Tommy Broughan (Dublin North East, Labour)
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The very belated announcement of a 21-day deadline for a resolution of the crucial mortgage and banking elements of the Priory Hall disaster is welcome. However, the whole nation is exasperated by the terrible treatment of Priory Hall owner-occupiers and residents, who are essentially victims of an outrageous fraud. The response of the Government over the past two and a half years, especially the refusal to meet residents, has been deplorable and shocking. The Government often seems to be more concerned about protecting bankers and developers than rehousing and urgently resolving the appalling mess at Priory Hall. On 16 July last, the Minister indicated to me that it was inappropriate for him to comment on the 16-month resolution process. Just a few weeks later, however, it collapsed. It is disgraceful that neither Members of this House nor the residents were kept informed about the process.

More than anything, former residents, owner-occupiers, desperately want a fresh start and to move to new homes. They want to be permitted to transfer mortgages to new homes of their choice and to have existing mortgages written down. At a recent meeting of the finance committee, several of the banks and mortgage providers give their usual harsh and ruthless responses. I welcome the belated positive response of Mr. David Duffy of Allied Irish Banks and Mr. Jeremy Masding of Permanent TSB. The other rescued pillar bank, Bank of Ireland, and the publicly owned EBS must also recognise the unique nature of Priory Hall. IBRC should also be ordered to facilitate Priory Hall families. The Minister has special responsibility to ensure that foreign-owned banks, including foreign state-owned banks such as Ulster Bank, Bank of Scotland, Certus and KBC, also do what is necessary to transfer and write down household mortgages at Priory Hall.

The planning of the north fringe of Dublin city is an ongoing disaster. Former residents and constituents want Priory Hall's main street or boulevard to be demolished and replaced by a new properly built and sustainable development. A figure of €12 million has been mooted by the Minister. I urge him to make an announcement on that.

Terence Flanagan (Dublin North East, Independent)
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I thank the Ceann Comhairle for the opportunity to raise again the issue of Priory Hall in the Dáil. I welcome, in particular, the statements by the Taoiseach and Minister for the Environment, Community and Local Government in the past week and the Tánaiste's statement today that the resolution of this debacle is the Government's priority. The resolution has been my priority from the outset, as it has been for the local residents. The residents are the innocent party, who, through no fault of their own, are not able to live in their homes which they paid well for. Quite rightly, the city council has been housing the residents in alternative accommodation. That will continue until this housing crisis is fully resolved.

The major issue for homeowners, which I have raised with the Minister for the Environment, Community and Local Government, the Taoiseach and Minister for Finance, is the outstanding mortgages of the homeowners. There is a major injustice in having to pay a mortgage for a property that lies empty and which cannot be lived in. There are homeowners whose interest payments to their banks are increasing all the time. They are being charged interest on interest and their credit ratings are being downgraded constantly, which is very unfair.

We all know that Priory Hall is the worst example of substandard construction in Ireland. Its poor construction shows up the inadequate building regulation that existed during the Celtic tiger years. The Minister has addressed that. Yesterday, I raised the issue of Priory Hall with the Taoiseach on the Order of Business and requested that he immediately put in place a process to keep local public representatives and the residents' committee of Priory Hall updated on all developments involving the various interested parties, including the banks, Dublin City Council and the Department of the Environment, Community and Local Government. Unfortunately, over the past two years, there has been a lack of information and transparency at times regarding the process, which has greatly added to the anxiety of residents. I have maintained regular contact with Dublin City Council, the Department and the Minister at all times regarding this matter. I have been concerned at times over little information being forthcoming. I am delighted the Taoiseach has now agreed to the request by me to put in place a formal reporting process.

Barry Cowen (Laois-Offaly, Fianna Fail)
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As stated, the unfolding tragedy of Priory Hall was brought home with real force to the entire country with the emotional interview of Stephanie Meehan on the “Late Late Show” and by the sad death of her partner, Fiachra Daly, in July. Over the past two years, the stresses and strains of the disaster of Priory Hall have been taking a considerable toll on all of the 250 people evacuated from the building. Their dire circumstances have been a sad reflection on the Government's inaction. The collapse of Mr. Justice Finnegan's mediation process, as alluded to by Deputy Broughan, marked another blow to their hopes of a fair resolution.

