Business Irish

Sunday 25 June 2017

Banks seek court orders for €150m in unpaid loans

Tim Healy

VARIOUS banks sought judgment orders for more than €150m over unpaid loans -- mainly property related -- in just one day before the Commercial Court yesterday.

The largest of the claims was by Bank of Ireland for €63m against four Cork businessmen, while the second largest was by Irish Nationwide Building Society (INBS) for €35m against Limerick developer Gerard Clohessy.

More than a dozen claims were made for smaller sums ranging from €1m up to €9m. Some were granted while others were adjourned.

Mr Justice Peter Kelly made summary judgment orders totalling more than €60m in a series of cases in circumstances where no defence was offered to those claims.

The unopposed claims included the INBS case against Mr Clohessy, of Mount Shannon Road, Annacotty, Lisnagry, Co Limerick, arising from some six loan accounts operated by him with the society. INBS claimed the total amount owed under the various accounts, plus interest, was €34.57m.

INBS said the loan arrangements were principally connected with the Evanwood development being carried out by Mr Clohessy at Golf Links Road, Castletroy, Limerick; the Drominbeg housing estate development at Rhebogue, Co Limerick; and the purchase of other investment properties at Rhebogue.

Mr Justice Kelly adjourned to Friday Bank of Ireland's application for summary judgment orders for about €63m against Michael Conway Senior, of Maglin House, Carriganarra, Ballincollig, Co Cork; Michael Conway Junior, of Lake View, Faha, Dripsey, Co Cork; Kieran Conway, of Burke's Hill, Tivoli, Cork, and Paudie Dennehy, of Seaview, Ballinaskulla, Myrtleville, Co Cork.

Guarantees

The bank claims some €24.3m is owed under loans advanced to the defendants, trading together as the Conway Partnership, while another €38.5m is due under guarantees allegedly provided by them over the liabilities of Rumex Ltd and Daphne Investments Ltd, trading as the Dee Partnership.

ACC Bank also yesterday secured, on consent, summary judgment for €8.3m against two Co Galway businessmen, Denis O'Connell and Brendan Quirke, both of Corbally, Cummer, Tuam.

The claim arose from loans advanced in February 2008 to assist in the purchase, by way of sub-sale, of a 12-acre site with full planning permission for 117 units at Lensboro Road, Roscommon.

Summary judgment for some €4m was also entered in favour of ACC Bank against Carol Macken, a creche operator, of Carrickbrack Lawn, Sutton, Dublin 13, over unpaid loans.

Bank of Scotland Ireland also secured summary judgment for about €1.5m against businessman Donal Rigney and his company Donal Rigney Ltd, of Mountpleasant, Bluebell, Tullamore, Co Offaly.

The bank is also seeking possession of some 38 vehicles from the defendant but he is seeking to keep some of those to fulfil a contract in the Middle East.

Irish Independent

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