Firm unaware of pool receipts deal

An agreement of April 30th, 2003, appeared to contemplate that all pool receipts from the €62 million National Aquatic Centre were to be paid into an account in the sole name of Limerick businessman Pat Mulcair.

However the centre's owners, Campus Stadium Ireland Development Ltd, had no information about any money paid into that account, the High Court was told yesterday.

Denis McDonald SC, for Campus Stadium Ireland Development Ltd, said it only learned this week of the pool receipts agreement and that beneficial ownership of the lease for the centre had been transferred to Mr Mulcair in April 2003. It was a condition of the lease that Campus Stadium should receive a 10 per cent share of the profits of the centre but this had not happened, he added.

It was also claimed yesterday that accountancy firm KPMG appeared to be involved in providing advice regarding a proposed transaction under which beneficial ownership of the lease was, unknown to Campus Stadium, transferred by Dublin Waterworld Ltd to Mr Mulcair.

KPMG appeared to be acting for either Dublin Waterworld Ltd, its subsidiary company Dublin Waterworld Management Ltd or Mr Mulcair, Mr McDonald said. He also said Paddy Teahon, former chairman of Campus Stadium Ireland Development Ltd, which granted the lease for the National Aquatic Centre in April 2003, to Dublin Waterworld, would deny claims by Dublin Waterworld that he was aware that it availed of services of Dublin Waterworld Management in relation to management of the centre.

Campus Stadium says it was unaware, when it granted the lease to Dublin Waterworld on April 30th, 2003, that it had on the same day assigned beneficial ownership of the lease to Mr Mulcair who in turn, also that same day, entered into agreements with Dublin Waterworld Management that it would manage the centre on his behalf.

Mr McDonald said Mr Mulcair appeared to have provided finance to enable Dublin Waterworld and Dublin Waterworld Management to proceed with the aquatic centre project but he was not a director or shareholder of either company and there was no mention of him in their accounts.

Mr Justice Paul Gilligan is hearing an application by Campus Stadium Ireland Development Ltd for possession of the aquatic centre on grounds of "complete" and "egregious" breaches of the lease by Dublin Waterworld and of various covenants under that, including covenants restraining assignment of Dublin Waterworld's interest in the lease to any other party.

During yesterday's hearing, the court was told that David Motherway of Rohcon, builders of the aquatic centre, would say he saw draft accounts of Dublin Waterworld Management for the year to end December 2003 which showed a turnover of €9 million for that period. Those differed from accounts given to Campus Stadium by Dublin Waterworld Ltd, which showed a €4.9 million turnover.

Mr McDonald said Campus Stadium had no accounts of Dublin Waterworld Management for 2004 and "nothing at all" from Mr Mulcair.

The hearing continues.