Ms Beverley Cooper-Flynn told a coach-operator from Cavan that his undeclared money would be "as safe as houses and Revenue would never find out about it", if he invested in a CMI portfolio, the High Court heard this afternoon.
Mr Sean Rowe, who had worked for the family coach transport business in Shercock, Co Cavan since 1979, told the court today that he eventually became "uneasy" about his undeclared money and wanted to "tidy it up" in case the Revenue Commissioners found out about it.
The money, which was lodged in numerous bank accounts in NIB, the Irish Permanent and the EBS, "got too much for me", he said, and he approached NIB to help him resolve the situation.
He met former NIB financial advisor, Ms Cooper-Flynn in 1993 and explained to her he had "undeclared money all over the place", the court heard. He said she assured him the money would be safe from discovery by the Revenue Commissioners because judges and politicians were also involved.
He said he had been interested in availing of the tax amnesty, as he thought it might be the right thing to do, but was "so happy" with Ms Cooper-Flynn’s guarantees, he ultimately decided not to. "I wasn’t interested in paying tax", he told the court.
Mr Rowe said he understood from his dealings with Ms Cooper-Flynn that his money would grow tax-free within the CMI policy and that it would go directly to his family in the event of his death. He also said that Ms Cooper-Flynn organised withdrawals from the account for him with "no problem".
Mr Rowe said he made a tax settlement with the Revenue Commissioners in July 1999, "when the news broke" about CMI and is now suing NIB in respect of his losses.
This morning a witness told the High Court she had been "very badly advised" by Ms Beverley Cooper-Flynn TD and felt "badly let down" by her.
Ms Joy Hawe was continuing her evidence on the 13th day of the the TD’s libel case against RTÉ, following an hour’s delay getting to court due to the bad weather.
Ms Hawe, who owned a boutique in Enniskillen, Co Fermanagh for 30 years, invested in a CMI personal portfolio following financial advice from Ms Cooper-Flynn.
She told the court she was "horrified" to learn of the tax problem with her investment in June 1998.
She said she was "terribly stressed out", developed asthma and had cancer-related surgery as a result of the impact of the revelation.
Ms Hawe told the court she was targeted by NIB to invest in the scheme which facilitated tax evasion and was told by Ms Cooper-Flynn her money would be "safe from tax".
Following the RTÉ broadcast in June 1998 in which Ms Cooper-Flynn said she was libelled, Ms Hawe said she made a tax settlement with the Revenue but NIB did "nothing" to help her.
Asked whether she agreed with Ms Cooper-Flynn’s earlier testimony that they did not discuss revenue, Ms Hawe insisted: "It did come into the conversation."
Ms Cooper-Flynn is suing RTÉ journalist Mr Charlie Bird and retired farmer Mr James Howard of Wheaton Hall in Drogheda in Co Louth.
She claims she was libelled in broadcasts on RTÉ between June 19th 1998 and July 1st 1998 and words used on the programme claimed she had instigated a scheme the object of which was the evasion of the lawful payment of tax.
The case continues tomorrow.