Former lobbyist Frank Dunlop has told the Mahon Tribunal that a Fine Gael councillor became a danger to the Quarryvale development because he was so brazen about his demand for money.
Mr Dunlop said the late Tom Hand persistently demanded £250,000, claiming he was already being offered a six-figure sum by a rival developer.
Earlier, Mr Dunlop admitted he was incorrect in sworn testimony about his allegations of bribes paid to councillors.
Mr Dunlop admitted that his bank accounts records do not back up his claim that he paid a £12,000 bribe to Fianna Fáil councillor Sean Gilbride in June 1991.
He had told the inquiry that an account at AIB Rathfarnham was the source for corrupt cash payments.
But there was no withdrawal to match the £12,000 payment from there or from any of his accounts.
Patricia Dillon SC for the tribunal pointed out that the records would support Mr Gilbride's contention that he only received £2,000 as a legitimate political donation for the local elections.
Mr Dunlop admitted he gave incorrect evidence in his statement in 2000 but said it was not deliberate.
He insisted he paid Mr Gilbride £12,000 but said he must have got the money from some other source.
Mr Dunlop also said it was an 'oversight' not mentioning in his original statement that he also paid a £2,000 bribe to Fine Gael councillor Liam Cosgrave for Quarryvale.
All the councillors involved deny corruption.
