A SOLICITOR, Conor Killeen, has been remanded in custody for sentence on July 2nd after he admitted assisting his former partner and Irish Press director, Elio Malocco, to defraud the"company of money paid out for libel actions.
Malocco was jailed for five years in May 1995 after a jury convicted him of six charges of fraud, forgery and deceit. Malocco's conviction and sentence was recently upheld by the Court of Criminal Appeal.
Killeen (39), of Tudor Lane, Foxrock, Dublin, pleaded guilty to five charges of being an accessory after the fact to forgery, contrary to the Forgery Act 1913.
The charges detail that he assisted Elio Malocco through knowing Malocco had between March 1989 and September 1991 forged various documents with intent to defraud or deceive.
Mr Joseph Mathews SC, prosecuting, told Dublin Circuit Criminal Court the documents referred to libel actions taken against Irish Press plc and Irish Press Newspapers Ltd and involved a total of £64,100.
The documents included purported Bank of Ireland receipts for sums of £15,000, £21,600 and £17,500; a purported notice of lodgement with a receipt on it for, £10,000; and a purported notice of discontinuance from the Circuit Court in an action taken by District Judge Maura Roche.
Judge Patrick Smith was told that after the firm of Malocco and Killeen ceased to function as a result of the fraud, Killeen qualified as an English teacher and worked at a school near Fatima, Portugal.
Del Sgt Patrick Byrne said Killeen told gardai he saw Malocco with two rubber stamps which purported to be official Bank of Ireland and Courts of Justice account stamps. Malocco used them to prep are forged documents, but Killeen claimed he did not see Malocco do this.
Del Sgt Byrne of the Garda Bureau of Fraud Investigation said he asked, Killeen a straight question during a November 1992 interview: "Were you involved in the cover up by Elio Malocco in the Irish Press files", and Killeen replied "Yes".
Del Sgt Byrne agreed with Mr Maurice, Gaffney SC, defending, that Killeen was being interviewed as a witness and not as a suspect. Gardai accepted fully he had not benefited in any way from the fraud, and had not been involved in any way in it before September 13th, 1991.
The bureau was called in shortly after the Irish Press learned in September 1991 it was not credited with certain payments the company had made in, libel actions.
All Irish Press libel business was dealt with by Malocco except in a few instances when he was away, and Killeen handled them before passing the files back to his partner who kept them under lock and key in his office.
Killeen said he received a telephone call from Dr Eamon de Valera on the evening of September 12th, 1991, saying the company's financial controller, Mr Brendan Ryan, and accountant, Mr Oliver Holt, from Coopers and Lybrand were on their way to the offices of Malocco and Killeen to make certain inquiries. Dr de Valera said the matter was serious.
He felt some shock at Dr de Valera's comment. He contacted Malocco and returned to meet the Irish Press representatives.
Det Sgt Byrne said Killeen's statement went on to note that the meeting was very confrontational, and Mr Ryan was quite agitated. It was agreed the Irish Press people would return the next day, Friday, September 13th.
After the Thursday evening meeting, Malocco told him Dr de Valera wanted proofs of payments made and said he would took after the matter. Killeen said he asked to look at the files and was not very happy with what he saw. He spent an hour looking for receipts and found them in other files.
He said he realised money paid by the Irish Press had been misappropriated by Malocco and that some items in the books were doubtful.
Killeen further said Malocco assembled hank statements, and instructed him what to write on ledger cards for inspection at the September 13th meeting. Mr Ryan sought comprehensive accounts about each case. "I was aware that most of the documents were forgeries," Killeen said.
His relationship with Malocco deteriorated rapidly alter September 13th, and he dissolved their partnership on September 29th, 1991. They had been in partnership since 1977 and he also had his own private practice.
Malocco told him he would sell property to make up the shortfall in the money, and there was nothing to worry about. Malocco did not do that and never explained where the money went.
Det Sgt Byrne agreed with Mr Gaffney that Killeen emphatically declared none of the money had been misappropriated by him. There was no evidence that he had benefited from the fraud.
Del Sgt Byrne said Killeen had never come under Garda notice before and was a person of the utmost integrity apart from this. He had, co operated fully at all times with gardai.
Mr Gaffney said he found the case most distasteful and he could understand how his client and his family found, it distasteful for them. His client alone faced the civil action and paid every penny he could. Nobody was worse one penny because of Killeen's actions.
He said Malocco was wealthy, with other business interests. He was publicly prominent and had brought the high profile Irish Press business to the firm. Malocco had not faced the civil action or honoured his promise to right the shortfall.
Mr Gaffney said Killeen had not asked him to make excuses for his wrong doing. He now accepted and wished he had stood up at the September 13th meeting when Malocco produced forged documents and declared he was having no hand, act or part in it.
"He didn't do that and has been haunted ever since for having made the wrong decision. All his life shattered like an atomic bomb exploding," said Mr Gaffney.