Former Esat Digifone chairman Mr Denis O’Brien did not want Telenor, a major shareholder in the company, to know about £100,000 that he claimed in 1996 was paid to the then Minister for Communications, Mr Michael Lowry, the Moriarty tribunal has heard.
Mr Barry Maloney, the former joint chief executive of Esat Digifone, also told the tribunal that Mr O’Brien told him on two occasions in August 1997 that the money was in fact never paid.
Mr Maloney said that during a meeting in October 1997 Mr O’Brien said that the money had become "stuck with an intermediary" and had never reached Mr Lowry or his account.
Mr Maloneysaid that this could have serious implications for Esat Digifone and he tried to dissuade Mr O’Brien from going ahead with the IPO until after the Moriarty tribunal had finished.
In a meeting which took place in Mr O’Brien’s house on October 14th, 1997, Mr Moloney claimed that Mr O’Brien told him that he didn’t want Telenor to find out about the issues with Mr Lowry because they would leak it to the media.
Earlier Mr Maloney said that he resigned as joint CEO in December 1996 so as to save his personal relationship with Mr O’Brien. He said that his business relationship with Mr O’Brien had become difficult and he wanted to put his friendship first as they had been close friends for 15 years.
Mr Maloney said that Mr O’Brien urged him to come back saying that if he didn’t, that he[Mr O’Brien] would lose his share in Esat Digifone. Mr Maloney agreed to come back after certain conditions were met.