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Sunday 31 August 2014

Sean Quinn built up 24pc stake in Anglo shares

Dearbhail McDonald and Donal O'Donovan

Published 06/02/2014 | 15:15

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Pat Whelan. Collins
Willie McAteer. Courtpix
Sean FitzPatrick. Collins

FORMER Anglo chief David Drumm thought that businessman Sean Quinn had built up a stake "in the teens" in the bank's shares.

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But at a meeting in September 2007 attended by Mr Drumm and Sean FitzPatrick, then non executive chairman of the bank, Mr Quinn revealed his actual stake was 24pc.

This afternoon Liam McCaffrey, the former CEO of the Quinn Group, who attended the meeting at the Ardboyne Hotel in Navan, said that the two Anglo executives were "concerned and somewhat surprised" when Mr Quinn revealed the actual level of his shareholding.

Mr McCaffrey is the fourth witness to testify in the trial of Sean FitzPatrick, 65, from Greystones in Co Wicklow, 51-year-old Patrick Whelan of Malahide in Dublin and 63-year-old William McAteer of Rathgar in Dublin.

The men have pleaded not guilty to 16 charges of unlawfully providing financial assistance to individuals for the purpose of buying shares in Anglo Irish Bank in 2008.

Mr Whelan has also denied seven charges of being privy to the fraudulent alteration of a loan facility letter.

The court heard that Mr Quinn's Contracts for Difference(CFD) position had been built up from 2006 through a company called Bazelly.

The Quinn Group was supported by a consortium of lenders and bondholders, said Mr McCaffrey.

Mr McCaffrey said that he attended a meeting in September 2007 at the Ardboyne Hotel.

Sean Quinn, Sean FitzPatrick and David Drumm, then CEO of Anglo, also attended the meeting.

The main item of discussion was the CFD holding that Bazelly had built up in Anglo Irish Bank.

Sean Quinn told Mr Drumm and Mr FitzPatrick the stake he had built up represented 24pc of Anglo's shares.

Mr McCaffrey said that the men were concerned and "somewhat surprised" at the level of the stake Mr Quinn had built up.

David Drumm thought the shareholding might have been "in the teens" said Mr McCaffrey.

The trial continues.

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