Comcast drops long running High Court action over Esat licence
Comcast International Holdings, the multinational communications corporation, has dropped High Court proceedings it brought more than two decades ago over the awarding of the State's second mobile phone licence.
Comcast brought the proceedings in 2001 against the Minister for Public Enterprise, the State, businessman Denis O'Brien, and TD Michael Lowry, following the award of the licence to Mr O'Brien's Esat Digifone in 1996.
Comcast brought its case together with Ganley International Ltd, GCI Ltd and businessman Declan Ganley, after their Cellstar consortium was an unsuccessful bidder for the phone licence.
Comcast claimed the decision to award Esat Digifone the licence was not merited, and the selection of that company was as a result of the corruption of the process. Mr O'Brien, the State and Mr Lowry ‐ who was Minister for Communications at the time of the licence award − denied the claims.
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While Comcast has ended its action against the defendants, the proceedings remain live – Ganley International Ltd, GCI Ltd and Mr Ganley continue to pursue their case.
Separate proceedings brought by Persona Digital Telephony Ltd and Sigma Wireless Network – two firms whose consortium was also unsuccessful in its bid for the licence – over the awarding to Esat Digifone also remain live.
The Moriarty tribunal, which investigated the relationship between prominent business people and politics, concluded in 2011 that Mr Lowry 'secured the winning' of the mobile phone licence for Esat Digifone.
The tribunal's report also found that Mr Lowry was given money by Mr O'Brien, with the payments 'demonstrably referable' to his winning of the licence.
Mr Lowry and Mr O'Brien have repeatedly disputed the findings.
Declan McGrath SC, appearing for Comcast and instructed by RDJ solicitors, told Ms Justice Emily Egan on Monday that a resolution had been reached between his client and the State, Mr O'Brien and Mr Lowry.
He told the court an order could be made discontinuing Comcast's proceedings against the defendants.
Mr McGrath also said an order could be made removing his client's name from the title of the proceedings.
Counsel said in respect of any order for costs made against his client to date, it would be deemed that Comcast has discharged 50 per cent of those costs. He said the same should apply in the event of any future order on costs up to today's date (Monday).
He said the orders could be made on consent between Comcast and the defendant parties. He said the other plaintiffs were not objecting to the orders.
In a statement, Mr Lowry – now an Independent TD, and key member of the Government-supporting Regional Independent Group (RIG) – said he welcomed Comcast's withdrawal from the proceedings.
'This termination of the challenge by media giants Comcast represents a vindication for the proper, professional and dedicated work carried out by the department officials at the time [of the contract tender], who have suffered repeated slurs on their reputation despite fulfilling their duties with independence and professionalism,' he said.
'In this case taken against me personally by Comcast I have successfully delivered a full defence and proof of no impropriety.'
Mr Lowry reiterated his consistent rejection of the Moriarty tribunal's findings.
'The assessment and award process was fair, impartial, lawful, and the withdrawal by Comcast international is evidence of this fact. It is a justification of my repeatedly stated position that there was no wrongdoing in relation to the award of the mobile telephone license in 1996.'
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