4 Directors of Tralee Beef and Lamb restricted from acting as Company Directors

Four Directors of The Tralee Beef and Lamb plant have been restricted from acting as Company Directors for a five year period by the High Court. In a judgement today Justice Finlay Geoghan found that the Directors acted honestly but not responsibly in relation to the conduct of the affairs of the company. The meat plant went into liquidation in 2001 leaving farmer creditors with debts of three and a half million euro.John Delaney and three Non Executive Directors, his wife Patricia, Terry Dunne and Simon Coyle have been restricted from acting as Company Directors for a five year period, unless the company meets legislative requirements regarding paid up capital. In a reserved Judgement Justice Finlay Geoghan said The Court had no discretion to take into account the performance or position of a person as a Director of any other company. The Court, she said is obliged to confine itself to The Directors conduct in relation to the Company before the Court. Mr Dunne had claimed he was appointed a Director of Tralee Beef and Lamb on the basis he would have no involvement in the day to day running of the business and his primary role was to foster the business relationship with the Garvey Group and the Musgrave Group which operated the Super Value franchise.The judge said The Directors satisfied the Court they behaved honestly in relation to the conduct of the company’s affairs but said the financial information available to them was inadequate. According to Justice Finlay Geoghan both Mr and Mrs Delaney did not establish that they acted responsibility. In the case of Mr Dunne she said as an experienced businessman he had an obligation to inform himself about the Company`s affairs. She added that by reason of Mr Coyle`s inactivity as a Director of the Company she could not be satisfied he acted responsibly.

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