Minister for the Environment Dick Roche has appointed a local government auditor to investigate claims that Wicklow County Council tried to withhold a legitimate waste permit to benefit a developer.
Mr Roche confirmed the move yesterday following an examination of documents by officials from the Department of the Environment in recent weeks.
Two former elected chairmen of the council have cited "serious irregularities" in the issuing of the permit, which relates to the construction of the Ashford/Rathnew bypass by developers Morris Sisk.
Under the deal, Morris Sisk agreed to pay local landowners Roy and Eileen Byrne, Ballybeg, Rathnew, €460,000 in return for 20 acres of their land for use as a "borrow pit" for excavation material.
To benefit from the arrangement, however, the Byrnes first had to get both planning permission and a waste permit from the council.
Planning permission was granted in 2002 but a delay emerged in the issuing of the waste permit. In early 2003, the Byrnes became increasingly anxious about it and when they asked the council what happened to their permit application - made on their behalf by Morris Sisk - they were told a decision had yet to be made.
However, the Byrnes subsequently discovered a copy of a waste permit in their name had been sent by the council to the Environmental Protection Agency (EPA) in line with the procedure for approved applications.
Within weeks of being challenged over the matter, the council issued a waste permit to the Byrnes and described the earlier sending of a permit to the EPA as an "administrative error".
It subsequently emerged that the developer had contacted the council to question the need for the borrow pit as it was nearing completion of the bypass.
Morris Sisk never withdrew its application, however. To do so would have meant breaking its contract with the Byrnes.
County manager Eddie Sheehy has admitted "the inquiries made by and on behalf of Mr Byrne in relation to the matter were not responded to properly". However, Mr Sheehy said: "I have found no evidence whatsoever that there was any 'conspiracy' between Morris Sisk and council staff in relation to the matter."
Morris Sisk told The Irish Times that the circumstances did change regarding its borrow pit requirements. However, ultimately the permit had been issued and the pit availed of as originally planned. The company added it did not apply any pressure on the council regarding the permit.
The Byrnes said they were considering taking legal proceedings on the matter.
