CHEQUES totalling £57,000 made payable to cash and issued by him to a Clare Fianna Fail councillor, Mr Enda Mulkere, were not given as personal loans, a leading contractor told the £400,000 Shannon Development fraud trial.
Mr Thomas Madden, a director of several companies, told defence counsel Mr John Major that as far as he was concerned Mr Mulkere was "Mister Shannon Development" in relation to the contracts he was dealing in.
"I wish to make it crystal clear that Cllr Mulkere never discussed his personal financial situation with me. The cheques were not personal loans. He asked for and got the cheques as loans to SFADCo to pay sub contractors", said Mr Madden, who was under cross examination on the fourth day of the trial at Dublin Circuit Criminal Court.
Mr Madden said Mr Mulkere offered to speak to the Clare Fianna Fail TD, Mr Brendan Daly, who was a government minister in January 1992, concerning projects held up by the Department of the Environment.
"I was blue in the face knocking on departmental doors trying to have these jobs unblocked, so I thought `Why not?' and accepted his offer. But I didn't go to him," Mr Madden said.
Mr Madden rejected further suggestions by Mr Major that he had acted in a "cavalier fashion" by giving money "hand over fist in a five month period" to Mr Mulkere.
The witness said he trusted Mr Mulkere, who said the money would be repaid as part of actual contracts his company had with SFADCO at that time. He continued giving cheques to Mr Mulkere after £17,300 was repaid in that way in December 1991. A further £20,000 was repaid later.
Mr Mulkere had told him there was a cash flow problem and he received a letter from the head of SFADCo's construction division, Mr Brian Warner, with the same information.
Mr Madden denied Mr Major's suggestion that he paid the money to Mr Mulkere because they were members of the same party and he wanted to win political influence.
He was only a "grassroots" political activist and secretary of his local Fianna Fail cumann for many years and a member of the constituency finance committee.
"I was shafted from the Comhairle Dailcheantair years ago", he added to laughter.
Mr Mulkere (46), of Crusheen, Co Clare, has pleaded not guilty to 16 charges of committing the fraud by false pretences between October 1991 and June 1992 while an executive of SFADCo.
Mr Madden said he never met he accused man before his company started the big contract at Plassey in August 1991.
When Mr Mulkere contacted him by phone on November 5th, 1991, seeking the first payments he (witness) asked his office manager, Mr Pat Costelloe, what he knew about him. Mr Costelloe replied that Mr Mulkere was "sound".
Mr Major questioned the witness about cheques used to buy cattle at marts and to make repayments to ACC, among other dealings, and suggested Mr Madden had been asked for them specifically by Mr Mulkere in relation to various financial problems he was experiencing.
Counsel suggested to Mr Madden that the accused man had sought three cheques issued on December 12th, 1991, for sums of £3,258, £3,742 and £412 because he needed to buy a new car.
Mr Madden: "That is all so wide of the mark it is totally ridiculous."
The witness said he became concerned about the £19,000 shortfall in repayments in late June-July 1992. He was assured by Mr Mulkere it would be sorted out during the week the witness was in Lourdes, but that did not happen.
When he looked for the £19,000 from SFADCo an investigation was started. He was called to a meeting in SFADCo and explained his dealings with Mr Mulkere. SFADCo denied knowledge of the matter and said it would seek the return of the £37,000 already repaid to him.
Mr Madden said he initiated proceedings against SFADCo and Mr Mulkere to protect his own interest. The Circuit Court made an order against Mr Mulkere that he should not reduce his assets below £37,000.
The witness agreed with Mr Major that he got horses and cattle valued at £10,000 from Mr Mulkere in late 1992. This was as part of an arrangement with Mr Madden's accountant arising from the legal action.
Mr John Barrett, a motor salesman with Opel dealers McCarthy's of Fermoy, Co Cork, said Mr Mulkere used three cheques drawn on the account of Madden Pipelines Ltd to buy a new car from him on December 1st 1991. He also traded in a Renault car as part of the deal.
Mr Barrett told prosecuting counsel, Mr Paul O'Higgins SC, the cheques were for sums of £3,258, £3,742, and £412 - totalling £7,412 - and payable to cash.
Replying to Mr Major, Mr Barrett said he had no reservations about accepting the third party cheques from someone he did not know. "I sell cars and I don't care where the money for them comes from."
The hearing continues before Judge Kevin Haugh.