High-profile during the dotcom boom, Cardbase Technologies went into examinership in 2001, owing almost 14m. It was generating sales of just 2.5m per year. It later emerged from the process and continued trading.

A number of well-known Irish business people, including telecoms entrepreneur Denis O'Brien, had invested in the firm. By 2003, the total investment in Cardbase totalled more than 28m, but it continued to turn a loss.

Other funding had been secured from investors such as ICC Venture Capital, and London-based LTG International, which also invested in Irish software firm Havok.

Fomer chairman and shareholder James Osborne was one of a number of investors that challenged Cardbase's exit from examinership.

That group of investors called itself Calculation Investments and is believed to have sunk almost 4m into the firm. The group is believed to have felt the assets of the company were worth more than its continuing operation.

McEntee, who was previously managing director of drinks firm SHS Sales & Marketing, had been appointed chief operating officer of Cardbase in 2000.

It is understood that when the firm entered examinership, he and a number of other individuals claim they agreed that they would only seek to recover 40% of the money they were owed, unless the company was sold, whereupon they said they would seek the reimbursement of all the funds owed.

Cardbase's continued trading difficulties when it did emerge from examinership forced it to seek a buyer in 2004. That year ID Data, a British smartcard payments firm announced an agreement to buy Cardbase for just 3.42m.

Shareholders in Cardbase that came on board after the examinership are claimed to have been given priority for distribution of funds from the sale.

Dublin-based McEntee has a number of commercial interests in Ireland. He and his wife are sole owners of document shredding company Pulp Recycling, while he is also involved in a British drinks business.