Dáil debates

Thursday, 10 November 2016

Ceisteanna - Questions - Priority Questions

NAMA Operations

4:05 pm

Photo of Paul MurphyPaul Murphy (Dublin South West, Anti-Austerity Alliance)
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4. To ask the Minister for Finance his views on the reports in the press (details supplied) of repeated lobbying by a former Deputy to NAMA in regard to his business partners' interests in properties controlled by NAMA and the allegation in those reports that those business relationships were not declared to NAMA; and if he will make a statement on the matter. [34251/16]

Photo of Paul MurphyPaul Murphy (Dublin South West, Anti-Austerity Alliance)
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What are the Minister's views on a series of articles by Mark Tighe in The Sunday Timeson former Fine Gael Deputy Brian Walsh lobbying repeatedly on behalf of his business partners, particularly Mr. Liam Mulryan and Michael Finn, over a period of close to three years without making any disclosure to NAMA of his business relationships with those two people? Does the Minister agree that it is entirely inappropriate, at the very least, and possibly a breach of the NAMA Act?

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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The newspaper article that Deputy Murphy refers to includes a reference to a specific property. I am informed that NAMA was not the owner or seller of this property. The sale was managed by a receiver and, in accordance with NAMA's policy, was fully openly marketed and sold to the highest bidder.

The article also includes reference to correspondence between NAMA and a former Deputy about this property. Public representatives regularly engage with NAMA on both policy and constituency-related matters. NAMA welcomes this engagement. Such communication is in accordance with section 221 of the NAMA Act, which contains explicit provision for individuals to communicate with NAMA when acting in their personal capacity or in the course of their professional employment.

The key test for NAMA in the context of section 221(1) of the Act is whether or not a representation is designed to confer a material advantage on one party at the expense of taxpayers in general. Based on its engagement with all public representatives to date, including the engagement referenced in this case, NAMA does not believe there has been any instance that could be considered a breach of section 221(1). Any individual who has information on a breach of the law is required under the Criminal Justice Act to bring this information to the Garda.

Photo of Paul MurphyPaul Murphy (Dublin South West, Anti-Austerity Alliance)
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I referenced the letter to NAMA from Mr. Brian Walsh on headed Deputy notepaper raising a question about the sale of land that was subsequently put on the open market and sold to Mr. Liam Mulryan. In the letter, he urges NAMA to take measures to rectify the situation in a manner that benefits the taxpayer. Elsewhere, he refers to being contacted by "a concerned member of the public", despite there being no evidence of any such thing. What he does not mention in the letters — surely the Minister agrees this is a problem — is the fact that he was previously an employee of Mr. Mulryan, nor does he mention that he has owned at least six properties with Mr. Mulryan. He does not mention the fact that he was a director of Mr. Mulryan's companies. He has many other business associations. He is clearly a long-standing business associate of a guy who ended up owning the property partly as a consequence of his intervention. Does the Minister not see the problem here?

Photo of John LahartJohn Lahart (Dublin South West, Fianna Fail)
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I remind the Deputy that he should be careful about naming private individuals outside the House, even if they are mentioned in the media.

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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As the Deputy is aware, Deputies and others inside and outside the House frequently contact NAMA and are entitled to do so under law. As a matter of fact, NAMA circulated the number of a dedicated helpline and a dedicated email address for Deputies through which they can obtain information from NAMA. It is the practice of many Deputies to get such information on behalf of their community or constituents.

The former Deputy identified in the newspaper article did not inform NAMA of any business relationship with any parties on whose behalf he had made representations. NAMA has no way of knowing the nature of any relationship between public representatives and their correspondents. Any public representative will have a broad range of relationships with constituents and other parties and will make representations on behalf of these parties whether they are personally known to them or otherwise. I am informed that NAMA receives hundreds of written and direct representations from national politicians from across the political spectrum each year on a wide range of NAMA-related topics, including policy- and strategy-related questions and queries on constituency-related matters, including sales processes run by NAMA debtors and receivers. NAMA welcomes this engagement. It enables public representatives to hear the factual position on any given matter directly from NAMA rather than through third parties, who often have a vested interest.

It is important that elected representatives feel free to engage with NAMA. NAMA is a public body delivering on a public mandate set by the Oireachtas, and members of that Oireachtas have to be able to engage directly with NAMA. None of the representations that NAMA has received from public representatives or the engagements it has had with them falls within the category of lobbying and none is in breach of the NAMA Act. That is the information I have been provided with.

4:15 pm

Photo of Paul MurphyPaul Murphy (Dublin South West, Anti-Austerity Alliance)
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I have land records showing that Mr. Brian Walsh and the other person in question co-own six properties. I have other information from the Companies Registration Office, CRO, showing their relationship. I have still other information on common loans that were taken out. They have a business relationship. I am able to provide this information to the Minister and he is aware that a business relationship exists.

Similarly, a business relationship existed with another man whom I will not mention and who had a relationship with NAMA regarding a hotel. The former Deputy, Mr. Walsh, made representations to the effect that it was likely to result in a loss of revenue for NAMA and the incurrence of unnecessary legal fees and that this was a matter of public interest. Again, he did not disclose the fact that he had an ongoing business relationship with the man.

Given the fact that the Minister now knows about these matters, does he not view them as a problem? Given the fact that NAMA knows, since the issue is in the public domain, does it not have a legal responsibility to go to the Garda about it?

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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Several Deputies make representations to and inquiries of NAMA. NAMA does not require them to state what relationships they have with the people seeking the information or whether they are seeking it personally or on behalf of others. Deputy Paul Murphy might be right - I do not know whether he is - regarding the information that he is placing on the record, but there is nothing in what he has said that changes the position that NAMA does not believe that anything illegal happened, welcomes inquiries from Deputies and others and provides the information that is available to it as long as there is no attempt to confer a benefit on a particular person at the expense of the taxpayer.