With the permission of the Ceann Comhairle, I propose to take Questions Nos. 21 to 25, inclusive, together.
The first occasion on which the matter of the supply of office furniture to Irish Life came to my notice was on 20th October, 1975, when representations were made by Deputy Pat Joe Reynolds to me on behalf of a County Leitrim firm of office and contract furniture manufacturers.
On receipt of these representations extensive verbal inquiries were made by my Department of Irish Life, the IDA and Fóir Teo. My Department were informed that consultants had been engaged, that there were technical problems but that the matter was by no means settled. The company were made aware of my anxiety that everything possible should be done to place the contract in this country. The company's spokesman intimated that they were anxious to buy Irish and said the consultants had discussed the matter at length with the Industrial Development Authority. The company were asked to keep me informed.
On 17th and 20th November representations were made by the Minister for Labour and the general secretary of the Irish Transport and General Workers Union. A letter was sent by my Department to the company on 21st November and further verbal representations were made. The company's reply, received on 2nd December, said the matter was still under consideration and no order had been placed. In supplementary discussions my Department again stressed the importance of buying Irish and inquired if appropriate bodies, such as the IIRS, had been consulted with a view to enabling Irish firms to overcome technical or other difficulties. The company's spokesman gave an assurance that such steps had been taken and said that the placing of the contract was receiving very careful consideration.
On 11th December, in view of the gravity of the situation and notwithstanding the company's reply of 2nd December, another letter was sent on my instructions by the secretary of the Department of Finance to the managing director pointing out that there seemed to be widespread concern that the business might be placed abroad and asking that I be kept informed of developments. On 18th December the Department received a letter, bearing the date 15th December, from the company. Verbal inquiries by my Department on my instructions elicited the information that, although the letter contained the statement "we are in favour of accepting the recommendation of our consultants...", the contract had been placed irrevocably on the same date, namely 18th December, as the Irish Life letter had been received in my Department.
On 5th January the company were informed by my Department of the Government's intense disappointment that they had failed to make the necessary modifications in standards and arrangements with Irish manufacturers to ensure the manufacture of the furniture in Ireland.
Senior officers of my Department and I have on a number of occasions since had discussions with the chairman, managing director and property investment manager of the company. I have been furnished with copies of documentation relevant to the issue, which I have placed before the Government. Government inquiries into the matter are still proceeding.
In the meantime the company themselves, as the House will be aware, announced on 26th January that they were investigating urgently the feasibility of having the furniture in question manufactured in this country under licence. Discussions have taken place between the company and the Irish Congress of Trade Unions and a meeting has also been held with the Confederation of Irish Industry.
The contract does not concern carpets, which are referred to in two of the questions. I understand that it is the company's intention that these items should be purchased from Irish manufacturers.
As regards value-added tax, I wish to point out that imported furniture is liable at the same rate as furniture manufactured in the State.
At all times the best interests of Irish workers and industry, the company and their policyholders have been and will remain my primary concern.