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Gilmartin in direct evidence at Mahon

The property developer, Tom Gilmartin, has told the Mahon Tribunal that he met the former minister, Ray McSharry, on two occasions to discuss plans for the development of a shopping centre in Dublin in the late 1980s. Mr McSharry has denied ever meeting Mr Gilmartin.

Mr Gilmartin began giving direct testimony today to the tribunal, which is investigating planning decisions and payments to politicians.

He denied being responsible for recent leaks to the media. All witnesses in this module are being asked if they released the information.

Mr Gilmartin claimed that he was told he could 'end up in the Liffey' after refusing to pay £5m to facilitate a shopping centre development. Mr Gilmartin alleged the threat was made by an unidentified man in a Dáil corridor after he had met with cabinet members including the present Taoiseach, Bertie Ahern.

Earlier, the Tribunal lawyer, Sean Gallagher, said Mr Gilmartin claims he was brought to the Dáil by then TD Liam Lawlor in February 1989 and met the then Taoiseach, Charles Haughey, and seven members of cabinet.

Mr Gilmartin was hoping to build two shopping centres in Dublin.

Mr Gallagher said that when Mr Gilmartin made allegations of corruption to then city manager, Frank Feely, he attributed the £5 million demand and threat to Liam Lawlor. The Tribunal lawyer said this was a discrepancy that will be investigated by the tribunal.

Mahon hears of alleged £100,000 payment

Earlier, the Mahon Tribunal was told that the former Fianna Fáil TD, Liam Lawlor, was paid £100,000 in consultancy fees by a British company that was trying to develop a shopping complex at Bachelors Walk in Dublin in the late 1980s.

The company later decided not to proceed with the development, in which the property developer, Tom Gilmartin, had owned a 20% stake.

Mr Gilmartin claims the £100,000 was paid to facilitate the development, and that Mr Lawlor claimed to be acting on behalf of the Irish Government.

Opening the Arlington/Quarryvale module at the Tribunal this morning, John Gallagher SC said the money was paid in ten monthly instalments of £3,500 through Mr Gilmartin.

Mr Gilmartin stopped the payments in April 1989, after Mr Lawlor tried to withdraw £10,000 from his bank account in Blanchardstown.

Mr Lawlor admits receiving another cheque for stg £33,000 that was paid directly by Arlington Securities to a company called Economic Reports.

Mr Gallagher says Mr Lawlor now claims these payments were political donations to help with election expenses and the running of his constituency office.

But when Gardaí interviewed Arlington executives in London in November 1989, they denied making any payments to Mr Lawlor.

Earlier today, the Taoiseach, Bertie Ahern, was granted legal representation at the Mahon Tribunal, which is investigating planning decisions and payments to politicians. The former minister, Pádraig Flynn, was also granted legal representation.