Hotelier gets leave to seek answers from English police

MR PHILIP Smyth, who leases Sachs Hotel, Dublin, was granted High Court permission yesterday to apply to the English courts to…

MR PHILIP Smyth, who leases Sachs Hotel, Dublin, was granted High Court permission yesterday to apply to the English courts to have two detectives examined about anonymous phone calls.

Mr Smyth, a director of Genport Ltd, claimed the phone calls alleged he was laundering drug money for the IRA through the hotel and that his brother, now a Garda chief superintendent, assisted him.

In the claim by Genport, Mr Smyth alleged the calls were made on telephone lines listed in the names of Tunney Meats and/or Mr Hugh Tunney - from whom he leases the hotel.

Mr Justice McCracken said Genport's allegation, if established by evidence, was extremely serious. If true, the behaviour of Crofter Properties Ltd, of which Mr Tunney is a director, and its officers was quite outrageous and might well constitute criminal offences.

READ MORE

Mr Tunney's company has brought an action claiming Genport failed to pay rent on Sachs Hotel between August 1993 and November 1995. Genport counter claimed there were reasons justifying non payment, including its present claim for damages arising from the alleged phone calls.

It was claimed the calls were made to the South East Regional Crime Squad of the English police and the Dorchester Hotel, London, between January 1993 and November 1994.

Crofter denied the allegations and claimed if calls were made it was not with the consent or knowledge of the company.

Mr Justice McCracken gave judgment on Genport's application to apply to the English courts to examine two policemen about the phone calls.

The judge said he should not shut out Genport's claim because of its delay in bringing the application, made during the course of the hearing, though he realised its claim might well fail even if the English police evidence was obtained.

He attached terms to his order which would, as far as possible, prevent hardship to Mr Tunney's firm, Crofter, should it ultimately succeed.

Both parties agreed Crofter was owed £688,605 by Genport for arrears of rent, subject to any relief that might be granted to Genport in the present action.

Because of the delay incurred by the application to the English courts further rent would fall due. The judge said there was ultimately going to be a substantial decree in favour of Crofter.

He said Genport should pay rents in full as they fell due, pending the outcome of the action. Genport should also pay Crofter £100,000 within 28 days and in addition pay £3,900 a month.

These payments, said Mr Justice McCracken, were to be made without prejudice to Genport and not to be taken as any admission on its part. Credit would be given to Genport for these payments on the making of any final decree.

He put the case in for mention next May 23rd.