Documents relating to solicitor Thomas A Byrne's dealings with the EBS, one of four banks which yesterday secured judgment for a total sum of about €30 million against Mr Byrne, are to be sent to the Garda National Bureau of Fraud Investigation, a High Court judge ordered yesterday.
Mr Justice Peter Kelly said there were "disturbing matters" in the EBS documents which should be considered "by those charged with enforcement of the criminal law". The lender had contended sums were loaned on foot of undertakings which were not put in place and dishonoured "on a grand scale", he said.
EBS was one of four financial groups which yesterday secured orders from the judge requiring Mr Byrne to pay them a total sum of about €30 million. Mr Byrne, whose practice has been closed by the Law Society, was in court for the proceedings before the Commercial Court.
In separate applications, EBS secured judgment for €12.6 million; Anglo Irish Bank for €4.89 million; IIB Bank for some €9 million and ACC Bank for some €2.56 million.
Mr Byrne did not oppose the motions for judgment but, in the IIB case, his counsel Mr Sean Ó Siothchain expressed concern that "false matters" were sworn by a man and woman in affidavits made for the benefit of IIB when it secured an injunction on October 22nd which restrained Mr Byrne reducing his assets or accounts below €9 million.
In those circumstances, counsel indicated his side would be applying to vary or discharge that injunction and to issue proceedings against others. He said the court should note that a separate order freezing Mr Byrne's accounts had been granted by the president of the High Court in other proceedings.
Mr Ó Siothcain said false matters had been stated in affidavits made by two persons on behalf of IIB allegedly relating to Mr Byrne's dealings concerning a house in Ballsbridge, Dublin 4. In one of those affidavits, a man had sworn he had no legal or beneficial interests in the Ballsbridge house and had not executed any documents relating to any transfer of such an interest to Mr Byrne or anyone else. The man also said a signature on a document of July 14th, 2006, was not his. In the second affidavit, the man's partner said she was the sole owner of the Ballsbridge property.
Mr Ó Siothchain said Mr Byrne was contending the man had previously mortgaged the Ballsbridge property to Irish Life and Permanent TSB.
Mr Justice Kelly agreed with Mr Michael Cush SC, for IIB, that the matters raised were not relevant to IIB's application for judgment for €9 million against Mr Byrne, that Mr Byrne had made no defence to that application, and he made the order for judgment. The judge said Mr Byrne had offered a lot of properties as security for the sums loaned by IIB but, when searches were carried out, these revealed many properties were the subject of prior mortgages with other institutions.
He adjourned the hearing of Mr Byrne's motion to discharge the accounts freezing order to Monday next. The court was told last week those orders had been too late to prevent the disappearance of a sum of €9 million, loaned by IIB Bank to Mr Byrne and lodged in an NIB account.
