Jackson Way Properties Ltd (JWP) has asked the High Court to stop an action by the Criminal Assets Bureau aimed at securing some €53 million from the company over its alleged "corrupt enrichment" from the sale of lands at Carrickmines in Dublin.
The 17 acres of lands at Carrickmines remain frozen under a High Court order secured by Cab in 2005 after it initiated its proceedings against JWP, which has registered offices in Birmingham.
Cab claims a €53 million increase in the value of some of the lands was a direct result of "corrupt conduct in procuring the rezoning decision" and amounted to "corrupt enrichment" of JWP within the meaning of that phrase in Section 16B of the Proceeds of Crime Act 1996.
When seeking the order in July 2005, Cab chief officer Felix McKenna said the €53 million increase in the value of certain of the JWP lands - up from some €7 million in 1997 - followed a land rezoning decision procured by "corrupt conduct" and "corrupt payments to county councillors".
He said 17 acres were rezoned from agricultural to industrial by 13 votes to 11 at a special council meeting of DúLaoghaire-Rathdown County Council on December 16th, 1997. Cab had investigated the matter and believed the rezoning decision was procured by corrupt payments to county councillors.
Chief Supt McKenna said the corrupt payments were made by Frank Dunlop in furtherance of an agreement with James Kennedy, whereby Mr Dunlop was to receive the commercial value of one rezoned acre of the Carrickmines lands if he successfully arranged the rezoning.
He said the beneficial owners of JWP are Mr Kennedy, a busi-nessman/developer who has been involved in the running of an amusement arcade at Westmoreland Street, and a solicitor, John Caldwell.
According to Cab, the lands were amassed by Mr Kennedy and Mr Caldwell in the period up to 1989. A company called Paisley Park Investments Ltd was registered as full owners of the property in December 1992 and the land was transferred to JWP in 1993.
Based on inquiries, Chief Supt McKenna said he believed Paisley Park Investments Ltd was owned substantially by Mr Caldwell and Mr Kennedy.
The case was before Mr Justice Kevin Feeney yesterday via a procedural application by JWP relating to jurisdictional issues.
Paul Gardiner SC, for the company, alleged Cab is not entitled to bring the proceedings in this jurisdiction. He argued the action is a "civil and commercial" mat- ter which falls within the remit of the Brussels regulation on jurisdiction, meaning the action has to be brought in the country of domicile of the company, the UK.
Brian Murray SC, with Cian Ferriter BL, for Cab, rejected that argument and said the regulation does not apply to the case. Mr Murray will conclude his submissions on Thursday.
