The second-largest published tax settlement to date has been made by the chairman of a large insurance group based in Cork.
The Irish Financial Services Regulatory Authority (IFSRA) is now expected to contact Mr Charles J. McCarthy, of Fermoy, Co Cork, to ask him to explain the circumstances behind his €6.4 million payment to the Revenue, as is usual in such cases.
The payment comprises a tax liability of €2.5 million, arising out of under-declared income tax, capital acquisitions (gift or inheritance) tax and PAYE/PRSI, and €3.9 million in interest and penalties. The case involved a bogus non-resident account.
Mr McCarthy is chairman and son of the founders of the McCarthy Insurance Group, of South Mall, Cork. The firm employs more than 100 staff and has an annual turnover of more than €50 million. A woman at the group's headquarters yesterday said there would be no comment.
The largest published settlement to date was for €6.9 million by Torose Construction Ltd, of Berkeley Road, Dublin, in 2002.
A spokeswoman for IFSRA, which has authorised the McCarthy Group to act as an investment adviser under the Investment Intermediaries Act, said it did not comment on particular cases.
However, she said the authority expected the highest levels of fitness and probity from senior managers and directors in the financial services sector. "You can take it matters to do with Revenue are examined, and if necessary appropriate action is taken," she said.
A spokesman for the Irish Brokers' Association, of which the McCarthy Group is a registered member, said the tax settlement was a personal issue and had nothing to do with the firm.
Mr McCarthy's name is one of 242 on a list of tax defaulters published in Iris Oifigiúil yesterday.
Also included on the list was the showband singer Big Tom, whose real name is Mr Thomas McBride, of Castleblayney, Co Monaghan. He made a settlement of €100,000 arising out of another bogus non-resident account case.
A Co Donegal priest, Father Hugh Sweeney, of Cloghan, Lifford, made a €125,792 settlement, again from a bogus non-resident account.
Three solicitors who were named in the Ansbacher inspectors' report appeared on yesterday's list.
Mr Michael O'Shea, Mr Roger P. Ballagh and Mr Terence E.Dixon, who work for the firm Kennedy McGonigal Ballagh, made settlements arising out of the Revenue's Ansbacher inquiries. The settlements were for, respectively, €114,000, €95,000 and €66,000.
A spokesman for the three said the liabilities arose from years ago when the late Mr Liam McGonigal was a partner of the solicitors. The solicitors did not know the location of the funds which led to the liability, and this was accepted in the inspectors' report.
