Barrister Caroline Costello told the Circuit Civil Court that three years ago the 31 defendants failed in the High Court to restrain a decision of the IABA to change its status to that of a limited company.

Costello said costs of €34,200 (£29,232/$46,139) had been awarded against them and had unlawfully been paid out of Dublin County Board IABA funds.

Circuit Court President Justice Matthew Deery granted the Association judgment for €34,200 (£29,232/$46,139) on the grounds that IABA funds had been misapplied to pay their costs bill.

He also directed them to pay the current Circuit Court costs estimated at more than €25,000 (£21,369/$33,727).

Costello told Judge Deery that the defendants had decided to go against the majority decision of the IABA to go by way of a limited company and purported to give an indemnity to themselves out of the funds of the County Board which was an organ of the Association.

Don Stewart, the chief executive officer of the IABA, told the court that the defendants had sought to restrain by court injunction the reorganisation of the unincorporated association.

"They have taken monies which did not belong to them and which were for the use of the Boxing Association and at best were held on trust by them for the objective of the Boxing Association and have used them to fund their own personal litigation against the Association," he said in an affidavit.

The Association received funding from the Government through the Sports Council and from sponsors and it was absolutely imperative that all funds were accounted for and were utterly transparent.

He said the only issue between the parties was as to whether the defendants were entitled to use association funds in this way.

Judge Deery said there was no power under the rules of the IABA to pay the legal costs of the 2008 High Court action they had taken and ruled that the funds had been misapplied.

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