O'Leary apologises to judge

Ryanair chief executive Michael O’Leary has apologised unreservedly to a High Court judge over a “lie” in a letter to Minister for Transport Noel Dempsey.

In the letter, Mr O'Leary alleged Mr Justice Peter Kelly had publicly criticised the Minister over “inexcusable” delays in setting up an appeal panel against proposed new charges at Dublin airport.

Mr Justice Kelly today said he found “offensive” and of “grave concern” that he had been seriously misrepresented in a material way in a letter from the Ryanair boss to Minister Dempsey on February 25th last.

Mr O’Leary had attempted to justify his claim by a “pathetic” and “wholly unbelievable” reference to quotations from the court transcript, in which the judge referred to discrepancies in laws allowing for appeals against decisions of the Comission for Aviation Regulation (CAR). He had never criticised the Minister over delays, “inexcusable or otherwise” and Mr O’Leary should not have put the matter as he had.

However, because Mr O’Leary had apologised unreservedly to the court and had undertaken to write a letter of apology to the Minister stating his remarks about the judge were wrong, he would not take the matter further.

Given other incorrect statements by Ryanair, the judge added he wanted to see Mr O’Leary’s draft letter of apology to the Minister by next Tuesday before that letter was sent.

Mr O’Leary was lucky the matter was not treated as contempt of court, the judge said.

It was “a very poor state of affairs” when the chief executive of a public limited company took it on himself to write to a Minister seriously misrepresenting the court and ascribing comments the judge did not make.

As a mark of oppobrium, the judge awarded costs on the highest level against Ryanair of proceedings arising from claims by the CAR that Ryanair had seriously mislead the court in affidavits.

The proceedings arose after the CAR last month sought to fast-track in the Commercial Court Ryanair’s proposed judicial review challenge to his December 4th decision fixing the maximum charges the DAA may levy at Dublin airport over a five year period to 2014.

Ryanair has appealed against the charges to an appeal panel set up by the Minister and also wants to challenge them via judicial review. Because a judicial review challenge has to be brought within two months of the charges decision but the appeal process can take considerably longer, it sought the consent of the CAR to adjourn its judicial review pending the appeal but that consent was refused.

Ryanair will apply on April 15th for leave to bring the judicial review challenge and the court will also then hear its application to adjourn that challenge. Both the CAR and Dublin Aviation Authority may also apply on that date to have the proceedings struck out on grounds of misconduct of them by Ryanair.

Today, Mr O’Leary was before the court to explain why the court was not informed last month in affidavits on behalf of Ryanair of an important letter of January 19th 2010 to Mr O’Leary from the Minister for Transport stating the Minister would set up a panel to hear Ryanair’s appeal.

A solicitor and Ryanair’s head of legal affairs, who had sworn the two affidavits referred to by the judge, said they were unaware when swearing those affidavits of the existence of the Minister’s letter to Mr O’Leary and had not been informed of that letter or of other extensive correspondence between the Minister and the Ryanair CEO.

Both men have apologised and Ryanair’s head of legal affairs told the judge yesterday it was his responsibility to check his CEO’s file and the mistake in the affidavits was “unfortunate and embarrassing”.

In evidence, Mr O’Leary said he was unaware the two affidavits had been sworn for the proceedings at the time they were sworn.

He agreed the assertion the Minister had not yet decided to form the appeal panel was untrue as the Minister had written to Mr O’Leary on January 19th saying he intended to set up a panel after the three month period for lodging appeals had expired.

He said neither the solicitor nor Ryanair’s head of legal affirs were aware of the Minister’s letter when those affidavots were sworn, both had apologised to the court and he himself also apologised.

There was no intention by Ryanair or by him to mislead the court, he added.

Mr O’Leary added the appeal issue was “irrelevant” in the legal action as the time for judicial review would have expired before any appeal panel was set up.

There was no reason why the Minister could not have set up the panel earlier so airport users could have cetrainty on charges, he said.

Mr O’Leary also agreed he had issued on March 5th a press release strongly criticising the Minister, whom he described as “dozy Demsey”, over not setting up the appeal panel when the Minister had written to him on March 3rd saying the panel would be set up. His press release appeared to have crossed with the Minister’s letter, he said.

He denied as “absolutely untrue” suggestions by Cian Ferriter, for the DAA, Ryanair has a pattern of misleading solicitors, the court, the DAA and the public, “an utter disregard” for the truth or that he showed the same lack of respect for the court as to all others who come in the way of Ryanair campaigns.