In relation to the guaranteeing of borrowings, can the Minister confirm that Government sanction has been given right through 1980 and successive periods for successive borrowings by the company and that this, in effect, is formalising to a certain extent what has already occurred? In that context would the Minister share the view that we are not just talking about the £50 million, we are talking about the best part of £100 million?
Nítrigin Éireann Teoranta Bill, 1981: Committee and Final Stages.
Sections 1 to 3, inclusive, agreed to.
SECTION 4.
Question proposed: "That section 4 stand part of the Bill."
The position in regard to the guarantee of the borrowings is that the statutory limit of £100 million was reached a year or more ago. It was not possible to give a statutory guarantee for the borrowings which were in excess of that figure. In order to enable the company to get the money and remain in existence, we had to give what were called letters of comfort——
That is a very appropriate title.
They were no comfort to me, but that is what they are known as in the trade. We had to give some sort of understanding to those concerned that when a legislative opportunity presented itself, as it does here, we would extend the guarantee limits.
Is it agreed that the £50 million is money immediately on call?
That is straight equity.
But they have exhausted that £50 million borrowing sanction, so that, in effect, we are now formalising by way of Exchequer approval not only £50 million for immediate repayment at the end of the month but the £50 million which they have already borrowed——
There will only be one payment of £50 million. There will not be two payments of £50 million.
No, but is it true they have already borrowed another £50 million on foot of what we are sanctioning today?
It is borrowed anyway. It will be utilised in the repayment of borrowings.
Some people think we are only giving £50 million; in fact it is £100 million.
There is only a net payment of £50 million.
Question put and agreed to.
Section 5 agreed to.
Title agreed to.
Bill reported without amendment and passed.