THE HUNGARIAN police have interviewed Irish solicitor Michael Lynn but have failed in their efforts to extradite him to Ireland because there are no criminal charges pending in the Republic.
Mr Lynn, who is from Co Mayo but was based in Dublin, is now believed to be travelling freely between Portugal and Hungary.
Despite being at the centre of over 200 property-related legal proceedings and a major Garda investigation, he cannot be extradited to Ireland and was not required to surrender his passport.
Mr Lynn's property dealings involve liabilities of €80 million and are currently being investigated by the Garda Bureau of Fraud Investigation.
He was also struck off the roll of solicitors in Ireland in 2008.
The courts have heard Mr Lynn raised money to fund a property development and investment network by taking out multiple mortgages on a number of properties. A number of the developments he was involved in were outside Ireland, including Portugal and Hungary.
There are over 250 legal proceedings against him from banks and other financial institutions, and from many of his clients, and his debts have been estimated at €80 million.
After the first of the legal actions was begun against him almost two years ago, Mr Lynn left Ireland. A contempt of court arrest warrant was issued for him in late 2007 after he failed to attended proceedings at the High Court. He has not returned to Ireland since then.
On August 11th, Mr Lynn was interviewed in Budapest by the police there.
The Irish Times understands the Hungarian police acted on their own volition.
While he was being interviewed, the Hungarian police began the process of trying to extradite him to Ireland. However, when they contacted the Garda, the Hungarians were told there was no legal basis on which Mr Lynn could be extradited. He was then told he was free to go.
According to informed sources in Dublin, the only warrant active in relation to Mr Lynn is the contempt of court warrant.
However, this is not valid outside Ireland and could not be used as the basis for an extradition case.
Mr Lynn is being investigated by the Garda and while detectives want to speak to him as part of that investigation, under law he can only be extradited for the purposes of being criminally charged here. He cannot be extradited to simply be questioned.
The Garda investigation into Mr Lynn is a very considerable one. Such cases would often uncover allegations that would be put to the person under investigation before it could be determined if criminal wrongdoing arose.
However, with Mr Lynn abroad and unavailable for interview it is unclear if the Garda investigation into him will ever reach the stage of the DPP deciding if he has, or has not, a criminal case to answer.
Mr Lynn has said in one media interview that while his extensive borrowings were "misguided" he does not believe he acted fraudulently.
He said the banks and others "couldn't get enough" of him when he was taking out loans.
He indicated he could not return to Ireland until he had secured his investors. While he was willing to go to prison for a short period he did not see why he should be jailed.
"The one thing I want to make clear is that I am not going to be a scapegoat for others," he said.
"I am not going to be used as an example of what was recognised as an acceptable form and practice of business by bankers, lawyers, accountants and auctioneers.
"I am not going to be the poster boy who ends up in prison to my cost alone."
