ARCHITECT BRIAN Murphy-O’Connor and a businessman have secured judgment for €8.5 million against two other businessmen following alleged default of a settlement relating to an investment development in Cape Verde on lands valued at €81 million.

The action by Mr Murphy-O’Connor, Greybrook, Waterfall, Cork, and William Edward (Ted) Whitaker, of Summercove, Kinsale, Co Cork, was initiated in the Commercial Court last month against Thomas Sheehy, with an address at Seaview House, Scartagh, Clonakilty, but said to be in Portugal, and John Cahillane, of Keel, Castlemaine, Co Kerry.

An application for judgment for €8.5 million against the defendants was due to be heard next week but Mr Justice Peter Kelly was told yesterday by Hugh O’Keeffe, for the plaintiffs, that the matter was settled and judgment could be entered in that sum.

A stay on registration of the judgment will apply until later this year.

It was claimed the €8.5 million was owed under a written settlement agreement of December 14th, 2007, made between the sides arising out of a High Court dispute over an agreement of December 2005 for the acquisition and development of 150 hectares of lands on Cape Verde. It was claimed the lands had an estimated value in 2007 of €81 million.

It was claimed, under an agreement of December 8th, 2005, the parties agreed the lands would be held by a Cape Verde company, Murdeira Beach Resort 1 SA, 80 per cent of which would in turn be held by a Madeira company, Madeira Beach Developments Lda.

In an affidavit, Mr Murphy-O’Connor said there was a breakdown in the commercial relationship between the parties over the next 18 months.

This led to High Court proceedings by the plaintiffs against Mr Sheehy.

The sides agreed to mediation in that case, leading to the settlement of December 2007.