Lasta Mara, a bitter rival to a Co Clare ferry company, O'Brien Shipping Ltd, yesterday won a lucrative Government contract to provide cargo services to the Aran Islands for the next two years.
O'Brien Shipping has operated the service to the three Aran Islands over the past 12 years, receiving more than €7 million in Government subsidies.
However, the controversial contract was the subject of an investigation and hard-hitting report by the Comptroller and Auditor General. A separate Government report earlier this year found that there was dissatisfaction on the Aran Islands with the quality of the scheduled cargo service provided by O'Brien Shipping, a finding contested by the company.
The company re-tendered to continue operating the service last August.
However, the Department of Community, Rural and Gaeltacht Affairs yesterday announced that Lasta Mara has been awarded the contract, worth €1.8 million over the next two years. The company is part-owned by Mr Dick Grant, from Lahinch, who has been involved in a continuing dispute with the directors of O'Brien Shipping, Mr Bill and Kevin O'Brien, over passenger ferry services from Doolin, Co Clare.
This arises from Mr Grant's involvement in a separate company, Aran Islands Fast Ferries, which started a passenger service to the Aran Islands in competition to Doolin Ferries, a second company operated by the O'Briens.
Last month at Lisdoonvarna District Court, a charge against Mr Kevin O'Brien of assaulting Mr Grant at Doolin in August 2003 was withdrawn by the State due to lack of evidence.
Mr Grant said the company would provide a top-class service to the Aran Islands.
He said the company was investing €2.5 million in a new vessel.
Mr Bill O'Brien said yesterday that he was "not disappointed, but amazed" over the Department's decision.
"I question the way the whole tendering process was handled. I am quite happy that we provided a very good service to the Aran Islands over the 12 years of the contract."