This morning during Leaders' Questions, the Tánaiste indicated that the Government will finally ensure the Priory Hall situation will be resolved within the 21 days, as indicated last week. I understand that officials from the Department of the Environment, Community and Local Government have been instructed to meet Dublin City Council, the Irish Banking Federation, NAMA, former residents and other stakeholders and to report back with a proposed resolution. After two years of failure to act, during which the Minister for the Environment, Community and Local Government refused consistently to meet the residents affected by these dire circumstances, can he state categorically today that we are now to have real, decisive action in the form of a resolution, as proposed by the relevant parties, 21 days from the date the meeting was announced last week? Will the Government force the banks to write off the mortgages of the residents? Will the Minister meet them? What is the future of the complex itself? Is the Minister committed to having a suitable resolution, agreed to by all parties, go to the Government three weeks from the relevant date last week?

Clare Daly (Dublin North, Socialist Party)
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If we are now at the point of a resolution on this issue, there is only one reason for it, namely the tragic death of Fiachra Daly and the determination and courage of his partner, Stephanie Meehan, in bringing this issue back into the public domain. The reality, both in this Chamber and on the streets, is that Priory Hall residents have been making their call to have these issues resolved for a long time. A year ago in this Chamber, Deputy Wallace, other Deputies and I raised this issue. At the time, we called for all the developments we are now calling for again. The development should be demolished. The banks, which are our banks, should be made to pay a price for this and allow people to transfer their mortgages and move on with their lives.

We made the point that the rogue or criminal developer Tom McFeely, who was ultimately responsible for this matter, was able to build correctly in Britain. The reason he built well in Britain was because standards were enforced. If he had not built well, he would have been caught. Here we had the scandal of architects signing off on Priory Hall as fire safe and compliant with the regulations. When extra rooms were built that constituted a fire hazard, the architect in question never bothered examining the development at all. The system failed the residents here. The banks failed them also. All the resolutions we are now being told we are on the verge of achieving were called for by Members of this House and others 100 days after the residents moved out, a year after they moved out, a year ago and so on. What assurance can the Minister give us that the nightmare is finally at an end and that the families can move on and rebuild their lives?

Mick Wallace (Wexford, Independent)
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On 24 January 2012, we said in this Chamber: "The predicament of the people who lived in the Priory Hall complex was big news a while back and then it was in the news again but, sadly for them, the nightmare has not gone away". That was 20 months ago, which is frightening. A couple of days before that, I went to Priory Hall and examined some of the apartments. I examined beneath the surface just to see how they were built. I have seen good and bad construction work throughout my life but I was absolutely shocked by what was tolerated at Priory Hall. It was worse than usual. I felt then that, as a builder, I would not actually have liked the challenge of making the work good. It would have been so difficult. I felt then that the development should be torn down. There is little doubt at this stage but if there is to be fairness the residents should have their mortgages wiped. They should be entitled to new mortgages for new properties. The site should be levelled for now. It would not be fair to ask the residents to return to the property. The building cannot be made suitable for living in as ought to be the case.

So many people are culpable. The builder was obviously culpable. The architect and engineer who signed off on it are culpable. The bank sent out valuers to check the buildings to make sure they were worth the money the residents were parting with. They are also culpable and the Government must force them to take responsibility.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I thank the Deputies who have expressed a continuous interest in this matter. I also acknowledge the resilience and strength shown by the former residents of Priory Hall in facing an extremely difficult situation since their homes were evacuated almost two years ago. No homeowner should have to experience what they have lived through in that time.

I wish to set out the context. Following the evacuation of Priory Hall, a resolution process, under the chairmanship of Mr. Justice Finnegan, a retired President of the High Court, was put in place in the context of legal proceedings which were adjourned to afford relevant parties the opportunity to work together to identify a way forward in dealing with the complex problems at Priory Hall. I was not a party to these legal proceedings and became aware formally this month that, regrettably, the process had not identified a basis on which the parties could agree to bring to a conclusion the various matters at issue at Priory Hall.

Mr. Justice Finnegan reports, through counsel, to the courts, not me. Owing to the legal constraints, I could not intervene until I had heard formally, through Dublin City Council, about the end of that mediation process. However, I did not hesitate once I had been formally notified of the termination and failure of Mr. Justice Finnegan's mediation process and intervened immediately. Some Deputies have argued today that I should have intervened before now, but we have a long record in this House of Ministers driving a coach and four through the courts and legal process. I certainly was not going to do this. I could not do it and completely disagree with Deputy Broughan's advocacy in that regard. I have to take legal advice. I also want to make sure the builders, developers-----

Tommy Broughan (Dublin North East, Labour)
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The law was broken.

Michael Kitt (Galway East, Fianna Fail)
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Please allow the Minister to continue without interruption, please.

