A prominent midlands businessman, Brendan Galligan was convicted yesterday in Mullingar, Co Westmeath, on two counts of tax evasion.

Galligan, with an address at Rathcolman, Mullingar, was one of more than 400 investors in an unauthorised investment scheme sold by National Irish Bank.

Judge Gibbons imposed fines totalling €1,500 after he convicted Galligan of knowingly or wilfully delivering incorrect income tax returns to the Inspector of Taxes in respect of the years 1992-93 and 1993-94.

At an earlier hearing of the case, a senior inspector with the Revenue Commissioners, Mr Donal Buckley, told Judge Conal Gibbons that Galligan (56), a former secondary school teacher, had failed to disclose income he had used to invest in an NIB scheme and also further sums, invested at the Bank of Ireland and Woodchester Credit Lyonnais.

Galligan had invested €19,000 in the Clerical Medical International (CMI) offshore investment products offered by NIB. The amounts owing on the three accounts amounted to €52,000.

Mr Paul Greene, for the defendant, had told the earlier hearing that his client, who pleaded guilty to the offences, was anxious to become tax compliant and had made a payment of £185,000 in respect of the two years alluded to and followed that with a €400,000 payment in the days leading up to his court appearance.

The court was told that Galligan, a father of three, employed eight people at his business, Mullingar Travel, and wanted to become tax compliant. He was extremely distressed by the matter and had taken legal proceedings because he felt he was "led up the garden path".

Mr Mark Connellan, State solicitor, said the Revenue was now satisfied the defendant was tax compliant.

Imposing penalty, the judge said Galligan had pleaded guilty to an offence which included a wilful act.

"It is a serious matter. Tax evasion is a criminal act. These crimes are against society at large and not against an individual. They are crimes just like theft or fraud," the judge said.

He accepted that Galligan was tax compliant and had come before the court with an unblemished record but he said a message must go out from the courts.

He said Galligan had done everything to put matters right, after he had been caught.

He imposed fines totalling €1,500 in respect of the two offences.