On both sides of the Border there is ongoing litigation in the Quinn Family Saga with Anglo, or IBRC as it is now known, locked in battle as it pursues €2.8bn of outstanding loans from the Quinns. On the other hand, the Quinns claim that the bulk of the loans were for an illegal share-support scheme and dispute that the loans are in fact due. IBRC now equals the Irish state, so it is you and I that are pursuing €2.8bn from Ireland’s former wealthiest tycoon, Sean Quinn. IBRC is trying to take possession of an estimated €500m of property assets formerly owned by the Quinns, and last night BBC Northern Ireland broadcast an award-deserving investigative special on the obstacles facing Anglo in its quest. The hour long Spotlight programme is available here for the audience in the UK. If you need to convince the BBC website that your computer is in the UK so that you can watch the programme, then you can fool them by using an IP proxy masking service like ExpatShield.
Last night’s programme was presented by Jim Fitzpatrick who travelled from Derrylin from where the Quinn empire was controlled, to Dublin to Stockholm to Kiev to Moscow to Belize to try to establish what has happened to the €500m property portfolio that Anglo is seeking to use to offset the Quinn loans. It is fascinating, blood-boiling investigative reporting at its best, well worth a look.
Sean Quinn’s office after his ousting in April 2011
Presenter Jim Fitzpatrick recounted that it was only by chance after Anglo had appointed receivers to the Quinn group in April 2011 that an invoice arrived on the doormat in Derrylin which related to the assembly of an intricate web of international companies which has seemingly made great efforts to extract a €500m property portfolio from the Quinn group, and away from Anglo’s reach. Jim first visited Stockholm, Sweden where it appears the web of companies was assembled by Peter Darragh Quinn, Sean Quinn’s nephew.
BBC presenter Jim Fitzpatrick examining official records of company documentation in Stockholm
It would appear that Sean Quinn signed some of the documentation relating to the companies in June 2011 which was three months after Anglo appointed receivers to the Quinn group, and that is very interesting because in court proceedings, Sean Quinn has not disputed the allegation that he signed documents and attempted to move property beyond the reach of Anglo, but Sean has insisted that what he did was perfectly lawful and pre-dated the appointment of receivers by Anglo in April.
Documentation uncovered by the BBC in Sweden which apparently shows Sean Quinn’s signature in June 2011
Jim then moved to the Ukrainian capital Kiev for what was probably the most blood-boiling part of the programme. The Quinns owned a shopping centre in Kiev
BBC presenter Jim Fitzpatrick outside the €50m Ukraina shopping centre in central Kiev.
The shopping centre is worth €50m and is said to collect USD 1m in rent every month from its tenants. Anglo is trying to take possession of it but so far, Anglo has failed to get its employees onto the premises and the programme recounted an incident last year when the Anglo appointed representative was met with police wielding AK47s when he attempted to enter the management area of the shopping centre.
Ukrainian security guards not happy with the BBC filming the Quinn shopping centre
Whilst filming outside the shopping centre the BBC was confronted by security guards who ordered them to stop filming despite being on the sidewalk. So why can’t Anglo get possession of a €50m asset which it thought was security for loans to the Quinns? Because an employee of the company who was apparently paid USD 500,000 by the Quinn’s Ukrainian company last year accepted the legitimacy of a debt from an offshore company, and that offshore company now stands in front of Anglo in the queue for possessing the shopping centre. Why did this employee accept the debt which doesn’t apparently have any foundation? Well the BBC visited her apartment building for answers.
No-where to hide. The BBC turns up at employee’s home to seek answers.
Unfortunately the employee refused to speak to the BBC, as did the employee’s boss Larisa Yanes Puga whose salary was apparently doubled last year.
Larisa Puga (left), not answering questions
The court system in Ukraine was described as corrupt by a local journalist and a representative of an international commercial body in Ukraine said they did everything to avoid their clients depending on the Ukrainian court system. So it seems the BBC was getting no joy in Kiev. Onwards to Moscow where another Quinn property, this time a valuable office block which in a manner almost identical to the Kiev property has ended up being owned by an offshore company on foot of a mysterious debt. The company in the Moscow case is Galfis, a company incorporated in the tiny central American country of Belize.
So the BBC went to Belize City in search of Galfis, and what do the offices of this international company which lays claim to the €100m Moscow office block look like?
Jim Fitzpatrick points to the registered office of Galfis, the Belize-registered company which lays claim to a €100m Moscow office block formerly owned by the Quinns
The BBC interviewed the man who put Belize on the map as an offshore company paradise who explained how local corporate laws work. Anglo had sought to unmask the person or persons behind Galfis and found that it was a Ukrainian railway worker and in a court case in Belize, that Ukrainian was summoned to give evidence by video link, and during the hearing the judge became aware the Ukrainian was being coached by someone in the room off-camera and when that person was ordered to leave, the video link went dead. Which leaves us all hanging for the time being as to what has happened to the Quinn property empire.