Tommy Broughan (Dublin North East, Labour)
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The Minister is responsible for upholding the law.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Perhaps the Deputy is advocating that the developers, builders and other professionals to whom Deputy Mick Wallace referred should get off the hook.

Tommy Broughan (Dublin North East, Labour)
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No, I am not advocating that.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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By making the suggestion he made, the Deputy is putting me in that position.

The proceedings in question relate to an appeal by Dublin City Council against an order of the High Court that the council pay the costs of providing alternative accommodation and ancillary expenses faced by the residents consequent on the evacuation of the development. These proceedings are next scheduled to take place before the Supreme Court on 15 October 2013. Dublin City Council has recently guaranteed that it will continue paying the accommodation and ancillary costs, with the help of my Department, of the residents until February 2014.

Irrespective of developments concerning these proceedings, it is imperative to identify fair and equitable solutions for Priory Hall residents and in terms of the future of the complex. The most pressing issue is, undoubtedly, the need to find a solution to the unacceptable position in which the former owner-occupiers find themselves. Earlier this week I announced the Government's planned course of action in this regard. Meetings have already taken place with various parties. Senior officials from my Department have made contact with the relevant stakeholders and good progress is being made. Senior officials from my Department also met the residents of Priory Hall in advance of this process in order to elicit from them their bottom line and their own proposals for resolving these issues.

The full resolution of the Priory Hall issue is the ultimate goal. However, after two years in personally very difficult circumstances which nobody here would want to be in, it is vital that, above all else, the former residents are quickly facilitated, that this process is not dragged out and that people are allowed to get on with their lives. I have set down a short period of 21 days to reach conclusions on the matter which has already taken 15 months of Mr. Justice Finnegan's time through the courts process which ultimately failed. I am urging all parties directly involved to work together constructively towards that end. I assure Deputies Mick Wallace and Clare Daly that all options for the residents and the future of the complex are on the table.

Tommy Broughan (Dublin North East, Labour)
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I pay tribute to the courage of Ms Stephanie Meehan and the wider Daly family, as well as that of the other residents of Priory Hall.

What template has the Minister laid down in his Department's dealings with the banks for how this issue may be resolved? He has said officials have listened to residents, but what is he actually saying he wants as a bottom line? Has his Department or the Department of Finance been in touch with other EU financial authorities regarding banks not based in this country?

The only realistic option, as other Deputies have said, is demolition of the Priory Hall complex. Is it the case that €12 million or thereabouts, as mooted by some Ministers, is available for the demolition and rebuilding of the central street at Priory Hall?

The Minister referred to the past and said he was not a party to the proceedings. In that case, why did he not meet the residents? Since he was not a party, he could have met them.

I have asked the Minister umpteen times to have his Department carry out a review, a full investigation or a commission of inquiry in the north fringe under the McDowell legislation. That is what is necessary. All of the professionals who did not do their jobs, as well as the officials, could then be dealt with.

Terence Flanagan (Dublin North East, Independent)
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I thank the Minister for his response and outlining the background to this debacle. I raised this issue directly with the Taoiseach on the Order of Business yesterday when he said he would ensure a process would be put in place in order that all public representatives would be kept up to date on what was happening with the banks, Dublin City Council and all other interested parties. That is necessary because there is a lot of anxiety surrounding this issue. I ask the Minister to comment on this and ensure it does actually happen.

There are media reports today to the effect that the residents' financial adviser, Mr. Michael Dowling, has advised that the residents would like to have their mortgages absorbed by the banks and written off. Mr. Dowling has also advised that the residents want their mortgages to be replaced with new ones, with similar financial agreements for a property of their choosing. He has further advised that the former residents do not want to return to the complex, even if it is renovated. I ask the Minister for his thoughts on this. Can he give any indication as to what outcome he would like to see for the residents at the end of this process? Does he believe the banks should write off their mortgages? Should the development be renovated to a very high specification to enable the residents to return in the future or should they be given new mortgages for properties similar to those they originally purchased at Priory Hall?

Barry Cowen (Laois-Offaly, Fianna Fail)
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I thank the Minister for his response on the issues raised and wish to pose a number of questions emanating from it. In the first instance, Mr. Justice Finnegan reported to the courts and subsequently to the Minister, through Dublin City Council. Is it possible for Mr. Justice Finnegan's report to be made public? I ask because I am sure the contents may refer to the culpability to which Deputy Mick Wallace referred, particularly of engineers, valuers and the enforcement section of the council. The Minister has said the Supreme Court case listed for 15 October will solely be concerned with the cost of providing alternative accommodation for those who have been without their own homes for almost two years. The case will deal with that specific issue only and the Minister has said that irrespective of that process and the adjudication by the courts on that matter, he is still seeking a resolution within three weeks, dating from last week when this process was instigated. I ask him to confirm that it is his objective to bring a solution to the Government in two weeks time.

