INM not to appeal ruling on inspectors

INDEPENDENT News and Media PLC will not appeal a decision to appoint inspectors to investigate a series of allegations of unlawful activity within the group, the High Court has heard.

The two inspectors, senior counsel Seán Gillane and UK solicitor and company law expert Richard Fleck, will therefore begin their work straight away.

Paul Gallagher SC, for INM, told High Court president Judge Peter Kelly yesterday that there would be no further application by the company, following the hardhitting judgment issued on Tuesday.

This means that the company will not appeal the ruling, which supported a request by the Director of Corporate Enforcement, Ian Drennan, to send in inspectors.

The investigation will centre on the copying of journalists’ and barristers’ emails without their knowledge, a proposed purchase of Newstalk radio station at an allegedly inflated price, and alleged insider information being given to the chief shareholder, businessman Denis O’Brien.

A key person to be investigated at the request of the Director of Corporate Enforcement will be Leslie Buckley, the former chairman of INM who resigned in March of this year.

Judge Kelly said: ‘It may be that there will be a complete explanation for all of the Director’s concerns, but if there is not then, to borrow the language of the independent reviewers, what is alleged is very serious indeed.’