A €9.7 million judgment has been entered at the Commercial Court against former Offaly Fianna Fáil councillor Ger Killally, in an action by a retired Garda superintendent and other investors over an alleged land deal “scam” in Offaly.
Judgments in amounts totalling €9.7 million were entered on Friday, March 2 by Mr Justice Micheal Peart against Mr Killally and a company, Charterhouse Mortgage Centre Ltd (in voluntary liquidation).
Ger Killally was a former Fianna Fail Dail candidate, running alongside Brian Cowen, John Moloney and Sean Fleming in the general elections of 1997 and 2002.
Mr Killally was declared bankrupt after the action was initiated and the Official Assignee in bankruptcy later said he would not be participating in the case. Judgment in default of defence was previously granted against Mr Killally and Charterhouse with damages to be assessed later.
On Friday Judge Peart made several orders and declarations arising from a settlement of the action by retired Garda Supt Peter Wheeler and other investors against Mr Killally, a firm of solicitors and others over the Mount Lucas land deal in which Mr Killally allegedly made secret profits.
It was alleged Mr Killally, unknown to the investors, acquired lands at Mount Lucas, Daingean, for some €4.7 million and arranged a scheme under which they were sold to the investors for €10.6 million in May 2007 at a time when they believed Mr Killally was a co-investor with them.
Mr Wheeler, two of his brothers, six other investors and two companies had sued Mr Killally, a firm of solicitors, financial advisers and others over the deal completed in May 2007. Mr Killally did not participate but the other defendants denied the claims.
Mr Wheeler had told the court he had trusted Mr Killaly completely when considering whether to invest, as he was chairman of Offaly County Council, had run in general elections and was of standing in the community.
The case opened in March 2011 and heard a deal of controversial evidence, including allegations against various solicitors in connection with the handling of the deal.