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Dáil Éireann debate -
Thursday, 5 Dec 1991

Vol. 414 No. 2

Written Answers. - Irish Helicopters Information Leak.

John Bruton

Question:

18 Mr. J. Bruton asked the Minister for Tourism, Transport and Communications if his attention was drawn to the attempted transmission by NCB of confidential financial information relating to Irish Helicopters Limited to Celtic Helicopters Limited, either at the time of its attempted transmission or at the time of the appointment of the chairman of NCB, as chairman of Aer Rianta; and if he will make a statement on the matter.

Pat Rabbitte

Question:

27 Mr. Rabbitte asked the Minister for Tourism, Transport and Communications if he or any person in his Department had any communication, verbal or written with any personnel in (a) Aer Lingus, (b) Irish Helicopters, (c) NCB and (d) Celtic Helicopters regarding the reported transmission in 1988 to Celtic Helicopters of confidential business and commercial information regarding the operations of Irish Helicopters; the investigations, if any, which have been held by his Department into this affair; the outcome of any such inquiry; and if he will make a statement on the matter.

Dick Spring

Question:

36 Mr. Spring asked the Minister for Tourism, Transport and Communications if he will make a statement regarding the allegations that confidential information prepared for Irish Helicopters was transmitted to a company (details supplied); and if he will make a statement on the matter.

I propose to take Questions Nos. 18, 27 and 36 together.

Most of the matters covered by Deputy Bruton's and Deputy Rabbitte's questions have already been answered by me in communications with both Deputies. However, in reply to Deputy Spring's question and for the benefit of the House I wish to place on the record a comprehensive account of inquiries I received and responses I issued on all matters covered by the three questions I am now answering.

On Wednesday 25 September 1991 Deputy John Bruton telephoned my office and requested a meeting with me. I met Deputy Bruton and Deputy Yates within an hour in my office.

Deputy Bruton stated that he had been informed that some time ago, Aer Lingus (ALT) commissioned National City Brokers (NCB) to conduct a study on Irish Helicopters. It was alleged that a copy of the study, or of papers relevant to the study, were subsequently found in a briefcase at Dublin Airport, which allegedly belonged to a director of Certic Helicopters. It was further suggested that when no owner of the briefcase came forward, the case and its contents were given to Aer Lingus.

Deputy Bruton emphasised that while he could not guarantee the accuracy of the allegations, he had checked them to the best of his ability. He requested me to investigate the matter and to inform him of the outcome by Friday 27 September.

I undertook to make inquiries within my Department and through Aer Lingus and to come back to Deputy Bruton.

On 27 September I replied to Deputy Bruton and copied him with the response I had received from Aer Lingus in the matter. This confirmed that Aer Lingus were not aware of any briefcase incident but that they had been concerned at information they received as a result of a postal misdelivery to Irish Helicopters. However, following the issue of legal proceedings by solicitors on behalf of Aer Lingus, the airline received assurances in the form sought and "Aer Lingus were satisfied that it was unnecessary to take the matter further".
I also informed Deputy Bruton that the 1986 study to which Aer Lingus have referred in their reply was commissioned by the then Minister, Deputy Jim Mitchell, who engaged NCB to conduct a study into the future financing of Aer Lingus, including possible part privatisation of the company.
Aer Lingus had advised the Department of the dispute between Aer Lingus and NCB and of its outcome. The Secretary of the Department replied to Aer Lingus stating that he was glad to note that the correspondence between lawyers had led to an outcome which was satisfactory to Aer Lingus.
My Department had no other communication, verbal or written with Irish Helicopters, NCB or Celtic Helicopters on this matter.
On 27 September Deputy Bruton wrote to me with additional queries. This correspondence was released on Friday evening September 27 and appeared in detail in all national daily newspapers on Saturday September 28, 1991. On 28 September I replied to Deputy Bruton stating that the dispute between Aer Lingus and National City Brokers was settled between their lawyers during May 1988. Aer Lingus then felt that "they were satisfied that it was unnecessary to take the matter further". The then Secretary of the Department noted that the dispute had an "outcome which was satisfactory to Aer Lingus". The Minister and the Secretary did not consider further action was required. Therefore, neither the Cabinet nor other Departments were advised of the dispute or the settlement between Aer Lingus and National City Brokers.
I informed Deputy Bruton that I first became aware of the dispute at my meeting with him and Deputy Yates at my office in the Department on Wednesday evening 25 September 1991. The matter of the 1988 dispute, therefore, did not arise during my consideration in 1990 of the chairmanship of Aer Rianta.
On 4 October Deputy Rabbitte wrote to me stating that he was advised that the information which had come into the public domain concerning the Celtic Helicopters affair was only partly true; that he had been informed that no postal misdelivery had taken place but that information had been found in a briefcase at Dublin Airport. Deputy Rabbitte asked me if I would have the matter carefully investigated and let him know the outcome at my earliest convenience.
I responded to Deputy Rabbitte on 7 October enclosing a copy of the letter dated 27 September 1991 to me from the Group Chief Executive, Aer Lingus. I drew his attention to the last sentence of this letter in which the Group Chief Executive states that "we are not aware of any incident relating to a briefcase, such as is alleged". Despite this reply, Deputy Rabbitte immediately published these allegations.
I therefore felt obliged to issue a press release on 8 October deploring the questioning of Deputy Rabbitte of the veracity of the state-owned national airline, Aer Lingus and the State airport authority, Aer Rianta. Both companies had issued statements on 8 October — as Aer Lingus did some time ago — confirming that no briefcase incident, such as alleged by Deputy Rabbitte, took place. In addition, a former senior executive of Aer Lingus, Mr. Denis Hanrahan, mentioned by Deputy Rabbitte as the executive who dealt with the matter, had also confirmed that no such incident took place. I point out that I accepted these confirmations and that Deputy Rabbitte should also do so.
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