Independent TD Mick Wallace has been told he should go to the Garda Síochána over his concerns about the “largest ever sale of property” in Ireland’s history.Tánaiste Joan Burton said he should go to the gardaí, to the board of Nama and to the Comptroller and Auditor General if what he described as “disturbing allegations” were true.
During leaders’ questions in the Dáil, Mr Wallace expressed concern about the Nama sale of the Northern Ireland loan portfolio, Project Eagle, which involved more than 850 properties.
He said the portfolio, with a par value of €4.5 billion, was sold to US private equity firm Cerberus Capital Management for less than €1.5 billion. He described it as the "largest ever sale of property in the history of the island of Ireland".
The Wexford TD, who has repeatedly called for an inquiry into the operations of Nama, said that following consultation in June 2012 with Minister for Finance Michael Noonan and his then Northern counterpart Sammy Wilson, the agency reappointed Frank Cushnahan and Brian Rowntree to its Northern Ireland advisory committee.
Mr Wallace said that two weeks later, a report from the Northern Ireland auditor’s office into the North’s Housing Executive led to the resignation of both Mr Cushnahan and Mr Rowntree.
The report found guideline breaches in the sale of at least 27 land deals, the executive board being given wrong or no information relating to key property deals, favoured property speculators were allowed to buy land well under market value and interest from other parties not being considered.
Mr Wallace said that despite the report, the two men remained in Nama, one of them until 2014.
Ceann Comhairle Seán Barrett intervened to remind him that it was not practice to name people who were not in the House to defence themselves. He said “this is not an inquisition”.
Mr Wallace also told the Dáil that a routine audit of a Belfast-based legal firm Tughans involved in the Project Eagle sale had shown up £7 million in an Isle of Man account, "reportedly earmarked for a Northern Ireland politician or political party". Mr Barrett intervened again and said Mr Wallace should give all those details to the Garda Síochána.
The Wexford TD said that in 2009, Ms Burton favoured an oversight committee for Nama and he asked if she would bring the idea forward again. Ms Burton said she was not familiar with the case he mentioned.
She reiterated that the Comptroller & Auditor General had a very specific role in relation to the oversight of Nama and had produced three reports on the agency, which were “broadly positive”.
She said it was regrettable that Nama ever had to exist but it was very difficult to give a definitive answer on the recovery value of anything which lost its value after the crash. Ms Burton told Mr Wallace: “If what you’re saying is correct, you should go to the gardaí, to the board of Nama and to the C&AG.”
Belfast firm responds to claims
In response to Mick Wallace’s claims in the Dáil, Belfast-based legal firm Tughans said they can confirm that “a former partner diverted to an account of which he was the sole beneficiary professional fees due to the firm without the knowledge of the partners. We have since retrieved the money and he has left the practice.
“Tughans reported the circumstances of the departure of the former partner to the Law Society. The practice is not linked to any political party nor has it ever made party political donations”.
Nama said the sale of its Project Eagle loan portfolio achieved the best price for the Irish taxpayer and involved a competitive bidding process won by the highest bidder.
