Business Irish

Saturday 23 September 2017

Receivers to Yates's firm paid €216,000

Donal O'Donovan

Donal O'Donovan

The receivers managing the shutdown of Ivan Yates's one-time betting shop empire have been paid more than €200,000 for the work, according to documents filed with the Companies Office.

Former Newstalk presenter Ivan Yates previously told the High Court that he had an agreement that the receivership fees would never rise above €100,000, a claim disputed by the receiver and by Allied Irish Banks.

Now, documents seen by the Irish Independent show the fees amounted to €216,000.

In August, lawyers for Mr Yates claimed that the then fees of €162,000 paid to the receiver of Celtic Bookmakers, Neil Hughes, exceeded an agreed maximum of €100,000. They said Mr Yates should not be liable for the additional sums.

Neil Hughes and AIB disputed that any such limit had ever been set on the fees.

The court did not rule on the issue, but it did block AIB's bid to have Mr Yates declared bankrupt, because the amount owed was in dispute.

Mr Yates had told the court that the scale of fees being paid to the receiver, as well as an ever-increasing bill being charged by AIB in interest on loans he owed the bank, were making it impossible for him to repay his business debts.

The former Fine Gael minister has since become Ireland's most high-profile bankruptcy exile, after opting to have himself declared bankrupt under UK rules that free debtors from unpayable bills after one year instead of the 12-year bankruptcy period imposed here.

The fees are set out in three "receivers abstracts" filed with the Companies Registration Office, which detail spending by accountant Mr Hughes of Hughes Black as receiver of Mr Yates's former Celtic Bookmakers chain between January 2011 and July 2012.

Three sets of fees are recorded: a bill of €141,000 for the first half of 2011, followed by bills for €34,000 and €42,000 in the two subsequent six-month periods.

Irish Independent

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