Arms Crisis
In 1969, when conflict broke out in Northern Ireland, Blaney was one of the first to express extremely strong Irish republican views, views which contradicted the policy of the Irish Government, in support of Northern nationalists. Blaney was a native of Ulster and was affected by the outbreak of violence in parts of his home province. He was concerned about the plight of the Republican majority in West Tyrone and in Derry, areas that bordered his constituency in West Ulster. From around late 1968 onwards, Blaney formed and presided over an unofficial Nationalist group in Leinster House popularly known as 'the Letterkenny Table', so named because this group of politicians used to meet at a certain table in either the Dáil bar or the Dáil restaurant. The group was dominated by Blaney up until his death. He had also been one of a four-member Cabinet sub-committee set up to decide on government policy to Northern Ireland together with Haughey, Pádraig Faulkner and Joseph Brennan. A fund of £100,000 was set up to give to the nationalist people in the form of aid. However, those involved have denied that the government supported the importation of arms.
There was general surprise when, in an incident known as the Arms Crisis, Blaney, along with Haughey, was sacked from Lynch's cabinet amid allegations of the use of the funds to import arms for use by the IRA. Opposition leader Liam Cosgrave was informed by the Garda that a plot to import arms existed and included government members. Cosgrave told Lynch he knew of the plot and would announce it in the Dáil next day if he didn't act. Lynch requested Haughey and Blaney submit their resignations to the President. Both men refused, saying they did nothing illegal. Lynch then asked the President to terminate their appointments as members of the government. Boland resigned in sympathy, while Micheál Ó Móráin was dismissed one day earlier in a preemptive strike to ensure that he was not the Minister for Justice when the crisis broke. Lynch chose government chief whip Desmond O'Malley for the role. Haughey and Blaney were subsequently tried in court along with an army Officer, Captain James Kelly, and Albert Luykx, a Belgian businessman who allegedly used his contacts to buy the arms. After trial all the accused were acquitted but many refused to recognise the verdict of the courts. Although cleared of wrongdoing, Blaney's ministerial career was brought to an end.
Lynch subsequently moved against Blaney so as to isolate him in the party. He was defeated by George Colley in a vote for the position of Joint Honorary Treasurer at the 1971 Ardfheis, while his constituency colleague, Liam Cunningham, had been appointed a Parliamentary Secretary in the cabinet reshuffle. In the Dáil Blaney abstained on a motion of no confidence on the worthiness of cabinet minister Jim Gibbons for office, sponsored by the opposition. Paudge Brennan and Desmond Foley acted similarly and, while the government survived, they were all expelled from the parliamentary party. When Blaney and his supporters tried to organise the party's national collection independently Lynch acted and in 1972 Blaney was expelled from the Fianna Fáil party for 'conduct unbecoming'.
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