Owner pays €9.5m in largest ever published tax settlement

A Dublin businessman has paid €9

A Dublin businessman has paid €9.5 milllion in the largest ever published tax settlement, writes Colm Keena, Public Affairs Correspondent.

Leslie Reynolds & Co Ltd, East Wall Road, Dublin, and its owner, Leslie Reynolds (71), Offington Lawn, Sutton, Co Dublin, are both listed in the latest list of tax defaulters published in Iris Oifigiúil.

The company is involved in the sale and distribution of engineering components. The settlements arose as a result of a Revenue audit, with the company being found to have underdeclared income tax, VAT and PAYE/PRSI. It had to pay tax of €3.5 million, and interest and penalties of €6 million.

Mr Reynolds was also found to have underdeclared his income tax and corporation tax. He had to pay tax of €112,000 and interest and penalties of €288,000.

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Mr Reynolds's case is one of 170 settlements, totalling €39.5 million, listed in the latest tax defaulters list.

In July the Dublin Circuit Court heard that Mr Reynolds used bank accounts in Britain and Spain to hold funds he had not declared to the Revenue.

The businessman had a practice of filing all income from regular customers to a declared account but hiding income from occasional customers, the court heard.

Between 1979 and 1997 he made lodgements totalling €4 million to accounts with the Ulster Bank and AIB. Sentencing was adjourned until October 25th.

A cattle dealer and farmer from Lakefield, Gort, Co Galway, made a €3.39 million settlement. Patrick Brady had to pay income tax of €957,468 and interest and penalties of €2.43 million. The case involved a bogus non-resident account. The late James Murray, Coast Road, Mornington, Co Meath, made a €3.3 million settlement arising out of an Ansbacher case. A former company director, Mr Murray had an income tax bill of €1 million and interest and penalties of €2.3 million.

The Ansbacher inspectors' report said he was a former client of accountant Jack Stakelum whose money was invested with Ansbacher bank in the Cayman Islands.

Thomas Clifford, a retired company director of The Kerries, Tralee, Co Kerry, made a €3.1 million settlement arising out of an Ansbacher case. Mr Clifford is associated with the Brandon Hotel, Tralee, and Clifford Cash and Carry.

The Ansbacher inspectors stated Mr Clifford had a business relationship with Mr Stakelum. Business loans with which he was associated were secured with Guinness & Mahon bank.