AN EMOTIONAL and tearful Seán Quinn has told the High Court his employees were “treated like dogs” during Anglo Irish Bank’s “very underhand” takeover last year of his companies built up with “honesty and integrity”.
Before that takeover, he believed the bank and the Quinns would come to a consensual arrangement about loans of €2.3 billion.
Once Ireland’s wealthiest man, Mr Quinn was giving evidence in a contempt case taken by former Anglo Irish Bank, now Irish Bank Resolution Corporation, against Mr Quinn, his son Seán jnr and his nephew Peter Darragh Quinn over the alleged transfer of assets before the companies were taken over. All three deny the contempt claim.
The case if upheld could result in a jail term for the defendants.
Mr Quinn told the court yesterday he had disagreed with his nephew Peter Darragh Quinn’s belief the bank would move to take control of the Quinn companies. Mr Quinn said he was “a bit naive” in his view that the bank would act in the best interests of the community and people of Derrylin and Fermanagh.
His nephew believed, from the time the family lost control of Quinn Direct in March 2010, Anglo was going to take control of the business.
Mr Quinn said he had believed from 2004 to 2011 it would “all come good” with the bank and it would “honour its commitments” and work with the Quinns. He stuck to that view and made every effort to get a consensual agreement with the bank but was also aware his nephew had taken legal advice concerning foreign property assets of the family.
After Anglo spoke about selling Quinn properties and chief executive Mike Aynsley went “on national radio” in late March 2011 saying Quinn companies would not stay in Quinn ownership, he realised there would be no agreement.
He then organised a “war cabinet” of three or four directors who had “a chat between ourselves” in Derrylin after which he instructed his nephew to act on legal advice concerning assets in the Quinn international property group (IPG). When signing documents days later which moved multimillion-euro assets beyond the reach of Anglo, he said he was “very angry and very upset” and believed the main thing was to get them “out of Anglo’s control”. Some of those documents were in Russian and Ukrainian but he was not good at languages and relied on his nephew.
The “very underhand” takeover of the companies happened on April 14th, 2011. As he and other Quinn executives were on their way to Dublin to meet the bank, 70-80 people from the bank were about to take over the companies.
Becoming upset, his voice choking and his hands trembling, he said senior workers were removed from their offices at Derrylin and “treated like dogs”. The bank “took the whole lot” including private documents held by his children.
He described as “totally untrue” the bank’s claim he has acted in contempt of High Court orders of June and July 2011 restraining dissipation of about €500 million worth of assets in the IPG.
Mr Quinn was declared bankrupt last January. He will continue his evidence today.
