AN €8 MILLION contract for concrete supplies to the Cusheen to Gort motorway had been placed in jeopardy because of an unlawful blockade, the High Court heard yesterday.
Barrister Matthew Jolley told Mr Justice John Edwards that Goode Concrete’s premises at Sheenaun, Gort, Co Galway, had been blocked by a diesel oil supplier who claimed to be owed €90,000 by the cement firm.
Mr Jolley, who appeared for Goode Concrete, said Peter Howley, who supplies his client with diesel, had blocked entry and exit to the Sheenaun plant with lorries.
He said Goode Concrete had an €8 million contract with SIAC/ Willis Joint Venture Ltd for the supply of concrete and blocks to the N18 Cusheen-Gort motorway.
Mr Jolley said that while the contract was 80 per cent complete, it contained a penalty clause which made the concrete supplier responsible for any loss caused by their failure to fulfil the deal.
He told the court that Mr Howley had been contracted by Goode Concrete to supply its large fleet of lorries with diesel and recently a number of these trucks had developed engine problems.
Peter Goode, managing director of Goode Concrete, told Mr Justice Edwards in an affidavit that following mechanical tests he had a sample of the diesel examined by experts and it had been revealed the diesel which Mr Howley was supplying was not within statutory specification limits.
He said he had obtained information through the Revenue Commissioners that Mr Howley had a previous conviction for keeping for sale laundered diesel.
Mr Jolley said his client had been informed that the diesel had a seriously detrimental effect on engines which used it.
Mr Howley had claimed he was owed €90,000 and had refused to remove his six-vehicle blockade until paid.
Goode Concrete had been told by SIAC/Willis that unless the supply of concrete and blocks was resumed immediately it would be forced to source supplies from elsewhere, threatening the jobs of 60 workers and 20 independent contractors employed by Goode.
Mr Jolley said the blockade had effectively shut down his client’s operations and if the trespass continued Goode Concrete would face irreparable damage.
Mr Justice Edwards granted injunctions immediately restraining Mr Howley from continuing the blockade and adjourned the matter until today.
Mr Justice Edwards later extended the injunction to cover blockades at Goode Concrete sites at Aranmore, Co Galway, and Ardrahan, Co Galway, after being told by Mr Jolley that Mr Howley had extended blockages to these sites yesterday.