John O'Donoghue (Kerry South, Fianna Fail)

I am limited in what I can say because there are matters before the commercial court. I am advised that it would be inappropriate to make any comment which might prejudice the outcome of a matter which is sub judice. CSID has instituted proceedings against Dublin Waterworld Limited, which is due to the failure of Dublin Waterworld to fulfil fundamental obligations of its lease. These have included the failure to pay rent and insurance, failure to provide audited accounts, failure to provide to establish a sinking fund, failure to agree a capital maintenance programme, as well as failure to discharge a VAT bill on the lease of over €10 million. Following repeated requests for payment, CSID began legal action against Dublin Waterworld to seek redress.

There is a sum of €10, 254,600 due on the grant of the lease. The issue has been referred by the court to Mr. Dermot O'Brien, deputy president of the Institute for Taxation, for arbitration under clause 10 of the lease. My view on the repair work is that the taxpayer should not be asked to foot the bill for any repairs carried out to the National Aquatic Centre. These are issues of liability between various parties. The Government rejects any liability for damage to the aquatic centre. All of these issues must be resolved in proceedings which are taking place in different fora.

The usual contracting parties normally find that differences arise in the interpretation of contracts and these issues are resolved by the courts or by arbitration. I await the outcome of the proceedings and I have little else to add.

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