John Aherne: Company reported a profit of over €496,000 last year

THE owner of the Leas Cross nursing home reported a profit of nearly €500,000 last year, a sevenfold increase on the previous year.

Accounts show John Aherne’s company Sovereign Projects Limited, with an address at Leas Cross nursing home, reported a profit of over €496,000, compared to €62,000, recorded in 2003.

As the fallout from the nursing home scandal continued last night, it emerged the nursing home owners also paid themselves money from the company and last year had nearly half a million euro in spare cash in the bank.

The nursing home owners’ accounts from January last year show John Aherne and Genevieve Aherne paid each other nearly €35,000 out of the facility’s company.

Accounts for Sovereign Projects Limited, show it had €433,267 in the bank in 2004.

In addition to this, its shareholders’ funds were valued at €2,449,424.

The Swords nursing home has grown in size from just 30 beds, when it was opened by Taoiseach Bertie Ahern in 1998, to more than 90 rooms at present. A place in the nursing home costs €45,000 per year.

It is likely the extra rooms were availed of through the nursing home tax incentive scheme, which was introduced by former Finance Minister Charlie McCreevy.

The Government has recently ordered a review of all property-related tax breaks, including those regarding nursing homes.

Mr Aherne applied this month to Fingal County Council for planning permission for a new seven-bed Alzheimer’s unit at the nursing home.

In 2000, he made a settlement of €600,000 with the Revenue Commissioners for unpaid income tax.