Value of shares `only one aspect' of Murray dispute

THE directors of the Dublin based public relations firm, Murray Consultants, are due to return to the High Court on Monday in a dispute over the value of one of the directors' share holding in the company.

The action, taken by Mr Terence Horgan, the director of finance and personnel at Murray's, is against his fellow directors, Mr Joe Murray and Mr Jim Milton, and Murray Consultants.

In a statement yesterday, Mr Horgan said the value of his shares in Murray Consultants was just one of the issues in dispute. He said he was also objecting to proposed changes in the day today running of the firm,

Mr Horgan, who founded the firm more than 20 years ago with Mr Murray and Mr Milton, said his legal action followed differences that had arisen for more than a year over proposed changes in the firm's operations. Mr Horgan claims that, under a proposed restructuring, a significant number of his responsibilities within the firm would be diluted.

"I had no wish to be placed in a position where I had no option but to dispose of my interest in and leave the partnership. How ever, to avoid any dispute arising, I agreed to enter negotiations to resolve this matter in an equitable and private fashion.

Mr Horgan's statement said he had reached agreement in principle with Mr Murray and Mr Milton on two previous occasions on the disposal of his shares in the company.

Speaking to The Irish Times yesterday, Mr Murray took issue with Mr Horgan's statement. Mr Murray, who is the firm's chairman, contended that attempts to resolve the dispute in relation to the price of his shares and Mr Horgan's future role in the company had been unsuccessful.

Prior to the court hearing, Mr Milton and Mr Murray are understood to have agreed to use independent arbitration to establish the value of Mr Horgan's share holding. Mr Horgan said yesterday that as the price of his shares was but one of the issues at dispute, he felt it was "inappropriate that this single issue would be arbitrated upon.

Mr Murray stated that the legal action was a result of "fundamental disagreement between Mr Horgan and the firm's other four directors on how the company would grow and develop in the future".

Mr Horgan, together with Mr Milton, owns 28.5 per cent of Murray Consultants. Mr Murray is the largest shareholder with per cent. Another director, Mr Dermot Breen owns 5 per cent.