Rory O'Hanlon (Cavan-Monaghan, Ceann Comhairle)
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I have received notice from Deputy Beverley Cooper-Flynn that she proposes to make a personal explanation to the House today and I have decided to permit a statement by the Deputy. The personal explanation will be heard without comment or intervention.

Beverley Flynn (Mayo, Fianna Fail)
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In view of allegations made about me today in this House, a Cheann Comhairle, I thank you for giving me this opportunity to make a personal explanation to clarify my personal position.

On Friday last, 6 February, a television station ran a story, apparently based on leaked material about matters due to be dealt with by the Mahon tribunal next month. The two central people in the story were my father, Pádraig Flynn, and myself. I was not given prior opportunity to respond before that broadcast. Following the broadcast, very serious allegations were made against me that I assisted Pádraig Flynn with tax evasion and-or set up a bogus non-resident account. On Friday, 6 February, I issued a press statement denying any personal wrongdoing, but the negative reports about me continued over the weekend of 7 and 8 February.

In 1998 I made a declaration to the Flood-Mahon tribunal, like many other TDs, Senators and councillors who were asked to do so. I answered each and every one of the written questions then put to me by the tribunal. None of the questions put to me in the questionnaire related to investments made on behalf of Pádraig Flynn. I heard nothing further from the tribunal until December 2003. On 17 December 2003 the tribunal asked me whether I had any documents relating to bank accounts of Pádraig Flynn and my mother, Dorothy Flynn, and I confirmed through my solicitors on 19 December 2003 that I did not. On 21 January this year the tribunal asked me for a narrative of my dealings with such bank accounts, which narrative was submitted via my solicitors to the tribunal earlier today. In submitting that narrative, I consider that I have fulfilled my ongoing obligations to the tribunal, both as a citizen and as a public representative. I am similarly prepared to answer as fully as I can any other questions the tribunal may subsequently ask of me.

On the recent television story and subsequent media stories about me, I confirm that the only bank accounts I dealt with on behalf of Pádraig and Dorothy Flynn were accounts they held through National Irish Bank. I started working for National Irish Bank on 1 September 1989. On 17 October 1989 I made out a report for Pádraig Flynn on a sum of £25,000 which he told me he wanted to invest. He did not tell me anything else about the source of that sum, nor did I know. In that report I suggested a number of different investment options. I recommended three investment unit trusts for consideration, namely, the MIM Britannia European Fund, the MIM Britannia Nippon Warrant Fund and Flemings International Eastern Opportunities Fund. All were legal investments then and are now. These companies, MIM and Flemings, were licensed and authorised to sell their products in Ireland. I accompanied the note to Pádraig Flynn with the then applicable exchange control form called an S2 which provided for notification to the Central Bank of Ireland of any transactions of that nature. As part of that report, and as highlighted by the media, I indicated that the investment would be confidential and not disclosable by the bank to any tax authority. Second, I advised Pádraig Flynn of exchange control requirements in relation to the investments. Third, I notified Pádraig Flynn of his personal tax obligations in the following terms, as quoted in the report:

In the hands of the investor there is liability to income tax on distributions, and on encashment after the investment period the proceeds are subject to Capital Gains Tax. Of course it is up to the individual investor to disclose the investment to the taxing authorities.

On 22 November 1989 Pádraig and Dorothy Flynn invested the IR£25,000 as follows: MIM Britannia European Fund, IR£15,000, the Nippon Warrant Fund, IR£5,000 and Flemings International Eastern Opportunities Fund, IR£5,000. Exchange control forms were duly completed in accordance with the then Central Bank requirements. The investments were placed in the names of Pádraig and Dorothy Flynn and myself, Beverley Flynn.

My parents, Pádraig and Dorothy Flynn, were at all times the beneficial owners of the investments. I had no beneficial interest in them at any time. My name was included simply to allow me to take care of any alternations of the investment down the line that my parents might request. Indeed, some subsequent dealings and encashments took place over a period of time and the fact that my name was on the account expedited that process. I ensured that investment updates were sent to Pádraig and Dorothy Flynn from time to time and I dealt with further investments by them in 1990 and 1994 in a similar fashion, supporting them with the necessary legal documentation.

When encashment of some of the investments took place in March 1993 and December 1994, my name was on the cheques but, as I have made clear, I had no beneficial interest in the sums invested. All the proceeds of such encashments were lodged in a National Irish Bank non-resident deposit account in the names of Pádraig and Dorothy Flynn and the address on that account was avenue Jules César 17, Brussels 1150, my parents' then address in Belgium. I had no further involvement with any of those investments and I left the bank on becoming a TD in 1997.

In my capacity as an employee of National Irish Bank, I believe that I fulfilled all my legal and ethical obligations in these investments. I did not own the funds invested. I did not personally benefit from the investments nor from the proceeds of the investments made by my parents. I did not set up a bogus non-resident account. I did not in any way engage in or assist tax evasion, as has been alleged. The allegations that have been made about me personally to this effect in recent days are false and unfounded.