The managing director of three financial institutions based in the International Financial Services Centre (IFSC) has claimed he was instructed from Germany to implement tax evasion practices that put the whole structure of the Irish operations and its German parent at risk.

The financial institutions - all subsidiaries of Germany's Helaba bank - have refuted any claims of wrongdoing, dismissed the allegations as outrageous and said such claims are an attempt to embarrass them.

Mr Justice Kelly will rule today on the application by Mr Patrick von Gordon, managing director of three financial institutions and general manager of a fourth institution, all based at the IFSC, for orders against his employers.

In an affidavit, Mr von Gordon has claimed his efforts to perform his duties had been confounded by a unilateral instruction from Germany to implement practices and financing structures that put the whole taxation structure of the Irish operations and its German parent at risk and that he feared was illegal, as representing tax evasion from the German revenue authorities.

He said he had suffered stress by being compelled by senior banking colleagues at meetings in Germany to destroy and shred papers that he produced and dealt with his concerns on the matters, he added.

Mr von Gordon, of Victoria Village, Rathgar, Dublin, has taken proceedings against Helaba Dublin Landesbank Hessen-Thuringen International; Helaba International Finance plc; Landesbank Hessen-Thuringen Girozentrale and Helaba Finance BV. They have offices at the IFSC in Dublin.

Mr Gordon, who is on sick leave, is managing director of the first, second and fourth defendants, and general manager of the third.

He is seeking a number of orders pending a full hearing.

Among the reliefs he wants is an order restraining the defendants from dismissing or purporting to dismiss him and an injunction restraining the defendants from treating him as other than continuing to be employed by them. Mr von Gordon also wants an order directing the defendants to continue to pay his salary.

After hearing submissions from counsel on behalf of both sides yesterday, Mr Justice Kelly said he would give his decision today.

In an affidavit, Mr von Gordon said that, in August 2000, he expressed his unhappiness to an executive of Helaba Frankfurt and a member of the board of Helaba, Dublin, with the way things were going in Dublin and that it was causing him a lot of anxiety and stress.

Mr von Gordon said that since its incorporation, the growth of Helaba Dublin was constrained by the capital constraints of its balance sheet but the desire to move more business to Dublin, with consequent tax savings, grew.

The problem was sought to be cured by starting the branch of Helaba Frankfurt in Dublin so business which could not be accommodated by Helaba Dublin Bank was transferred into Helaba Frankfurt Dublin branch.

In February 2001, a number of members of the parent bank in Frankfurt resigned. A very difficult, stressful and isolated period began for him.

The stress and concerns built up and he was obliged to take sick leave in May-August 2002 for stress.

He returned to work on August 14th, 2002, but was on further sick leave from October 14th, 2002.

He received a letter last December that caused him enormous distress and effectively alleged he was in dereliction of his duties to the bank.

He demanded that the unjust and improper allegations be retracted but they were not.

Dr Norbard Schraad, head of corporate finance for Helaba Group and chairman of the first defendant, in an affidavit, said Mr von Gordon's illness was unconnected with his employment with the defendants.

Dr Schraad said he believed Mr von Gordon had sought to make that connection in circumstances where he believed the defendants would be embarrassed by his alleged concerns about issues of compliance and taxation.