Allied Irish Banks ordered to pay damages for overcharging Cobh shopkeeper Denis Murphy.
Denis Murphy runs a newsagent and convenience store at West Beach in Cobh, County Cork. He was a Bank of Ireland customer for many years, but in May 1999, he switched his business account to Allied Irish Banks (AIB), which had a branch next door to his shop. Denis Murphy was promised special low charges for transferring to AIB.
When Denis Murphy got his fee advice, he discovered they were over three times the amount that had been agreed. He made numerous attempts to negotiate with the managers and regional managers but to no avail.
They offered me very paltry and insulting amounts of money.
Denis Murphy sued AIB Bank for damages at the Circuit Court and was awarded damages of almost €20,000, including €10,000 for aggravated and punitive damages.
He refused an offer from the bank to settle the case for €35,000 because he wanted the facts of his case made public. If he had the choice again,
There is no way I'd accept money to keep silent.
Commenting on the damages awarded to Denis Murphy, his solicitor John Boylan believes the damages awarded prove banks and institutions cannot get away with overcharging individuals and small businesses. Judge Seán O'Donoghue believes Denis Murphy was
Treated in an arrogant and high-handed manner by the AIB bank in Cobh.
Considering recent overcharging scandals at AIB, Judge Seán O'Donoghue felt it timely for the judiciary to signal disapproval and discourage such practices.
An RTÉ News report broadcast on 16 July 2004. The reporter is Paschal Sheehy.
