Irish ISPAT was a private company and he had no information on its debts or the possible impact of its closure on creditors, Minister of State for Labour, Mr Tom Kitt told the House.

A creditors' meeting was planned for June 28th, he said. Mr Kitt was standing in for the Tanaiste and replying to a private notice question from Mr David Stanton (FG) who asked what steps Ms Harney was taking to avert the threatened closure with the loss of 400 jobs.

Mr Pat Rabbitte (Labour) asked what plans the Tanaiste had for discussions with ISPAT management. And Mr Simon Coveney (FG) asked what plans the Tanaiste had to maximise the likelihood of a rescue package.

The Tanaiste had a prior engagement from which she could not be released, Mr Kitt said. He traced the recent history of the Haulbowline plant. It was formerly owned by the State, up to 1996, when it was sold for £1: "It had run up serious debts and the workforce at the time was facing a bleak future."

ISPAT had undertaken to repay a $14 million outstanding loan to the European Coal and Steel Community. That was repaid in 1999 and the State had given a guarantee of £10 million on an ACC loan taken out by Irish Steel. This loan was due for repayment in 2003.

"My Department holds indemnities and a letter of credit in relation to this debt," Mr Kitt said.