Business Irish

Friday 23 February 2018

Ex-Quinn chief given €1.4m golden handshake on exit

PAYOUT: Liam McCaffrey
PAYOUT: Liam McCaffrey

Tom Lyons

LIAM McCaffrey, former chief executive of the Quinn Group, received a golden payout of about €1.4m after he left the glass-to-insurance conglomerate in April 2011.

McCaffrey pocketed almost one-and-a-half million euro plus other perks -- despite the Quinn Group turning in a pre-tax loss of €852m in 2009, the last year he was in charge of the company answering fully to Sean Quinn.

The scale of the losses in Quinn Insurance, a key subsidiary of the group, forced the Financial Regulator to place the division into administration in March 2010.

At the end of last year, the Government was forced to introduce a new bill to impose a 2 per cent levy on all general insurance policies in the State in order to plug a hole in its reserves estimated earlier this month at €775m.

Mr McCaffrey, as chief executive of the group, reporting directly to Sean Quinn, did help turn the Quinn family's empire into a conglomerate generating revenues of €1.8bn a year.

Its glass, plastics and packaging, radiators and construction supplies businesses were all hugely successful during the boom and employed thousands of people.

However, movements of vast sums within the group, and other business decisions, taken in 2007 and 2008, to pay for Sean Quinn's disastrous gambling on Anglo Irish Bank shares, are now the subject of a number of investigations.

The Quinn Group's 2010 accounts said it had engaged "external consultants" to review the circumstances of these decisions and Mr McCaffrey, as a former chief executive, will be asked to assist with this process.

Mr McCaffrey will also figure as a key witness in a case being taken by the family of Sean Quinn against IBRC, formerly Anglo.

"I worked for 21 years with the Quinn Group," Mr McCaffrey said. "When I joined, it employed 300 people. When I left, it employed 5,000." He declined to comment further.

Sunday Indo Business

Promoted Links

Business Newsletter

Read the leading stories from the world of Business.

Promoted Links

Also in Business