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Mitchelstown News from The Avondhu

Dairygold High Court case settled

This week, the High Court case between Dairygold and their former CEO Jerry Henchy were struck out, with no sum for damages paid out to Mr Henchy. Mr Justice Herbert first started hearing the case in July, before resuming last month after the summer break. Mr Henchy (48) from Kilmallock had sued Dairygold for damages in excess of €9 million, alleging that his employment as CEO, for which he was earning €560,000 a year, was wrongfully terminated. This week, the case was settled and Dairygold agreed to pay €196,800 (including VAT) to Mr Henchy's solicitor by way of contributing towards his legal costs. In a statement read out in court, Mr Henchy said that in coming to the decision to terminate his services as CEO, Dairygold acted in good faith and without malice towards him. Dairygold informed the court that any suggestion that the reason for the termination of Mr Henchy’s services as CEO of Dairygold was that he was engaged in wrongdoing or financial impropriety was and is without any foundation and reaffirmed that the reason for the termination of Mr Henchy’s services as CEO was not as a result of any financial impropriety or wrongdoing on Mr Henchy’s part. Dairygold Chairman, Bertie O'Leary welcomed the High Court settlement, saying that the settlement, which involved the payment of no sum for damages, has the unanimous approval of the Dairygold Board. "The Society robustly defended its decision to terminate the services of Mr Jerry Henchy as CEO and is satisfied with the outcome of the case, which might well have continued for a further five or six weeks. The conclusion of the proceedings enables the Board and Management of the Society to focus on the continued development and expansion of the business of the Society," he said. The news was also welcomed by Deputy Tom Barry. "This is a good news story for North Cork, the suppliers and customers of Dairygold; the recovery of Dairygold Co-operative under the competent stewardship of Jim Woulfe can continue at the pace that has been building over the past few years," he said. "This is particularly welcome as we look forward with great anticipation to the fruits of Dairygold's massive €33m investment in Mitchelstown and their significant plans for expansion in Mallow next year," Deputy Barry added.

Published: Thursday 14th November 6:26pm

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