Solicitor accused of failing to advise on nature of deals

A SOLICITOR being sued over her alleged failure to advise two businessmen of the true nature and circumstances surrounding certain…

A SOLICITOR being sued over her alleged failure to advise two businessmen of the true nature and circumstances surrounding certain land deals in Co Offaly where secret profits were made has alleged it was former Fianna Fáil councillor Gerard Killally who was the wrongdoer.

Mr Justice Peter Kelly granted an application yesterday by counsel for solicitor Miriam Kavanagh to join Mr Killally as a third party to the action against Ms Kavanagh, practising as Miriam Kavanagh Company, of Jamestown, Ballybrittas, Co Laois.

The application was being brought on the basis it was Mr Killally who had committed a wrongdoing, counsel said. Declan Guing, of Carrick Road, Edenderry, and Frank Lawlor, Clonmullen Lodge, Edenderry, are seeking damages against Ms Kavanagh for alleged negligence, breach of duty, breach of contract, and misrepresentation arising from a number of land transactions.

In their claim, both men allege they formed a partnership in 2005 (the Daingean Road partnership) with Mr Killally and former Co Offaly GAA football manager Richie Connor, then practising as auctioneers, to acquire and deal in lands at Cappincur, Tullamore. They claim they understood the lands were to be acquired by the partnership for €6.5 million from another party. Mr Guing and Mr Lawlor claim Mr Killally and Mr Connor failed to disclose they had an interest in the Daingean Road transaction in that the other party had received €5 million for the lands. They claim this meant Mr Killally and Mr Connor made a secret profit of an apparent €1.5 million, the partnership paid an inflated price for the lands and Ms Kavanagh knew of the circumstances but did not advise them of that.

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They claim Mr Killally and Mr Connor also had an interest in another transaction involving a partnership between all four men, the Downshire partnership, formed in 2005 to acquire and deal in lands at Downshire, Edenderry.

They claim they understood the Downshire lands were to be acquired for €11.5 million from another party but Mr Killally and Mr Connor failed to disclose that party had received €9.5 million for the lands, meaning secret profits of an apparent €2 million.