And so back to Dublin where the Quinns – Sean, his son Sean junior and his nephew Peter Darragh Quinn – face jail for contempt of court and allegedly breaching an injunction obtained by Anglo last year to stop the Quinns acting to place their property beyond the bank’s reach. The BBC caught up with Sean Quinn and the family outside The Four Courts in central Dublin. Sean Quinn junior and Peter Darragh Quinn were keeping schtumm when Jim Fitzpatrick attempted to ask questions about the transfers. A spokesman for the Quinns later told the BBC it didn’t want to comment with legal proceedings ongoing.
Jim Fitzpatrick confronting Sean Quinn junior and Peter Darragh Quinn outside The Four Courts in Dublin
The Quinns were released from attending court last Friday for the wedding of Sean Quinn junior, whose best man was Peter Darragh Quinn. A happy day for the Quinn family who wait to hear at the start of June if they will be sent to jail.
Best-man Peter Darragh Quinn and groom Sean Quinn junior on Friday 11th May 2012
The BBC is to be commended for producing a fascinating programme. For telling a coherent story. For travelling to the far-flung locales where the former Quinn empire is located and to the jurisdictions whose incorporated companies are now laying claim to that same property. For standing their ground in Kiev where security guards were clearly unhappy with their presence, for tracking down employees even if they didn’t want to speak. And journalistically, for seeking comment from the Quinns so as to provide an opportunity for counterbalance. Great programming. The matters examined are before the courts at present.
Peter Darragh Quinn and Sean Quinn junior walking away from The Four Courts in Dublin
[All images above are screen grabs from BBC Spotlight]
UPDATE: 26th June, 2012. The BBC Spotlight Special is being repeated tonight at 22.45 on BBC Northern Ireland.
NAMA Wine Lake 
Outstanding journalism, both from the BBC and in synopsis by namaawinelake!
Thanks again for holding a torch, transparency and honesty as to how the state was brought to its knees are the only way out for Irelands people
I only saw the last half but it was fantastic reporting and really opened the window on a lot of “interesting” dealings. Where is our PravdaTE? Why arn’t they and the other media doing such high quality investigative stuff? At the very least, PTE should show the programme to its audience as we are all picking up the Quinn tab.
[…] […]
Reblogged this on Machholz's Blog and commented:
The Irish taxpayers are shafted once again !
@NWL thanks for the links,unfortunately it selected London as my location so was unable to view the show.Will try later today,some recent troubling reporting on Anglo.
Siteserv
McKillenn
Today’s IT regarding funding the purchaser of its own bonds with no money down.
If one takes the view that something is and has been rotten in the state of Anglo for a long time, Sean’s alleged actions could be viewed differently.
If they take all his assets and cash how can he pursue the main legal case regarding the CFD’s
Clearly the intent in to ‘money whip’ Sean render him broke and unable fund a decent case.
@John, change your location on the BBC to postcode BT1 and that should work, though the link should go directly to BBC Northern Ireland Spotlight.
[…] […]
Maybe RTE could buy the programme from our friends in the North and rebroadcast it? There would be an audience for it I think.
Nothing has changed. The Nordie’s TV exposed the Beef Scandal , clerical abuse, their courts dealt with Gallagher.
Eternal shame on RTE and all political parties in the Republic.
Infuriating!
Whatever the blurb and the down-with-this-sort-of-thing that comes from our political class, the fact remains that they have more in common with Sean Quinn and his ilk than they ever will with the ordinary citizen.
RTE and the Irish Times take their lead from the politicians – hence, no interest in exposing the carry on of Sean Quinn, Larry Goodman, Sean Brady, etc.
Blatant criminality is one thing, but this is shows a sense of entitlement at a psychotic level.
@NWL thanks will watch it later,mobile today.
Link to today’s IT article ,further shocking allegations regarding a financially and morally bankrupt organization,there is also a comment piece in IT,regarding Ansley’s love feet with McKillen,did he sign off the numerous texts with LOL !
http://www.irishtimes.com/newspaper/finance/2012/0516/1224316193525.html
Sean Quinn is entitled to fair process and the presumption of innocence until proven otherwise.
Forget about politicians, NAMA etc. This is a personal battle between Sean Quinn and the State (in the form of the Department of Finance) and the Insolvent Bank Recently Called Anglo. Sean has adopted a scorched earth policy. If he doesn’t end up with his assets (as he sees them), nobody will. Jail or no jail – this is a fight to the finish.
‘dog eat dog’, because every saying has its day
Quinn is one right hoor–as they say on this side of the border.
