In 2002–03, a road beside Fahy's farm was being widened, using funds allocated from the Community Involvement Scheme. Fahy later claimed in court that he had a
verbal agreement to supply an equivalent value of rubble from his farm for the roadworks. The contractor was paid by the council in 2002 for an invoice of €7,055, and submitted another invoice in 2003 for €7,523. • Obtaining by
false pretences contrary to section 2 of the Larceny Act 1916 as amended by the Larceny Act 1990 • Attempted
theft contrary to section 4 of the
Criminal Justice (Theft and Fraud Offences) Act 2001 and common law (two counts) • Attempting to make a gain or cause a loss by
deception contrary to section 6 of the Criminal Justice (Theft and Fraud Offences) Act 2001 and common law (two counts) •
False accounting by production or making use of a document contrary to section 10(1)(c) of the Criminal Justice (Theft and Fraud Offences) Act 2001 (two counts) On 20 March 2007 he was sentenced to one year's imprisonment and fined €75,000. The judge criticised Fahy for attempting to implicate other councillors and the fencing contractor in his actions. Fahy was given two weeks to get his affairs in order and make provision for his dependent mother. He also launched an appeal. He was taken from hospital to prison on 23 April 2007. Fahy remained a county councillor. The judge had suggested he should be disqualified under subsection 13(1)(m)(i) of the
Local Government Act 2001 for "fraudulent or dishonest dealings affecting a local authority"; While section 18(4)(a) of the Local Government Act 2001 provides that councillors are deemed to have resigned if they fail to attend meetings for six months, section 18(4)(b)(ii) allows the council to make an exception where the absence was "in good faith for another reason [besides illness]". The council decided not to move against him pending his appeal. On the register of
panel electors for the
2007 Seanad election, his address was listed as "c/o Mr. Daniel J. Scannell, Governor,
Castlerea Prison, Harristown, Castlerea, Co. Roscommon"; he is believed to be the first person to vote from prison in the Seanad elections. Fahy received the full annual representative pay allowance of €16,600 for the year 2007, although his conference expenses were only €3,700, for conferences attended prior to his imprisonment. ==Quashing of conviction and subsequent career==