A BUSINESSMAN has been ordered by a High Court judge to repay €1.2 million to Údarás na Gaeltachta arising from grants made to two of his companies.
Údarás secured the orders against Pearse Flynn, of Greystones, Kilmalcolm, Scotland, the promoter of two companies which received grants from Údarás – Teagmháil an Daingin Teo and Teagmháil Acla Teo.
Last month, Mr Justice Peter Kelly said he would allow Mr Flynn enter a defence in the proceedings on condition he lodged €650,000 within 14 days and a full defence within 21 days.
Yesterday Úna Tighe, for Údarás, said the €650,000 had not been lodged into court and her clients were now seeking judgment for the full €1.2 million sum, plus their legal costs. That application was not contested by Mr Flynn’s legal representative.
As Mr Flynn had not lodged the money with the court, judgment for the full amount of €1.2 million must be entered against him, the judge directed. He said Údarás was entitled to full costs.
Údarás had claimed it paid €905,165 in employment and training grants to Teagmháil an Daingin Teo under an agreement with Mr Flynn in July 2005 with further grants totalling €330,578 paid to Teagmháil Acla Teo under an agreement in November 2005.
Both companies carried on business as international call centres and financial service centres in the Gaeltacht areas of Dingle/An Daingin and Achill.
Both Gaeltacht companies ceased trading about February 28th last without the prior written consent of Údarás, it was claimed. Údarás then took proceedings for the €1.2 million paid out.
Last month, counsel for Mr Flynn asked the court not to enter judgment as Mr Flynn had filed an affidavit claiming he was told by Údarás executives he would have no personal liability for the grants, a claim denied by Údarás.
The judge said on that occasion he was “just about persuaded” at not to give summary judgment against Mr Flynn although he considered the defence raised as “shadowy”.