The most disappointing aspect of all of this is the likely inability of the Irish justice system to deal with Quinn and his extended clan of sons, daughters, nephews, in-laws, directorships and legal advisors. It is very likely that the Quinns will never be brought to any trial, much less found guilty of anything, and it is almost a certainty they they will keep the majority of the assets which now must be paid for by the Irish people.
We are witnessing a breakdown of the rule of law in the Republic of Ireland. Sean Quinn is merely the archetype of an entire class of professional asset gamblers that have run rings around our impotent court system. Indeed, not a few court officers themselves have followed his example.
If this goes unresolved—as I believe it will—Ireland may well end up like the Ukraine seen in this programme: A largely lawless place, where private security guards trump property rights 9 or more times out of 10.”
The old fashioned social science on Italy used to discuss the concept of “amoral familism”. Somehow this term keeps coming to mind these days.
This programme is being repeated now on BBC2.
@GD thanks its Miller time stateside,wil watch it,unfair of me to comment till I watch it,but instinctively suspicious of a witch hunt.
On a personal level,wish Sean all the best.
On a personal level, I wish for the man–and his entire brood–to get every just dessert that’s coming to them.
i have to laugh at the statement that “it is you and I that are pursuing €2.8bn from Ireland’s former wealthiest tycoon”
right, so the Irish state / people will benefit from clawing stuff back off Quinn?!
god look to your wit, you poor sap.
anglo irish never needed to be bailed out by taxpayers; it is uttery without logic and exists to keep the gravy train going among an elite shower of con-men; eg:
http://www.irishtimes.com/newspaper/finance/2012/0516/1224316193525.html
Quinn is no better or worse than the politicians who’s policies are going to lead to social unrest in this country as for the ridiculously and pompously named “IBRC” they are not going to “resolve” anything. Just big fat salaries and help themselves as they go along. Ditto NAMA a self serving lot whose holier than thou act is totally threadbare.
While on the subject I downloaded one of the contracts that IBRC were offering to fit out, and get ready was it 52 or 62 apartments, there was a link to it from this site. Low and behold they wanted the unfortunate who “got” the contract to fund the whole venture then wait to get paid when the apartments were rented out. Imagine spending 500,000 and instead of IBRC paying up you have to wait to see if they get rent to pay you? A criminal approach if ever there was one. They wanted you to name your main competitors and furnish them with the names addresses and contact details of same. Looney gun to the head stuff.
I think Quinn will be found guilty because he is not an establishment figure and is a handy scape goat and diversion. I do think he is going to end up in jail because that is the way the Irish hegemonies operate. However, I think he will win his case that the bulk of the loans were for an illegal share-support scheme. That can of worms cannot be put to rest. Anglo will say the regulator was informed. I say so what! The regulator was one of the weakest links in the Irish financial joke system of checks and balances. The regulator will say the ICB were informed and the ICB will say the department of the Taoiseach was informed and the Taoiseach will say that he was acting in the “national interest”. As I said, no different to what Sean did except Sean is unfortunate to be before the courts. If Quinn goes to jail things will get very interesting.
Can you present even one solitary example of someone in Quinn’s position who was ever held to account in the history of the state?
In my experience, Irish hegemonies operate by having a little Tribunal, paying everyone’s fees, and then forgetting all about it. Hence all the unexplained factory and dance floor arsons in decades past, and hence why former Anglo employees are now TDs instead of up in front of a judge to explain themselves.
@Robert,
The tender by IBRC for suppliers to fit-out the 52 apartments in Dublin 1 is indeed bizarre. Here is the latest Q&A for the tender, the link is here
http://www.etenders.gov.ie
but you’ll need to register to access the Q&A
@NWL, Jesus wept. It just shows the level of competence left in the place. Too lazy to provide the most minimal of information – never mind having the ability to politely communicate in English.
@WSTT, my favourite is the last one, “is there a carpet specification”. Not being an expert on carpets, I do at least recognise that some carpets are more expensive than others, wool versus synthetic, rubber backed versus no-backing, depth, thickness, durability, pre-treatment. So it seems like a fair question.
And the answer refers to access and the fact the supplier has to provide all the goods under the contract, but the contract doesn’t specify the carpet either.
Is this the sort of carry-on we can expect from a €866,000 CEOed state company?
Question
Is this the sort of carry-on we can expect from a €866,000 CEOed state company?
Answer
Access will be granted by prior agreement only. Should you wish to …
@OMF, “Can you present even one solitary example of someone in Quinn’s position who was ever held to account in the history of the state?”
Ray Burke, Frank Dunlop and Liam Lawlor. But they were just more scapegoats – like Sean Quinn.
Between the 16th and 19th centuries laws were made by rich and privileged men who felt some members of the citizenry needed to be punished harshly to set an example to others. Irish families used to send their children out to steal sheep and laws were passed which provided for the hanging of children convicted of stealing sheep.
