Tuesday, February 09 2010

National News

Woman jailed over Credit Union debt wins High Court challenge

Thursday June 18 2009

A 36-year-old woman has won her High Court challenge to legislation which allowed for her to be jailed because she was unable to pay her credit union debt.

Mother of two Caroline McCann from Mullamatt in Monaghan, was sentenced to a month in prison in 2005 because of her failure to pay arrears of almost €6,000 on an €18,000 loan.

Her lawyers argued that the imprisonment order was unlawful as it deprived her of her liberty and was contrary to the European Convention on Human rights.

Today, Ms Justice Mary Laffoy found that the relevant legislation was invalid and ruled that the District Court did not have the jurisdiction to make the imprisonment order.

This means that in the future people who are unable to pay their debts will not be sent to prison.

Ms McCann may also receive compensation and her case is back before the court next week.

Afterwards her solicitor Colin Daly expressed relief on her behalf.