Builders in Lowry case back in court today

The Department of Enterprise, Trade and Employment's legal action against the construction firm that built the controversial £…

The Department of Enterprise, Trade and Employment's legal action against the construction firm that built the controversial £390,000 (#495,198) extension to the home of former Fine Gael Minster, Mr Michael Lowry, is scheduled to recommence today.

Faxhill Homes and two of its directors, Mr Jack Tierney and his wife Jennifer, are being prosecuted for 26 alleged breaches of company law including failure to keep proper books and accounts.

The cases follows an investigation of Faxhill by the Department of Enterprise, Trade and Employment which itself was mounted on foot of the McCracken inquiry into payments to politicians. It is the first and to date the only prosecution taken by the Tanaiste on foot of the inquiries she instigated as a result of the McCracken inquiry into donations from Mr Ben Dunne to Mr Lowry and the former taoiseach, Mr Charles Haughey.

It emerged that the work carried out by Faxhill on Mr Lowry's house was charged to Dunnes Stores as work done on its ILAC Centre store.

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In the region of £1 million worth of work was carried out on Mr Dunne's home by Faxhill and charged to the supermarket group in a similar fashion.

The case in Naas District Court was adjourned last month and will resume with the continued questioning, by counsel for Ms Harney, of Mr Eugene Beglen, who was the quantity surveyor on both projects.

A number of other prosecution witnesses are due to be called this week, but it is not clear if Mr Dunne or Mr Lowry will be required to give evidence. Sources close to Mr Dunne said that as of the close of business on Friday he had not been asked to appear.

The focus of the Tanaiste's case is the alleged failure of Faxhill and its principals to follow company law.

Evidence has been given to date by the Revenue Commissioners and Mr George Maloney, the authorised officer who investigated the company.

Mr Maloney told the court Mr Dunne issued the instructions that the work on his and Mr Lowry's house be charged to Dunnes Stores. Mr Tierney and his co-director have not been called to give evidence yet.

John McManus

John McManus

John McManus is a columnist and Duty Editor with The Irish Times