These executions were known as the Bloody Code. And the Bloody Code seemed a logical way of protecting the interests of those in power. The trials themselves lasted only a few minutes, the defendants had no money to argue their cases so all the evidence couldn’t be properly examined. Being proved innocent or guilty came down completely to luck or how the judge was feeling on the day.
A bit like Peter Kelly’s court really.
I commented earlier in a way similar to your descriptions, however, my comment could have caused difficulties.
I try again.
Certain systemic flaws are designed, they are not there by chance or coincidence. Take the operating of container ships under foreign flags, take offshore banking, or google “Ugland House”, to bring up just a few examples.
Legal systems as well as creation and implementation of laws is compromised by vested interests. One striking example is how Merkel diluted and bent to breaking point the German constitution to enable the Lisbon Treaties, essentially she destroyed one of the, in my opinion, best constitutions that were created so far.
As long as this entire system and the engineered flaws are not fixed to the benefit of all citizens, and not for the benefit of a small group of vested interests, real change will not come forward and we will move backwards into the dark ages, as Noam Chomsky just recently put it, and I agree with this view.
http://www.foreignpolicy.com/articles/2012/01/24/house_of_19000_corporations
I thought the BBC programme was good. Surprisingly Alan Dukes did ok, though IBRC have questions to answer.
I’ve consistently said that when you’re moving against a borrower you need to move quickly and lock everything down. IBRC seem to have failed in this regard and has cost us millions if not hundreds of millions. I have similar concerns that NAMA is guilty of the same lapses.
Sean Quinn gambled on Anglo and lost. He should honour his debts or go broke trying. The ‘illegal share support scheme’ is a red herring. It probably saved Quinn money!
@NWL,
I see one of the etenders answers “They are completely empty”. Do you still reckon these should be on IBRC’s book?
@Ahura, we don’t have details of the building in question though it has been suggested that it is Liam Carroll’s Liffey Trust building. Normally it would be the receiver or developer who deals with fitting-out. It’s unclear why IBRC is getting into the residential lettings business. It is bizarre to see an IBRC employee dealing with the minutiae of fitting out apartments.
I’ve got to give the Quinns’s some credit. Larissa Puga is a fine looking woman!
I hope he has millions buried from IBRC… He has paid millions in tax and created thousands of jobs whilst remaining in the country when other so called Irishmen are tax exiles and have paid nothing…. If they had stayed out of the companies instead of the asset stripping that is going on, he would have paid it back. Typical short sightedness of this joke of a government… Political point scoring which has put thousands of jobs at risk in the border counties with the jokers they have put in to run Quinn’s companies….
Quinn will be back in charge this time next year… You heard it here first!!
Finally got time to watch it,excellent show.
“The Rashomon effect is the effect of the subjectivity of perception on recollection, by which observers of an event are able to produce substantially different but equally plausible accounts of it. A useful demonstration of this principle in scientific understanding can be found in an article by that name authored by Karl G. Heider.”
http://en.wikipedia.org/wiki/Rashomon_effect
@JG that could explain why people who saw my recent poem “The Deal” (which as always was inspired by Irish politics), asked me if it was about a schizophrenic heroin user having a bad trip…??? Really.
A matter of perception I suppose.
The Deal http://wp.me/28tG9
“Presenter Jim Fitzpatrick recounted that it was only by chance after Anglo had appointed receivers to the Quinn group in April 2011 that an invoice arrived on the doormat in Derrylin which related to the assembly of an intricate web of international companies which has seemingly made great efforts to extract a €500m property portfolio from the Quinn group, and away from Anglo’s reach”
Oh honey,don’t exaggerate it’s a good enough story w/o the hyperbole.Is Sean Quinn the Artemis Foul of Irish Business,or a distraction.
http://en.wikipedia.org/wiki/Artemis_Fowl_(series)
[…] Namawinelake has a detailed post on the Spotlight investigation. Tags: Bankruptcy, Contempt of court, Dublin High Court, Economy, IBRC, International, Ireland, […]
where can i watch this online???
@Roberto, because you’re in the Republic, you won’t normally be able to watch this online at the BBC because the BBC checks the IP address of your computer and if you are outside their licensing area, you will be denied access (usually).
You can fool the BBC into believing you are in the UK by using a so-called “proxy masking” piece of software. The http://www.expatshield.com software comes highly recommended.
You may still need to tell the BBC you are in Northern Ireland, so that you can view BBC NOrthern Ireland rather than another region of the UK. If asked for a post code you can use BT1 (that’s BT-one) which tells the BBC you are in Belfast.
It’s a bit of trouble, but expatshield allows you to view all sorts of programming that is specific to the UK.
Good luck.
I believe that the programme will be repeated tonight (Tues) at 10:35 on BBC1 Northern ireland.