Deputy Joan Burton said today that the government and the Minister for Sport must make a clear statement on the future of the National Aquatic Centre. This follows the decision of the coursts that Dublin Waterwold Limited are to hand over possession of the National Aquatic Centre.
Dublin Waterwold Limited are to hand over possession of the National Aquatic Centre to the the government company overseeing the Abbotstown Campus, “Campus and Stadium Ireland Limited” by order of Mr. Justice Paul Gilligan of the High Court.
‘It is high time Minister O’ Donoghue explained himself. Let us not forget that he was the one who specifically instructed that Dublin Waterworld Ltd get the contract to run a State asset worth €62 million. Now it seems he couldn’t have been bothered to check if that company was adequately financed to do the job.”
The case was brought to the High Court by Campus and Stadium Ireland Development, to remove Dublin Waterworld Ltd from its management of the Centre because of alleged multiple breaches of the lease by DWL and it’s failure to pay more than €11 million in rent. It emerged in court that DWL had a share capital of only €127 when it gained the lease in 2003 to a State asset worth €62 million. After CSID took legal proceedings, rent was paid up to date and other payments were also made.
During the court case the original funding arrangement with Limerick Businessman Pat Mulcair was described as a “tax driven deal”, particularly given that Mr. Mulcair was entitled to terminate the agreement if he did not receive the full whack of capital allowances worth €2.8 million a year or €34million over the life of the lease to him.
Deputy Joan Burton said she was mystified as to how a public project 100% funded by the state to the tune of €62million could attract capital allowances to benefit a sub lessor such as Mr. Mulcair.
“Yet again we see the the problems created by badly thought out tax incentive schemes.”
“This National Aquatic Centre project has been an amazing display of incompetence by the government. First, it turned out that a building which cost so much could not withstand high winds, and the roof of the pool blew off on New Year’s Day 2005. Then, staff and members alike were forced to wait five whole months before repairs were completed. There have been persistent reports of leaks and abnormally high water usage and other problems associated with the complex. This latest news, brought to light by the High Court case shows that while the National Aquatic Centre is a great resource for the people and families of Dublin West, the Government has totally undermined it through poor management.