Forestry company may be a 'pyramid scheme', Court told
Published 26/10/2016 | 02:30
GARDAI are investigating a forestry investment company amid suspicions it could be a pyramid scheme, the High Court has heard.
Arden Forestry Management is involved in investment in forests in Ireland and registered here - although most of its 132 investors are based in the UK.
Mr Justice Robert Haughton agreed to appoint a provisional liquidator on the application of the directors after hearing it was insolvent and unable to pay its debts.
The judge said, arising out of the Garda investigation, there had been a blocking order on its main bank account with AIB in Ireland which meant it was effectively unable to operate.
He was satisfied to appoint Declan Delacy as provisional liquidator and directed the appointment be advertised.
Earlier, Declan Murphy BL, for the directors, said gardai were conducting an investigation amid "suspicions this is a pyramid". A liquidator could get in and investigate what has happened, he said.