THE Taoiseach rejected a demand by the Fianna Fail leader that the controversy relating to Mr Michael Lowry be referred to in the terms of reference of the Dunnes Stores payments tribunal.

Mr Bertie Ahern said that whatever else was involved in the inquiry, it started based on matters surrounding Mr Lowry.

"It seems incredible to me, and I am sure to the world at large, that the person who commenced the entire investigation is not mentioned anywhere in the terms of reference. It seems an extraordinary oversight, or maybe not an oversight."

Mr Bruton said that several names had been mentioned as the recipients of money in many conversations, and in one case referred to publicly in one publication.

Mr Lowry, he said, had acknowledged the situation, made a public statement and co-operated with the Buchanan report, so there was no need to single out one name. "I think it is important that the terms of reference of the inquiry should be neutral and refer to all."

The PD leader, Ms Mary Harney, said that everybody in the House was under investigation, although the genesis of the inquiry, arose from what was called the Michael Lowry affair.

There were issues surrounding his tenure of office, and to do with other matters which he had dealt with in his statement to the Dail last December, which should be covered by the tribunal.