Republican sources in Northern Ireland were last night suggesting that the Provisional IRA was responsible for the murder of the Newry-based drugs dealer, Brendan "Speedy" Fegan.
Fegan (24) died instantly when he was singled out at 1.40 p.m. in the Hermitage Bar, Canal Street, Newry, by two men armed with handguns and wearing false moustaches and wigs. He was shot at close range at least five times in the head and body.
A passer-by said he saw people running out of the pub, some covered in blood, screaming "Speedy's been shot". Police have appealed to customers in the pub at the time of the shooting to come forward. By last evening only 10 of the approximately 60 customers had done so.
One of Fegan's close criminal associates, Brendan "Bap" Campbell, was shot dead by the IRA in February 1998 as part of a campaign against suspected drugs dealers. Sinn Fein was afterward expelled from the pre-Belfast Agreement talks for two weeks.
Fegan was the link figure between the Dublin-based drugs gang which was responsible for the murder of the journalist Veronica Guerin in June 1996 and the drugs trade in the North.
Senior security sources have also confirmed that he was also a police informant on both sides of the Border. He was arrested by gardai investigating the Guerin murder in 1997 but released without charge, although he had been in possession of a small amount of cocaine. It is understood he supplied information to Garda detectives.
Fegan's Mitsubishi Lancer car, which he bought last week for £25,000 in cash, was later removed from the street outside the pub.
He had spent the day driving to and from the pub and the pony-trotting races near the Warrenpoint dual carriageway. Usually under protection, there are reports that Fegan had earlier sent away his minder.
The Sinn Fein councillor for the area, Mr Brendan Curran, said he did not believe the killing was linked to the IRA. Fegan was a well-known republican, he said, adding: "All republican organisations to my knowledge are still on ceasefire".