NAMA claws back €130m 'put away' by developers
Toxic loans agency insists 'jets, yachts and Bentleys' are now a thing of the past for debtors
Published 21/12/2010 | 05:00
NAMA has clawed back more than €130m of assets from three developers who tried to put them beyond the agency's reach, new figures revealed last night.
The news comes as an RTE investigation showed developers are continuing to enjoy luxurious lifestyles despite being on the hook to NAMA for billions.
In a statement, NAMA last night defended its record on pursuing developers, pointing to the €130m in asset transfers that were "reversed" at NAMA's behest.
Many of those assets had been transferred to developers' wives and other family members in a bid to shield them from the banks, but they were then transferred back after Nama pursued the transactions.
Nama says it would now ensure that developers use these assets to "support" the work-out of the developers' loans through agreed business plans.
The toxic loans agency says it has agreed business plans for its biggest 30 developers, though it is understood some of the appr-ovals weren't finalised until a Nama meeting yesterday.
The plans all involve developers dramatically reducing their debt levels and shrinking their overheads, with Nama insisting that "jets, yachts and Bentleys" are a thing of the past.
The RTE special last night claimed developers continued to enjoy "mansions, holiday homes and country estates" that appeared to be beyond the reach of Nama.
A spokesman for Nama declined to comment on whether the agency expected to compel developers to bring more assets back into the pool.
Speaking to RTE, Nama chairman Frank Daly also insisted the agency's work was on schedule, with asset sales worth €1.6bn approved to date and €71.2bn of loans transferred.
That €71.2bn covers 850 of Ireland's biggest borrowers, whose loans were bought at a discount of 58pc.
Some 43pc of those debts have been valued on a loan-by-loan basis and had those values validated by the European Commission, while another 17pc have gone through full due diligence.
The remaining €28.3bn of loans have been acquired at an indicative discount and will be valued "over the coming months" so any overpayment or underpayment can be corrected.
Nama is still finalising plans to transfer another €16bn of loans worth less than €20m, which fell under Nama's remit as part of the latest bank restructuring measures.
Separately, AIB yesterday confirmed that it had transferred another €9.2bn worth of loans to Nama at an aggregate discount of 59pc.
The discount was marginally below the 60pc predicted for AIB's remaining transfers, but analysts said the improvement was "not material".