Provo gangs off the hook as elite unit is shut down
JIM CUSACK
14 January 2007
IRA criminals in south Armagh knew that the North’s Assets Recovery Agency was to be abolished, days before it was officially announced, the Sunday Independent can reveal.
The agency had been set up - after the success of CAB in the south - to trace the millions laundered by crime gangs and paramilitaries. It has specifically tageted cross-border smuggling and illegal diesel washing by IRA members.
This has led to the belief that the surprise move was part of a deal between the British government and Sinn Fein, to secure Sinn Fein/IRA support for policing in the North. When the agency is abolished, it will make it more difficult, if not impossible, to investigate the financial affairs of senior IRA figures, like Thomas ‘Slab’ Murphy.
The support of Murphy, who was under active investigation, and of other terrorists-turned-criminals, is seen as essential in getting Sinn Fein/IRA figures in south Armagh to sign up to policing.
It is now likely that Murphy will be saved from further investigation.
The official announcement of the abolition of the agency came a day after Prime Minister Blair issued a statement on the role of the intelligence service, MI5, in the North. Sinn Fein hailed the statement as a “major victory”.
The announcement that the Assets Recovery Agency was to be “merged” with the Serious Organised Crime Agency in London was a surprise to other political parties.
However, according to well placed sources in south Armagh, news of the imminent closure, announced on Thursday, spread throughout the area last weekend.
Yesterday, the Fine Gael Senator Brian Hayes called on the Government to say if the closure was part of a “desperate deal” to get Sinn Fein to recognise the PSNI and enter government with the DUP.
He said: “I cannot understand why both governments seem to be playing such a high-wire strategy with the Provisionals. For the British government in particular, this news points to wanting to do a deal at any cost. It sends out wrong signals and is a sign of weakness.
“Any dilution of the Assets Recovery Agency or any merger with a UK agency would not only be damaging to the fight against organised crime in Northern Ireland, it would be damaging to the fight against organised crime on the island of Ireland. We need closer co-operation between the ARA and CAB. Both governments are trying to do this desperate deal which will compromise our security and damage efforts to take on organised crime.”
The ARA had been hugely successful. It hit border smugglers, including leading republicans, and loyalist drug dealers, seizing houses, pubs, businesses and other assets linked to crime.
Last autumn, the agency seized over €2m worth of houses in Manchester, which it said were bought from the proceeds of fuel smuggling.
The ARA in the North has accounted for almost half the entire proceeds seized in the UK, since it was set up two years ago.
Its chief Alan McQuillan is hated by the Sinn Fein/IRA. A former senior officer in the RUC’s Special Branch, he was previously involved in many high-profile cases against the IRA.
In an extraordinary week, Sinn Fein indicated it was set to recognise the PSNI - and apparently accept MI5 holding the role of intelligence gathering in the North - policies which are to be ratified at a special ard fheis at the end of this month.
This, both governments hope, will be a prelude to getting the DUP to share power with their former enemies. The deal was announced on the front page of Sinn Fein’s weekly paper, An Phoblacht, under the headline: Major victor on issue of MI5.
Officially, the British government position on the Assets Recovery Agency is that it is not being shut but merged with the Serious Organised Crime Agency (SOCA).
The North’s other political parties were informed of the “merger” in a letter from Northern Secretary Peter Hain on Thursday. He said the ARA’s 50 staff in Belfast will transfer to SOCA, which is based in London, but that this would not cause a “reduction of ARA’s current levels of activity”.
The move was criticised by the North’s largest business organisation, the Federation of Small Businesses, which pointed out that small businesses in the North face the highest extortion and racketeering levels in the UK, most of it coming from paramilitaries. The DUP described it as a “retrograde step”.

