Two are jailed over £1/4m software theft

A businessman who handled almost £240,000 worth of stolen Microsoft software has been jailed for a year and the man who masterminded…

A businessman who handled almost £240,000 worth of stolen Microsoft software has been jailed for a year and the man who masterminded the theft has been jailed for two years by Dublin Circuit Criminal Court.

Colin Kilgannon, the owner of Asset Management Consultants Ltd, was caught with £125,000 worth of the stolen software only four months after being caught with a batch valued at £113,000.

Ms Deirdre Murphy, defending, said her client was under severe financial pressure. Kilgannon (50),of Monaloe Park Road, Blackrock, pleaded guilty to two counts of handling stolen goods in November 1996 and January 1997. Derek Bailey (38) of Casino Park, Marino, pleaded guilty to three counts of stealing £264,137 worth of Microsoft software from Meadow Freight Ltd, Clonee, Co Meath on dates in 1996 and 1997. Judge Frank O'Donnell suspended the final five years of Kilgannon's six-year sentence and three years of Bailey's five-year sentence on condition that they keep the peace for three years.

He said Bailey was both "composer and conductor" of well-orchestrated crimes. As a former Meadow Freight employee, he persuaded a "key man" inside to help steal the software. He said Kilgannon's business was used as a front for "a heinous and corrosive crime". Det Garda Ian Ferris said Bailey used "stealth and cunning" but was not a violent man. He made a full confession and was of considerable assistance to gardai. Det Garda Ferris told Mr Justin Dillon, prosecuting, that Kilgannon's company upgraded and sold on computer equipment. Kilgannon had been persuaded by another computer businessman, Denis McEnteggart from Co Fermanagh, to store the £113,000 software the gardai found.

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Det Garda Ferris said McEnteggart had helped steal this £113,000 batch from Meadow Freight Ltd along with four others. He was given a suspended sentence at an earlier hearing for this.

Det Garda Ferris said nearly £250,000 worth of software in total was taken and Kilgannon was involved in two of the shipments. Kilgannon was arrested on March 10th, 1997 and brought to Swords Garda station where he made a full confession.

Another co-accused, Darren Kavanagh, was stopped by British police following the discovery of the thefts, after he delivered the final load to a warehouse in London. Kavanagh later made a full confession to gardai and led them to a warehouse in Shankill which was being used by Kilgannon's company. A further co-accused, Michael Moore, was one of two employees who had access codes to change details of the computer stock being held by the company. Meadow Freight carried out stock counts every three months, and the thefts were planned in between inspections. He has yet to be sentenced.

Det Garda Marcus DeLong said that on July 11th, 1997 gardai raided a courier business and uncovered a cheque and boxes of computer equipment linking Kilgannon to the theft of £125,000 worth of computer equipment from a company called KAO Info Systems.

Judge O'Donnell said he was satisfied Kilgannon had been persuaded by McEnteggart to store the first £113,000 software batch but he rejected Garda claims that Kilgannon was "a legitimate businessman" and said there was an attempt to shift the burden of guilt on to McEnteggart. The court had a great deal of sympathy for the Kilgannon family but also had sympathy for companies that suffered this type of crime.