Jim O'Keeffe (Cork South West, Fine Gael)

In raising this matter I offer the Government an opportunity to explain the reasoning behind what is, on the face of it, a crazy and illogical deal. The Government in all conscience should support this joint Fine Gael and Labour motion to have the Comptroller and Auditor General examine the purchase by the Government of a farm for a prison site at Thornton Hall. This is also an opportunity for the Minister for Justice, Equality and Law Reform to have the deal independently assessed and if he does not want to see an independent inquiry into the deal, he must explain to the Dáil why not.

How can a responsible Government that has in the past tried to promote itself as a watchdog of public funds fail to support an inquiry that is investigating the proper expenditure of such funds? We ask the office of the Comptroller and Auditor General to examine and make a report to the Dáil on this deal. That office has served the country well since the foundation of the State. It is one of the oldest offices in the State, having been established by legislation in 1923. Provision is made within section 7 of that legislation for a request to be made by the Dáil to the Comptroller and Auditor General to make a report on a particular transaction. We ask that provision be implemented.

While I have grave concerns with regard to the manner in which this deal was finalised and in particular the enormous amount of money paid for this farm, I genuinely am prepared to listen to the Comptroller and Auditor General and await his decision if this Government is prepared to allow the deal be examined. Surely the Government should welcome the opportunity to show that it has nothing to hide and support this motion. I am not encouraged at all by the amendment tabled by the Government which evades the issue and tries to raise a smokescreen hiding the core issue which is how the deal was negotiated and the large amount of money paid for the farm.

In light of last night's "Prime Time" programme on RTE television, will the Minister explain why he persisted in giving the impression that the preferred Coolquay site, selected after a lengthy search, was no longer available, when it clearly was prior to the deal with Thornton Hall being finalised? Why did the Minister, in an attempt to deflect attention from the appalling deal he had made, suggest that this site was better value for money in that it was €2 million cheaper than the favoured Coolquay site? Let us be clear that one can discuss money with regard to any site. The Minister could have proposed the Jury's Hotel site in Ballsbridge and point to a figure of €50 million per acre. We are discussing value for money for what was purchased as well as suitability of the site in question. The Coolquay site, as well as being far more suitable in terms of infrastructure, also had huge development potential. Thornton Hall was a highly unsuitable site with virtually no development potential. It was zoned agricultural and now carries the label of being the dearest farm in Europe.

We have expressed serious concerns in a number of key areas, and I focus in particular on the cost of this project. It cost €30 million for the farm alone, many millions of euro too much. I examined other farms sold in that area and adjoining counties. I checked with estate agents and valuers and with local authorities on the amount they paid per acre in Fingal, Kildare and Meath and it is quite clear that farms in the area were sold for prices ranging from €19,000 per acre to €34,000 per acre in some instances. I accept the price went that high for small lots. The comparison is with a cost of €200,000 per acre paid by the Minister.

The Minister must explain to the House his reasons and above all he must explain why apparently he is not prepared to allow an independent examination of this transaction by the Comptroller and Auditor General. To put it bluntly, why did he pay €24 million too much for this farm? After the deal was concluded, a nearby farm of 238 acres was sold by public auction. Nobody can question the value of land if it is sold openly at public auction. I understand it was at least as suitable if not more so than the farm the Minister purchased. It would certainly have caused less disruption. That 238 acre farm was sold for €6 million, in comparison with the price paid for the 150 acre Thornton Hall. That auction took place a short number of weeks after the Minister's purchase.

The Minister should also explain the role of Mr. Ronan Webster from CBRE Gunne, who appears to have negotiated the price, despite the fact that according to the minutes of a committee established by the Minister——

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