Deasy says shareholders were misled

Shareholders in Waterford Foods were seriously misled during the course of merger negotiations between that company and Avonmore, Mr Austin Deasy (Waterford, Fine Gael) told the Dail during Question Time. He was particularly concerned, he said, about the performance of Glanbia (the merged company which resulted).

"There may well be a criminal investigation into the matter," he said. He urged that the fraud squad be asked to investigate.

"I am asking the Minister [for Agriculture and Food] to instigate an investigation, in conjunction with the Minister for Justice, Equality and Law Reform and the Tanaiste and Minister for Enterprise, Trade and Employment, because I am convinced there has been sharp practice and that certain individuals in the Waterford Foods company were hung out to dry."

The Leas-Cheann Comhairle, Dr Rory O'Hanlon, ruled that the matter was not relevant to the immediate questions before the House. "The shareholders were misled," Mr Deasy pressed on. "There was criminal intent. I have no doubt about that. Would the Minister care to reply to that question? Can he explain the collapse of the share price on the stock exchange? Will the Minister comment?"

Finally, he was ruled out of order.