SAOIRSE32

Irish Independent Online

Seized cash part of bank heist haul
Trouble-shooter Flynn quits top jobs over Provo money laundering probe

GOVERNMENT trouble-shooter Phil Flynn became the first high-profile casualty of the IRA money laundering scandal last night as it emerged that the cash recovered by gardai is definitely part of the Northern Bank raid haul.

Senior security sources last night revealed they were now certain that the bulk of the money seized so far came from the Belfast bank robbery last December.

This sensational disclosure confirms the views of the Irish and British governments that the IRA was responsible for the bank raid and is potentially a killer political blow for Sinn Fein in the Republic.

One well placed source told the Irish Independent last night: “We are not fully revealing our hand at this stage but we are satisfied beyond all doubt from evidence we have acquired that most of the notes under examination came from the bank robbery.”

A major conference on the latest disclosures in a saga that has rocked the political, economic and security worlds will be held in Belfast on Monday.

It will be attended by Justice Minister Michael McDowell, Garda Commissioner Noel Conroy and Deputy Commissioner Fachtna Murphy as well as North Secretary Paul Murphy and PSNI Chief Constable Hugh Orde.

Sources said evidence showed the IRA under the guidance of its former finance officer had set up the money laundering operation some time ago.

But the huge volume of money stolen in the Belfast raid, €38m, proved to be overwhelming for the laundering operation and those involved were unable to cope.

Establishing the link between the seizures and the bank robbery was last night being hailed as a major success for the Gardai who had been on the trail of the mainly Cork-based operators for several months, predating the robbery.

Meanwhile, Mr Flynn last night confirmed he was stepping down from a number of important positions in the public and private sector while categorically denying he had any involvement in money laundering for the Provisionals or anyone else.

The former trade union leader confirmed he was questioned by the Criminal Assets Bureau about his involvement with the Cork finance company at the centre of the probe.

In an interview with RTE News last night, Mr Flynn declared himself an “unrepentant republican” who has done nothing wrong.

The 64-year-old businessman announced he was resigning as chairman of the Bank of Scotland (Ireland) Ltd and as chairman of the Government’s decentralisation committee and as a board member of the VHI. Stating that he was “shell-shocked” by unfolding developments, Mr Flynn denied any knowledge or involvement in money laundering.

However, referring to his role as a non-executive director of that company Mr Flynn acknowledged that it appeared “strange that someone who is chairman of one of the country’s biggest banks should be involved in a small struggling finance organisation”.

He said that in this sense his involvement in the company could be seen as “an error of judgment”.

Asked whether he might have been used wittingly or unwittingly by former colleagues in the republican movement, Mr Flynn said he was not involved in money laundering for republicans or anyone else.

Referring to his former background as a former member and Vice President of Sinn Fein, he declared: “I am an unrepentant republican, I have always been and always will be. I make no apologies for that.”

He said he was stepping down from his roles in the public and private sector because he did not want those bodies dragged into the current events.

But he vowed that when garda inquiries were complete he would return to a high-profile position in public life.

Brian Dowling and Tom Brady