A Co Kildare farmer, who claimed bad advice from his bank manager led to his being on the dole, has lost his High Court action for up to £1 million damages against the Bank of Ireland.
Mr James Behan, of Dollardstown, Athy, said yesterday he would appeal Mr Justice Morris's reserved judgment to the Supreme Court.
Mr Behan (51) told the court that seven years ago he lost his 240-acre farm at Dollardstown House which was worth more than £750,000 and that in 1991 he had assets in excess of £800,000.
During a six-week trial, Mr Behan claimed that advice he got from the bank - to borrow money to expand his business rather than sell some of his land to clear off a high-interest loan - contributed to the destruction of his only means of livelihood. The Bank of Ireland denied it advised him to "farm his way out" of his problems and that it would back him while he did so.
Yesterday Mr Justice Morris described him as a progressive farmer who banked in the Bank of Ireland at the Potato Market branch in Carlow where he was a personal friend of Mr Vincent Power, the manager.
Mr Justice Morris said Mr Be han had become concerned at the amount of interest he was paying the bank for loan facilities and in May 1981 instructed his auctioneer to sell some of his land to reduce or remove his debt.
On May 18th that year, Mr Power had advised that problems then facing farmers would pass and that land prices would increase dramatically by the end of the decade.
Mr Behan claimed Mr Power coaxed him to reverse his decision to sell land and, to enforce his argument, handed him a farm loan analysis form which he had prepared for his loan application.
This form included a section in which the bank had made an assessment of Mr Behan's farming ability and rated it highly. Mr Power had assured Mr Behan that the bank would provide him with whatever finances he required, even if they exceeded £200,000, to overcome the crisis he faced.
Mr Justice Morris said Mr Behan had told the court he had taken Mr Power's advice. His case was that the advice was bad and not such that a reasonable bank manager, knowing it was likely to be acted upon, would have given in the circumstances and that the bank was guilty of negligence.
The court had earlier held this claim for damages under negligence was barred under the Statute of Limitations. A second claim, that he suffered loss and damage because the bank had breached an agreement to provide him with funds, was not statute-barred.
Mr Power categorically denied he gave the advice and specifically denied he gave Mr Behan the farm loan analysis form as alleged. He had further denied he ever gave Mr Behan an assurance the bank would provide him with his financial requirements.
Mr Justice Morris said Mr Behan was a prized client and any manager would have been slow to see him wipe out his debt with the bank. He accepted Mr Power would probably have wished to dissuade Mr Behan from ridding himself of the debt.
He said the farm loan analysis document was critical. Other evidence revealed it had not been in existence until 1983 and could therefore not have been produced at the May 1981 meeting, leaving considerable doubt about the accuracy of Mr Behan's evidence.
Mr Justice Morris said Mr Power did not enter into any binding arrangement with Mr Behan.