A Crown Court jury in Belfast was told yesterday of meetings between the beneficial owner of ill-fated International Investments Ltd (IIL) and an official from the government of Gibraltar just months before IIL crashed, owing millions.
Mr Joseph Bautista, former financial sector adviser to the Gibraltar government, was giving evidence on the eighth day of the trial of ex-financier Mr Finbarr Ross (54), who denies a total of 41 fraud-related charges linked to the collapse of IIL back in 1984.
Mr Arthur Harvey QC, for the defence, asked Mr Bautista whether, during a meeting on April 6th, 1984, Mr Ronnie Vincent had ever "made it clear that he was the beneficial owner" of IIL.
The witness replied: "He only held himself out as a managing director."
Mr Harvey put it to the witness: "He gave you the impression of being a rather naive individual, who didn't know how he came to be managing director?"
"That is so; he appeared to be at a loss," replied Mr Bautista.
The court heard that Mr Revill, the provisional liquidator for IIL, and a Mr Triad, who was acting as adviser for Mr Vincent, also attended that meeting on April 6th.
Mr Bautista agreed with the suggestion from defence counsel that Mr Revill allegedly said it "would be quite feasible for the company to continue and pay its assets in full at some future date, since there were profit-making assets".
The witness agreed with Mr Harvey's suggestion that it was "indicated that the company would be given an opportunity to restructure itself".
Mr Bautista said: "He [Mr Vincent] had indicated deposits were around £5 million."
Defence counsel suggested that should such a restructuring take place, those who would run the company thereafter would be "like Caesar's wife - above reproach, seen to be untainted."
To which the witness replied: "Yes, if the whole thing was run honestly."
Mr Harvey continued his cross-examination of the witness by suggesting that Mr Vincent had given the impression that the company was a going concern and doing "lucrative business".
Mr Bautista said: "He gave the indication that everything was well."
The court also heard that one investor, the late Dr Lowe, took an action against the government of Gibraltar on behalf of IIL creditors.
The defence established that the action was taken by a Gibraltar-based attorney, Mr Isola, who at a later date acted on behalf of IIL liquidator Mr Galliano.
Before the court was adjourned, Mr John Creany QC, for the prosecution, read the sworn statements of 18 depositors claiming losses of over £115,000 sterling (€188,246). These statements contained similar evidence to that which had formed part of the indictment against Ross.
The hearing resumes on Monday.