Auditor insists she saw invoices even though firm involved did not yet exist

INVOICES SUPPOSEDLY sent to Cork developer Owen O’Callaghan in early 1991 by lobbyist Frank Dunlop through his company Shefran Ltd could not have existed because Shefran did not exist, the tribunal was told yesterday.

Counsel for the tribunal Patricia Dillon SC said though the invoices totalling £80,000, were dated March, April and May 1991, they could not have come into existence until after October 1991.

However, Clare Cowhig, auditor for Riga Ltd, had said she must have seen the invoices when she carried out her audit in mid-1991 because if she had not, she would have included the payments on her query list.

Mr O’Callaghan was a partner of Luton-based developer Tom Gilmartin in the Quarryvale development, now the Liffey Valley Shopping Centre. Mr Dunlop was employed by Mr O’Callaghan to promote the development.

Mr Dunlop had told the tribunal he paid councillors to support the development when the land came before Dublin county council for rezoning. The three cheques, of £25,000, £40,000 and £15,000, were paid to Mr Dunlop within a six-week period in June 1991, about the time of the local elections, the tribunal had heard.

Ms Dillon said they were paid to Shefran Ltd and recorded in Riga’s accounts as to Shefran Ltd.

“If the invoices were available when the cheques were being written, how is it the cheques are made out to a company other than the company on the face of the invoice?” she asked. “I don’t know,” Ms Cowhig replied.

“It’s unlikely that you ever saw . . . those three invoices in the name of Shefran, because Shefran did not then exist,” Ms Dillon said.

“I hear what you’re saying, but I do believe . . . I must have seen those invoices, otherwise I’d have raised a query,” Ms Cowhig said.

She also said she thought that payments to Seán Gilbride in 1993, totalling £15,500, were a combination of professional fees and political donations. Ms Cowhig said Riga director John Deane told her Mr Gilbride had taken time off work to canvass for a seat in the Dáil as well as canvass for Quarryvale. Ms Dillon said Ms Cowhig had included Mr Gilbride’s payments as professional fees in her analysis and had not included them on her queries list even though she had no invoices.

Ms Cowhig said she had taken the director’s word because the payments were small, unlike the payments to Shefran in 1991.