A business consultant claimed in the High Court yesterday that a former Dublin lord mayor, Mr Michael Keating, had been a director of a company under investigation by the Criminal Assets Bureau.
In earlier court proceedings, Mr Keating, a former Fine Gael TD and former junior government minister, denied that claim.
Yesterday the allegation was made by Mr Peter Bolger (44), Glendown Lawn, Templeogue, Dublin, during evidence in an action over the ownership of a 1995 Mercedes car. Mr Justice Shanley is being asked to decide who owns the car.
Mr Bolger was arrested under the Drug Trafficking Act last September by officers of the Criminal Assets Bureau (CAB) at Dublin Airport, where the car was seized by the Dublin county sheriff, Mr John M. Fitzpatrick. Mr Bolger was released later without charge.
The CAB alleges the car is owned by Mr Bolger and says it was seized to part satisfy a £140,000 tax bill owed by Mr Bolger to the Revenue Commissioners. The vehicle is valued at £23,000.
Louisville Ltd claims it, and not Mr Bolger, owns the car. He told the court he was sales director of the company.
Mr Keating, who attended yesterday's court hearing, denied at earlier court proceedings that he is or was a director of Louisville Ltd, which trades as Eringold, Irish beef exporters.
During yesterday's hearing, Mr Donal O'Donnell SC, for CAB, called evidence of 14 criminal convictions of Mr Bolger in the UK for theft, fraudulent trading and forgery.
The court was told that Mr Bolger left England three days before his trial ended and received a three-year sentence in his absence. Subsequent proceedings aimed at securing his extradition to the UK were unsuccessful.
In evidence yesterday Mr Bolger said he had been primarily engaged in marketing beef and beef products in west Africa and eastern Europe. Following discussions with ministers of the Gambian government he had agreed to set up a 30,000 square foot beef processing plant in Gambia. About 150 persons would initially be employed and processing was expected to start in March.
Sometime after he came back from a visit to Africa he contacted Mr Michael O'Leary, associated with a Dublin accountancy firm, and asked for his assistance for the project. They bought a shelf company and also registered Eringold as a trade name. Louisville Ltd was incorporated in August 1996.
Mr Bolger said he assumed the role of sales and marketing director of Louisville, while Mr O'Leary was the managing director. It was not until later, when finalising contracts in Gambia, that Mr Keating became a director. Mr Keating had been to Gambia with Mr Bolger, and Mr O'Leary had also travelled to Gambia.
Asked about the events of September 18th, 1997, Mr Bolger said he arrived at Dublin Airport about 10 a.m. He was met by three gardai, who took him to Pearse Street Garda station, where he remained for almost 48 hours. He had driven the car to the airport and parked it there. He did not know where it was now.
Mr Bolger said that Eringold's value, with its contracts, was a conservative £5 million. He acted as a director of Louisville. The present address of Eringold was in Inchicore. It had moved from its previous location when the CAB investigation started last September.
Cross-examined by Mr O'Donnell, Mr Bolger agreed he was a director of another company, Blue World Ltd, which was used for the Gambian transaction instead of Louisville. The major shareholder of Blue World was Louisville.
He was the only director of Louisville because other parties had been harassed and threatened. Because of adverse publicity the Louisville name was not on contracts in Gambia. Accountants had advised him to set up another Irish company which would trade as Eringold.
Mr Bolger said he bought a red 180 Mercedes in August 1996 from Mr George Mitchell. He traded in that car for a Mercedes 250 model and this was owned by Louisville.
The hearing continues today.