On 1 October, Moonduster said it had agreed to buy the shares from Octavian for 25.20 each but arranged to pay an extra consideration equal to the difference between that price and the highest price it pays for ICG shares over the next 18 months if its 22 per-share offer for ICG ultimately goes ahead. The notice, however, came ten days after the agreement was reached.

The Takeover Panel, the statutory body responsible for monitoring and supervising takeovers, objected to the deal after being tipped off by a third party . . . since it gave preferential treatment to one shareholder . . . and on Friday issued a censure under Section 10 of the Takeover Panel Act 1997. The act empowers the Takeover Panel to pursue violations in the High Court when companies ignore its judgments.

"All holders of the securities of an offeree of the same class must be afforded equivalent treatment, " the Irish Takeover Panel said in Friday's statement.

The Philip Lynch-led Moonduster consortium, which is vying with developer Liam Carroll and a management group led by ICG chief executive Eamon Rothwell to take over the ferries group, is now barred from enforcing its deal with Octavian. It is understood, however, that the censure still allows the two parties to determine for themselves whether to cancel the acquisition entirely, a step Moonduster would be reluctant to take since it would reduce its shareholding in ICG.

However, if Moonduster were ultimately to pay the premium to Octavian, the Takeover Panel would pursue action against the consortium.

Takeover Panel censures are extremely rare.

There is no mention of any other censure in the Takeover Panel's press release archive dating back to 1998, although a source familiar with the work of the body said there had been one shortly after the act came into effect in 1997.

ICG shareholders rejected a 24 per share offer from Eamon Rothwell's Aella group at the end of September. Moonduster has repeatedly stated its belief that there is no prospect of any Moonduster scheme being successful and that there is little merit in the independent directors of ICG bringing forward a Moonduster scheme as long as Aella is not prepared to accept one on principle, a position Aella denies taking.