The Flood tribunal has been given powers to probe every financial institution in the State in search of accounts in the name of Joseph Murphy and his late wife, Una, which might have a bearing on the inquiry's terms of reference.
Mr Justice Flood, in making the order for discovery yesterday, said that the fact that Mr Murphy snr had told the tribunal under oath that he did not have any such accounts, when there was prima facie evidence to the contrary, "raises questions as to his reliability as a witness".
The existence of bank accounts in Ireland "in the name of or under the control of Mr Joseph Murphy Senior", he said, might have probative value in determining whether or not payments were made to third parties, within the tribunal's terms of reference.
Mr Murphy's affidavit to the affect that he had no bank accounts in Ireland since 1976 contrasted with information since provided by various financial institutions.
This information suggested that Mr Murphy snr did have bank accounts in Ireland in the mid to late 1980s - and obliged the tribunal to discover whether or not any further accounts existed during that period, said Mr Justice Flood.
The chairman reached his decision against the following background. In a ruling made on March 19th, 1999, he had determined that an affidavit sworn by the former chief executive of the Murphy Group, the late Liam Conroy, on March 20th, 1989, might have some probative value for the tribunal.
"In the course of this original affidavit, the deponent deposed to certain facts which, if true, could have had adverse consequences for Mr Murphy had they been made known to the appropriate Revenue authorities in the UK, Ireland or Guernsey as the case may be."
It had been suggested by Mr James Gogarty, said the tribunal chairman, that fear of disclosure of "these contents" to the Revenue authorities "had motivated Joseph Murphy snr towards selling the lands in north County Dublin rather than jointly developing them with Mr Bailey".
In an affidavit sworn by Mr Conroy on April 25th, 1990, he had identified two financial institutions in Dublin in which he had alleged Mr Murphy had deposited money using English accommodation addresses, "and there by accrued deposit interest without deduction of tax".
While this affidavit had been the subject of a specific order for discovery to the tribunal, it had not been produced before the start of the taking of evidence on commission in Guernsey.