The Criminal Assets Bureau (CAB) was given leave yesterday to register a judgment mortgage against Mr George Mitchell - who is currently held in a Dutch jail - in relation to a house at Palmerstown, Co Dublin. The house, which the CAB believes may be Mr Mitchell's family home, was stated to be valued at around £155,000.
On the application of Mr Shane Murphy, for the CAB, Ms Justice Laffoy lifted a stay on a judgment in respect of alleged unpaid VAT and interest for £103,350 against Mr Mitchell, who was described at an earlier court hearing as being known for involvement in drug importation and unlawful killing.
The stay had been granted to allow Mr Mitchell an opportunity to appeal the judgment and to lodge monies with the Revenue.
CAB had asked the judge last week to lift the stay so it could register the judgment as a mortgage over two properties at Palmerstown, Co Dublin, and Buckingham Street, Dublin, held in the name of Mr Mitchell. It undertook, if the stay was lifted, not to enforce power of sale until January 31st, 1999, when the judgment becomes enforceable.
The court heard that the CAB believed Mr Mitchell might attempt to sell or otherwise encumber his property in order to dissipate his assets outside the jurisdiction and frustrate the court's judgment.
Ms Justice Laffoy said she would adjourn the application for one week. She took "a dim view" of the fact that VAT forms returned by Mr Mitchell to the Revenue authorities had been "effectively defaced" and she directed that proper forms be returned to the Revenue within one week. The judge said she wished to hear when an appeal by Mr Mitchell against the High Court judgment against him could be dealt with.
In court yesterday, Mr Fintan Hurley, for Mr Mitchell, said the VAT forms had been handed over. There was a small quibble about them but they were 90 per cent complete.
He had express instructions that the judgment debt could be registered against the Palmerstown property on which there was a small mortgage of less than £10,000. His client had paid £42,500 towards that judgment and, while the CAB said the house was worth £155,000, he contended it was worth more. He had no instructions regarding the Buckingham Street property.
Mr Murphy said the Buckingham Street property was worth about £20,000. The Palmerstown property was arguably the matrimonial home and the CAB wished to secure judgment against both properties. He accepted the VAT forms had been filed. There were some difficulties but he was not making an issue of those. A date for Mr Mitchell's appeal against the Revenue judgment had not been finalised but it was expected to be heard in January.
Ms Justice Laffoy said there was more than sufficient equity in the Palmerstown property to secure the difference between the £42,500 paid to date and the amount of the judgment outstanding. She would lift the stay on the judgment to enable the CAB to register judgment against the Palmerstown house. She was not allowing judgment mortgage to be registered against the Buckingham Street property.
If the matter was resolved, the necessary steps could be taken to cancel the judgment mortgage, the judge said. She adjourned the matter to January 26th.