Mr Liam Lawlor has conceded he concocted an invoice for £100,000 sterling in an effort to hide what was described as a "surreptitious payment" to him by property developers.
The former Fianna Fáil TD told the Mahon tribunal yesterday he was paid the money for his part in discovering an office building in Piccadilly for a company called Lunar Sea Developments.
However, the two directors partners in that company, Mr Michael Whelan and Mr John Barrett, told the tribunal today that Mr Lawlor had no part in their acquisition of this building and that an invoice sent to them from Mr Lawlor's London solictitors, Seddon's, was false.
They said they had actually paid the £100,000 as part of a "surreptitious" cash payment relating to the sale of an acre of land beside Mr Lawlor's home in Somerton, Lucan, to their company, Maplewood Investments.
Mr Whelan said he was approached by Mr Lawlor in September 2000, offering to sell him the land. He said he owned around 160 acres of land in the area, including about 20 acres he had previously bought from Mr Lawlor. He said they agreed a price of £820,000 but said Mr Lawlor wanted "a cash element to be included". The exact figure was not discussed.
A contract was sent to Mr Whelan's solicitors, containing a demand for £620,000. Mr Whelan said he understood this to mean he would have to pay Mr Lawlor £200,000 in cash. He consulted Mr Barrett, who told him they would be unable to raise that much. They then discussed with Mr Lawlor to pay him a cheque for £100,000 sterling through Lunar Sea Developments, the tribunal heard.
"So this was a surreptitious payment?" Mr John Gallagher, SC for the tribunal, asked Mr Barrett. "He didn't want it traced to him and you didn't want it traced to you". The witness replied: "Correct".
Mr Lawlor previously told the tribunal he sold the land for £690,000, rather than the £820,000 he actually got for the property. Mr Whelan accepted today that the final contract was drawn up for a total of £690,000, but this did not include the extra £100,000.
Mr Lawlor subsequently sent Lunar Sea Developments an invoice on Seddon's stationery for "advice" given in relation to the Piccadilly sale. He said he wanted the money paid directly to the solicitors, rather than himself, as he owed them money for legal services.
However, he conceded this afternoon, after being asked nearly ten times by the tribunal chairman, Mr Justice Alan Mahon, that this was a "false invoice".
Mr Lawlor also admitted to the tribunal that it was possible he could have access to blank Seddon's stationery for the purpose of drafting the invoice himself.
Prior to giving his evidence, Mr Lawlor - who is not legally represented as he says he cannot afford lawyers - was warned by the chairman of the "seriousness of giving evidence under oath that you know to be false".
