Independent review of events leading to €4m award against council

An independent review group is being set up by Meath County Council to look into the sequence of events leading to a court case in which an award for €4 million was made against the council following the sale to a developer of a two-acre site in Ashbourne. The review will look at the council's role in the case, described by Judge Peter Kelly in the Commercial Court as "bungling and ineptitude of the highest order". The judge found that Darlington Properties Ltd bought the site from the council in 2006 for €4.5m after being told that a new road linking the land to Ashbourne town centre would be built. However, it transpired that the council had already granted planning permsision in 2005 for a separate development on the route of that proposed road. Judge Kelly awarded €4 million compensation to the developer. The council has decided not to appeal his findings that it is liable to Darlington but is appealing to the Supreme Court against the size of the award. The judge has directed that the council hand over €2.2m to Darlington in the meantime. When the council discussed the outcome of the case this week, there was criticism of the fact that information about the sequence of events leading to the sale of the land, and the implications of the mistakes made in the planning process, had not been made available to councillors. County manager Tom Dowling told Monday's meeting of the council that he acknowledged and regretted that mistakes had been made. While it was important to say that the matter would not have an effect on the council's day-to-day services, this did not mean that lessons could not and should not be made, he added. Announcing the establishment of a review group, the manager said councillors would be given the opportunity to engage with the review team. When complete, the group's report would be given to the chairman of the council's audit committee, and finally to the councillors. Several councillors raised objection to this process, saying that the review group's report should go to the cathaoirleach of the council. The review group will comprise Gerry Kearney, former department secretary-general and former assistant secretary with the Revenue Commissioners, who previously worked in the office of the Tánaiste with responsibility for ethics and public office legislation, and John Quinlivan, a member of the Local Government Efficiency Review Group and former Louth County Manager. Mr Dowling said that he believed the grounds for appeal to the Supreme Court were "realistic and strong". He added: "It is important to point out that the council did not dispute the specific facts of this case, nor does it now. The council believes and argued that there were many mitigating factors which should influence the amount, if any, to be awarded to the claimants." At Monday's meeting of the council, Cllr Brian Fitzgerald had tabled a motion calling for all the information in the manager's possession to be relayed to councillors. Following a discussion involving councillors and the manager, the councillor asked the council to defer his motion. Cllr Fitzgerald said he had hoped that at an information meeting held for councillors following the court judgment, they would have been given the opportunity to ask questions, but they were not allowed that facility. He said he felt annoyed and embarrassed after seeing reports of ther court case on RTE and in the newspapers. He said he had not been very happy to hear reports of "bungling and ineptitude" in a body with which he was associated. He said he had been aware there were difficulties with the case, but did not know the detail until he read it in the newspapers. He had read the court judgement a number of times and his reaction was that he "wanted to know what the heck had gone wrong". He could not understand why, despite all the knowledge and experience the councillors had, they were not informed of the details of the case. Had they been informed, he said, the case might not have reached court at all. "We were kept in the dark," he said. Cllr Joe Reilly said the terms of reference of the review group were perhaps the most important part of the establishment of the review. However, he said he thought the group should comprise three and not two people. He did not agree that the report should be given to the council's audit committee. "It should go to the cathaoirleach of the council," he said. While he welcomed the setting up of the review, Cllr Jimmy Fegan said it was fundamental that the review group see the legal advice that had been given to the council on the matter. What was important was that lessons be learned from the errors that were made, he added.