Graphic evidence by Gilmartin applauded from public gallery

Property developer Mr Tom Gilmartin has said that the £50,000 donation he gave to Mr Padraig Flynn for Fianna Fáil was paid to…

Property developer Mr Tom Gilmartin has said that the £50,000 donation he gave to Mr Padraig Flynn for Fianna Fáil was paid to "sort out crooks" who were trying to "cash in" on his investment, writes Paul Cullen.

He denied that the payment had been intended as a bribe and said he would never bribe anyone.

The developer yesterday described the circumstances in which he paid the money to Mr Flynn in 1989. Insisting that the money was intended for Fianna Fáil, he dismissed the politician's contention that it had been given for his own election expenses.

Mr Gilmartin's graphic evidence was interrupted twice by applause from the public gallery.

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He said that on June 2nd, 1989, he phoned Mr Flynn's private secretary, Mr Gerry Rice, who arranged a meeting with the minister at his office in the Custom House at 6 p.m. that evening.

When he arrived, he saw that Mr Flynn was in a hurry. He was packing a briefcase and a car was waiting for him.

Mr Gilmartin said he told the politician that he had decided to make a donation to Fianna Fáil. He said he asked to whom he should make the cheque payable, and Mr Flynn replied: "Oh, leave it. Leave it on the desk."

Asked if he had made a personal donation to Mr Flynn, who was the party treasurer, Mr Gilmartin told the tribunal that it was for Fianna Fáil. "I was asked for a donation for Fianna Fáil and I gave a donation to Fianna Fáil."

Mr Flynn has told the tribunal in a statement that the money was given to help with his election expenses and that he had asked Mr Gilmartin specifically if the contribution was intended for Fianna Fáil. Mr Gilmartin had told him that the money was for personal expenses.

But yesterday Mr Gilmartin said none of these statements were correct. There was "very little spoken" during the meeting. Mr Flynn was too busy and was packing his briefcase. He said that he did not look for, or receive, a receipt.

Mr John Gallagher SC, for the tribunal, asked the witness if his intentions were "honourable" in paying the £50,000 to Mr Flynn. Was it intended as a bribe?

Mr Gilmartin said that he would not bribe anyone. He had "no shadow of doubt" about what his intentions were. "I came into a country that was on its knees, with queues outside the American embassy and kids begging on the London underground. I think it was despicable that people running the country had no interest in anything other than feathering their own nests."

At this point, the crowded public gallery burst into applause, but was asked to stop by the chairman, Judge Alan Mahon. But Mr Gilmartin said that he had a "right of reply". He had been portrayed in the media as corrupt and as someone who had bribed people. This remark prompted further applause. Again appealing for quiet, Judge Mahon said that his comment was not aimed at the witness.

Asked by Mr Gallagher what he expected to achieve with the payment to Mr Flynn, the witness said that he wanted "some chance" of getting his development scheme off the ground. He had risked everything, including his name, to get it to that point. It had been suggested to him by a government official that he had to pay money to get justice and he had "no option" but to do this.

Mr Gilmartin said he had talked to friends and corporation officials about Mr Flynn's request. People had advised him to pay the party a donation, which was not illegal, and to see what happened.

"This was despicable, that I had to pay the government to sort out crooks who were trying to cash in on an investment in the country."

Earlier, Mr Gilmartin told how, on the evening before he paid the £50,000 to Mr Flynn, he had a meeting with Dublin Corporation's chief valuer, Mr Michael McLoone. At the time, he was considering withdrawing completely from a land deal at Quarryvale because of the activities of George Redmond.

He said he told Mr McLoone about the demands for money and the suggestion by Mr Flynn that he make a donation to Fianna Fáil.

"They'll take your effing money and they'll still do nothing for you," Mr McLoone had replied, according to Mr Gilmartin.

Mr Gilmartin said he had responded: "By Christ, I'll have to do something, because I have an awful lot at stake."

He said Mr McLoone advised him to "give the effers nothing", but he had said he would "try it".

Mr Gilmartin also said that he told the Fianna Fáil national organiser, Mr Seán Sherwin, about the payment to Mr Flynn.

At his meeting with Mr Sherwin in late 1990 he had told the official about the problems he faced. Mr Sherwin told him: "If there's any money going, the party could do with it."

Mr Gilmartin had then told him about the donation he made to Mr Flynn. Mr Sherwin checked the party documentation and said there was no record of such a payment. He said that he would talk to "the powers that be".

Mr Sherwin has confirmed to the tribunal that he met Mr Gilmartin and that the developer had spoken about his difficulties with Mr \ Lawlor and about the payment to Mr Flynn. However, he felt that he could not really respond because he was involved only with organisational matters within Fianna Fáil headquarters.

Mr Sherwin says that he told the party's head of fund-raising, Mr Paul Kavanagh, about the Flynn payment shortly afterwards. Mr Kavanagh told him he had no record of the payment.

According to Mr Sherwin's statement, he did not pursue the matter further until Mr Albert Reynolds was elected Taoiseach in 1993.