Club owner is ordered to pay €1.2m
Published 13/04/2010 | 05:00
A NIGHTCLUB and property owner last night faced losing his home after a court ruling that he should pay €1.2m in debts.
Edward O'Donoghue, the owner of Spy nightclub in Dublin and two apartments in the city, may be forced to sell these, along with his Donnybrook home, if he fails to pay the amount to Daniel Ryan, a publican, from Stepaside in Dublin.
The nightclub was previously owned by John Reynolds, a nephew of former Taoiseach Albert Reynolds, but he sold the business to Mr O'Donoghue in June 2006.
Judge Michael McGovern yesterday served an order on Mr O'Donoghue at the High Court after finding that the debt was "well charged" on Mr O'Donog- hue's interest in the property portfolio. The judge also granted a stay of three months before the order for sale becomes effective. An examiner will also be appointed to analyse the overall debts.
The ruling comes after more than a year of legal wrangling between Mr O'Donoghue, his former business partner Philip Mahon, and Mr Ryan.
In February 2009, the ex- partners were ordered to pay €1.2m in a legal dispute between them and the publican. And after missing deadlines for initial instalments, the order for payment was applied for.
While another case for reclaiming the money is pending between Mr Ryan and Mr Mahon, the overall amount the publican can claim back is the €1.2m initially owed.
Just €4,000 has been paid to Mr Ryan in the past 14 months.
The ruling came during a three-and-a-quarter hour sitting of the court yesterday, where six possession orders were granted. However, the number of repossessions has fallen -- from a high of 13 in one court sitting last year -- since the Financial Regulator ordered lenders to wait for at least a year before moving to reclaim a home.