A Co Mayo farmer who pleaded guilty to tax evasion over a seven-year period in the 1990s has been given a two-year suspended jail sentence.
The Circuit Court in Westport was told that 52-year-old Frank Morahan of Coolisduff , Kilmaine had invested £150,000 (Irish) in the Isle of Man based Clerical Medical International insurance product.
Morahan, who farmed over 300 acres in South Mayo in the 1990s, was described at today's court hearing as one of many National Irish Bank customers who had invested in the CMI scheme.
Between 1991 and 1998 he was declaring an annual income ranging from £13,000 to £22,000 to the Revenue Commissioners but prosecuting counsel told the court he had during this time sought out the Isle of Man based CMI Product to 'hide his money from the taxman' .
Senior tax inspector Liam Liston said an inquiry which began in May 1998 discovered ' serious omissions' from his tax returns as well as off shore accounts in bogus names.
He said Morahan had last Friday made a payment of €448,828 to the Revenue Commissioners in settlement of his tax liabilities. Some of this amount related to years outside 1991 to 1998.
Morahan's counsel said he had learned a very severe lesson. He had kept his money with the National Irish Bank and relied on it and when it promoted the CMI Product he was foolish enough to invest in it.
He was now 'paying the price' and had to borrow the money to make his tax settlement. Judge Harvey Kenny imposed a two-year jail sentence on Morahan to be suspended if he remained tax compliant for the next five years.
