" that had allegedly been put in his way.

In a number of ill-tempered exchanges between the two men, Mr Dadley repeatedly said he could not remember the exact details of every meeting that took place. "You have to remember that this all happened 16, 17 years ago," he said.