Sean Dunne 'was as obstructive as he could possibly be', court hears
Businessman Sean Dunne "misled" and was "as obstructive as he could possibly be" in relation to his dealings with a Dublin 4 property called Walford when questioned by the official in charge of his Irish bankruptcy, the High Court has heard today.
Mark Sanfey SC for the Official Assignee (OA) Mr Chris Lehane, told the High Court that Mr Dunne gave certain answers about Walford during a June 2016 interview with the OA which amounted to clear non-co-operation.
The OA claims Walford forms part of Mr Dunne's estate. Mr Dunne denies this and says he bought the property in trust for his wife Gayle for €58m in 2005
The questions concerned a Cypriot company called Yesreb Holdings, whose ultimate beneficiaries are his children, which acquired Walford from Mr Dunne's wife Gayle in 2013.
Counsel said the businessman gave answers about Yesreb aimed at "concealing information" about a potential sale of Walford, which ultimately did not proceed.
Mr Sanfey said Mr Dunne had admitted in his evidence acting as an agent for Yesreb during the failed sale process.
Mr Dunne's motivation for his answers was that if Walford had been sold it would have been much more difficult for the OA in his investigations to follow the cash compared to an asset such as a house.
Counsel said that during his evidence to the High Court Mr Dunne denied misleading the OA during the interview.
Mr Dunne did admit not giving the OA details concerning Yesreb in the interview because Gayle had asked him not to, as it was her business.
Counsel said in June 2016 the OA lacked information about Yesreb, which he did not obtain until December 2016 from third parties.
Mr Sanfey was making submissions in an application by the OA to extend Mr Dunne's bankruptcy on the grounds of non-co-operation
He said the application, which the businessman opposes, was not to punish Mr Dunne but rather to protect the integrity of bankruptcy code where there is no co-operation.
Counsel said there had been no co-operation by Mr Dunne with the process until early 2016.
Mr Dunne failed to file a statement of affairs nor a statement of personal interests until spring 2016.
When those documents were filed the OA learned Mr Dunne was employed by a company belong to Gayle Killilea and was paid US$120,000 plus €12,000 per year.
In addition, Mr Dunne claimed he had given de facto co-operation to the OA through his American bankruptcy.
Counsel said the lawyer acting for the US official in charge of Mr Dunne's bankruptcy, Mr Timothy Miltonberger had told the court the businessman had not co-operated with the process in America.
On what was his third and final day in the witness box the businessman said he co-operated with Mr Lehane through the US trustee and with the process in America.
He said the US trustee made "a song and a dance" over not being provided with emails concerning a project which Mr Dunne said were not relevant to his bankruptcy.
Mr Dunne's Irish bankruptcy was due to expire July 2016 but has been extended pending the outcome of the hearing to decide if any extension, which can be for a maximum five years, should be granted.
In 2013, Ulster Bank petitioned the High Court to have Mr Dunne adjudicated bankrupt here after he had defaulted on some €164m loans.
The following month, Mr Dunne filed for bankruptcy in Connecticut in the United States, when he claimed to have debts of $1bn and assets of $55m.
Arising out of that application a US bankruptcy trustee was appointed by a US court. In addition, the Irish bankruptcy proceedings continued and in July 2013 the Irish High Court adjudicated Mr Dunne bankrupt.
The extension application, before Ms Justice Caroline Costello, continues on Friday.
