A HIGH Court judge has referred papers in the case of businessman Breifne O’Brien to Garda fraud detectives after ordering O’Brien to repay some €13 million, plus interest and costs, given to him by friends whom the judge said were the apparent victims of a “highly successful but not particularly sophisticated confidence trick”.
An application by O’Brien’s wife, Fiona Nagle, to vary an order freezing her husband’s accounts so as to get some €4,000 weekly for household expenses was withdrawn after Mr Justice Peter Kelly refused to hear it in private.
Mr Justice Kelly said he was forwarding the papers for consideration by the National Bureau of Fraud Investigation because he believed they disclosed prima facie evidence relating to the commission of a series of criminal offences.
The judge said it was “particularly odious” O’Brien’s victims included not just long-time friends but the elderly pensioner father of one of those friends. The only thing in O’Brien’s favour was he had admitted wrongdoing, but that was of little consolation to his victims for the misery visited on them, he added.
As well as granting judgment against O’Brien, of Invergarry, Silchester Road, Glenageary, for some €13 million, the judge also made what he described as an unprecedented order freezing O’Brien’s assets below €14.5 million. Applying to vary that order, Bernard Dunleavy, for Fiona Nagle, who has five children, said she has “limited means” and was seeking some €4,000 a week for living expenses.
Mr Dunleavy argued that Ms Nagle had disclosed information touching on arrangements agreed between herself and her first husband concerning their two children which were family law matters and should be heard in camera.
When the judge ruled there was no basis to hear the variation application in private and also refused to transfer it to the High Court family list, Mr Dunleavy said he was instructed to withdraw the application and the judge awarded costs of it against Ms Nagle.
Mr Justice Kelly earlier dealt with applications by John Hennessy SC, for several plaintiffs, for judgment against O’Brien who is alleged to have operated a “pyramid” investment scheme over some 15 years misappropriating millions from several investors to fund his personal lifestyle and business interests.
Mr Hennessy said, while O’Brien had in a statement estimated his assets so far as some €36 million, the actual figure might be closer to €20 million when charges and liabilities were taken into account.
Granting judgment, Mr Justice Kelly said what had happened in this case was similar to the activities of fictional characters Montague Tigg [who set up a pyramid style insurance business with no money at all] and Chevy Slyme in Charles Dicken’s novel Martin Chuzzlewit and to the real life Shanahan stamps scheme of the 1950s involving businessman Paul Singer [which resulted in thousands of investors losing money].
The judge said those schemes were also about persuading people to part with their monies for investments and also involved the whole house of cards collapsing when the flow of investment stopped.
He then made orders requiring O’Brien to pay various sums, including €3,065,350 to farmers Louis and Robert Dowley, with addresses at Carrick on Suir, Co Tipperary, and €3,860,739 to David O’Reilly, a businessman of Fassaroe House, Fassaroe Avenue, Bray, Co Wicklow. Further orders require O’Brien to repay some €4.4 million to Evan Newell, of Brighton Gardens, Rathgar, Dublin; €1,107,350 to former High Court taxing master David Bell (88), of Kilgarth, Silver Birches, Dublin, and his son Peter Bell, a solicitor; and €450,000 to Daniel Maher, of Kiltiernan Pines, Westminster Road, Foxrock.
The judge also agreed to Mr Hennessy’s application to make an order freezing O’Brien’s accounts at €14.5 million, to include some €1.5 million costs, after counsel voiced concern individual freezing orders in relation to the various sums might not protect the position of all of his clients and other potential claimants.
The judge said any other potential claimants should move swiftly. The court had earlier heard O’Brien had disclosed in his statement of affairs some 10 investors, including the plaintiffs, were suing him for some €15 million.
O’Brien listed five other potential claimants – Patrick Doyle, Suzie C Callaghan, Martin O’Brien, Eamon Connor and Robert Dennison, and also listed unnamed family members as possible claimants.
Mr O’Brien’s listed assets include properties jointly owned with his wife, including their home in Glenageary, an apartment at Vico Road, Dalkey; a house in Barbados, an apartment in Sandyford, Dublin; a share in apartments under construction in Dubai; and shares and art works.
