A world-wide injunction on the dissipation of property and finances of former Bula chairman and chief executive, Mr Jim Stanley, was ordered yesterday by High Court judge, Mr Justice Kevin O'Higgins.

The court heard that Mr Stanley persuaded Bula to invest £12 million in a Russian oil well from which it would never see any return. He had caused incorrect oil flow results to be announced and then before the proper oil production readings became known, made a personal financial killing of more than £660,000 sterling on the sale of bouyant Bula shares.

At the hearing for only the third global restraint order of its kind granted by the superior courts in the State, Mr Michael Cush, counsel for Bula Resources (Holdings) plc, said that in 1995 Mr Stanley persuaded Bula to invest millions of pounds in the Siberian oil field.

He said Mir Oil Development Ltd sold Bula 25 per cent of the issued share capital of another British Virgin Island company, Mir Space International Ltd. In return, Bula handed over 101 million of its own ordinary shares.

Mr Cush said the sole asset of Mir Space International was its rights to half of the Salymskoye oil field in western Siberia which Mr Stanley had represented to the Bula board as being very valuable. Although having earlier denied any interest in either company, it later transpired Mr Stanley was the beneficial owner of both Mir Oil and Mir Space International.

Mr Justice O'Higgins was told that following the deal, Bula contributed very significant resources "running to many millions of pounds" towards the development of the oil field. Test results, deliberately falsified by Mr Stanley, suggested in October 1996 that Well 705 in the Salymskoye oil field was capable of producing 942 barrels of oil per day.

Then, following the sale of almost 28 million Bula shares by Mir Oil, it was discovered Well 705 might produce oil at a rate significantly lower than suggested. Mr Stanley resigned as chief executive and chairman of Bula.

Mr Cush told the court Mr Stanley was now in Moscow. In October last year barrister Mr Lyndon MacCann had been appointed by the Tanaiste, Ms Harney, to conduct an inquiry. Mr MacCann found Mr Stanley had deliberately misled Bula as to who was the beneficial owner of Mir Oil and had requested false operational reports in respect of Well 705. He also discovered the 101 million Bula shares paid over in return for a 25 per cent interest in Mir Space International were at all times beneficially owned by Mr Stanley and that he had, at all times, been the beneficial owner of Mir Oil. Mr Cush said it was apparent Mr Stanley had been guilty of the most serious fraud, deceit and breach of fiduciary duty and had caused Bula to publish what he knew to be false test results. He had deliberately misled Bula with the effect of Bula committing itself to a course of action which had cost it millions of pounds. It was clear he had done this to further his own interests at the expense of the company.

He said it was believed Mr Stanley had a beneficial interest in Brownsbarn House, Co Kilkenny, and in an apartment in Lower Mount Street, Dublin, as well as property in Sweden. Mr Justice O'Higgins granted a world-wide mareva injunction restraining the dissipation of any and all assets in which Mr Stanley has an interest both within the State and beyond.