Clare Daly (Dublin North, Socialist Party)
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The proceedings involving Dublin City Council with regard to the provision of temporary accommodation had nothing to do with the bigger picture and the Minister's ability to meet the residents and push on this issue. While we are all really hoping the 21 day deadline will yield some results, there is something inherently tragic in this also because, in reality, nothing concrete has changed and nothing the Minister is now doing could not have been done at an earlier date. That lesson must be learned because, sadly, Priory Hall is not an isolated example. Across the road, at the complex in Belmayne, in which many of the Priory Hall residents are now living, there is a similar fire hazard.

It is not up to us to say what the solution is; that is for the residents to decide. They have developed a huge feeling of solidarity with each other and are getting a lot of support from each other. However, the idea of returning to Priory Hall is a nonsense and finding some mechanism, through the banks, is the only viable solution. It is tragic that we were tabling questions on this issue over a year and a half ago and asking about leverage from the banks in getting them to transfer mortgages.

The Minister for Finance told us it could not be done but the Minister for the Environment, Community and Local Government is now saying it can. I am glad it can be but it should have been done before now.

Mick Wallace (Wexford, Independent)
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I believe - I hope the Minister does too - that the primary responsibility of the Government must be to look after those who most need help and the vulnerable. There is little doubt that the Priory Hall residents were very vulnerable. They can be forgiven for feeling that the State has let them down. The local authority has also played a significant role in this matter due to the lack of enforcement of building regulations. The level of enforcement today has not improved. There is nothing wrong with our building regulations. The problem, however, is with the lack of enforcement. I know of developments that have not hit the news yet which are in the hands of the National Asset Management Agency, NAMA, but cannot be sold as they are serious fire hazards. There are cases of estates in which people are living where there is no access for a fire engine. The Government will have to set up a template for how it will deal with problems like Priory Hall because there will be more cases emerging and we need to ensure it will not take two and a half years to resolve them.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Deputy Wallace should know better than anyone that I signed building regulations recently that will come into effect early next year. This will ensure all developers, builders and other construction professionals will do what they should have done before now. Before now, a coach and four were driven through existing regulations, some of which were inadequate. I can send the Deputy a copy of the new regulations if he is not aware of their full content. It will be mandatory-----

Clare Daly (Dublin North, Socialist Party)
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They are not retrospective, however. The damage has been done. These buildings have been constructed with no regard for regulations.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I am not taking responsibility for the activities of my predecessors. I am trying to ensure this does not happen again. All options to help the residents in this plight-----

Barry Cowen (Laois-Offaly, Fianna Fail)
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Assessors were doing the work of engineers and architects.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I am not taking responsibility for Deputy Cowen's Government's activities.

Barry Cowen (Laois-Offaly, Fianna Fail)
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No member of the previous Government was working on the sites in question.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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All of the financial institutions involved have been contacted and there is a constructive attitude which I hope will continue. I want to see those builders held to account. While it may take a lot longer than solving the problems of Priory Hall, those involved will not be let off the hook.

After 15 months of mediation there was no solution. That mediation was triggered by the court process, which I have to observe. Others may have the luxury of not heeding legal advice but I do not have that. It is very frustrating for me and for the residents that this has dragged on for so long.

Tommy Broughan (Dublin North East, Labour)
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Will the Minister give us a copy of Mr. Justice Finnegan's report?

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Mr. Justice Finnegan reports to Dublin City Council and the courts, not to me.

Barry Cowen (Laois-Offaly, Fianna Fail)
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Dublin City Council could give us the report.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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It is significant and positive that the relevant financial providers, Dublin City Council, NAMA and other interested parties are prepared to engage. I am giving them a short time to come up with options to provide solutions for Priory Hall owners, both the residents and the buy-to-lets. I have delivered for Priory Hall residents where others have failed. I will not take any lectures from people who have driven a coach and four through building regulations in the past and who have done nothing about modifying those regulations to ensure this does not happen again. The regulations I signed in July 2013 will make a major impact and will make it difficult for unscrupulous developers or construction professionals to repeat the disaster of Priory Hall.

Barry Cowen (Laois-Offaly, Fianna Fail)
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On a point of clarification, will the Minister make available Mr. Justice Finnegan's report submitted to Dublin City Council?

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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That is part of the court process, not part of the political process.