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Dáil Éireann díospóireacht -
Tuesday, 11 Feb 1986

Vol. 363 No. 10

Ceisteanna — Questions. Oral Answers. - Mostek Ltd., Blanchardstown (County Dublin).

7.

asked the Minister for Industry, Trade, Commerce and Tourism how much of the £5.4 million paid by the IDA to Mostek Ltd., Blanchardstown, has been repaid; the measures the Government or the IDA intend to take to recover the balance; and if he will make a statement on the matter.

The recoupment of financial assistance given by the Industrial Development Authority in support of industrial projects is a matter for the Authority.

I understand, however, that negotiations have been continuing with United Technologies Corporation, who were the parent company of Mostek Ireland B.V., Blanchardstown, at the time of closure, with regard to the repayment of IDA assistance. The Authority expect to bring these negotiations to an early and satisfactory conclusion.

That is a very unsatis factory answer. The Minister of State will recall that at the beginning of November in reply to a question of mine he said that the Authority expect repayment of a substantial proportion of their outlay on the project, that being an outlay of £5.4 million. Can he say when it is expected the repayment will be made? What steps are being taken to seek repayment of the £5.4 million or a substantial proportion of that money?

As I said in my reply, the negotiations are at a delicate stage and it would not be wise to forecast when they will conclude. I understand the IDA are confident they will conclude a satisfactory arrangement with UTC in the immediate future.

Do I understand from the Minister of State that there are negotiations proceeding under which Mostek may re-open a plant here? Is that the kind of negotiations he is talking about?

No, the negotiations I am talking about are in respect of the repayment of a grant.

Will the Minister of State tell us how negotiations in respect of repayment of a grant could be at a delicate stage? What is delicate about recovering the money due? This company have left us. They have left 400 people in Blanchardstown without jobs. What is delicate about negotiations to get the money back? I ask the Minister if I am correct in stating that when pulling out they did not give even five minutes notice to any of their staff, to the Minister or to the public.

That is not a question.

I am asking if it is true they did not give notice?

The Deputy repeated that four times since he stood up.

I am asking a simple question. They gave no notice whatever of their withdrawal.

The Deputy is not making it simple.

If that is so, why are delicate negotiations being conducted for the recovery of £5.4 million? They left 400 people without jobs in the major black spot of unemployment in Blanchardstown.

I have sympathy with the Deputy in his request for information. It is not my wish to withold information. The decision for the close down was taken by United Technologies Corporation who decided to discontinue semi-conductor business worldwide. I do not defend that reason but it was a decision taken outside this country.

The IDA are carrying out their responsibility to have repaid to them the grants outstanding. They are in negotiation with United Technologies Corporation in respect of grant money due to the IDA. These negotiations are at an advanced and delicate stage and it would not be proper for me to make a further statement.

Does the Minister see any problem in recovering the money?

I am confident of a conclusion to the negotiations to the satisfaction of the IDA.

Is the Minister aware that his colleague, the Minister for Communications, sent circulars around that area before Christmas, saying that there would be an expansion of work in this factory with a possible investment of £20 million and 500 extra jobs?

That is a separate question. I am calling the next question.

I am not responsible for the actions of the Minister for Communications.

Obviously this Minister is not, but the Minister for Communications has been misleading his constituents in the matter.

That is an accusation against the Minister for Communications. Is the Chair allowing it?

The Minister should not press that point since there were allegations made against himself earlier.

They were not addressed to me.

Will the Minister please reply to Question No. 8?

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