Friday 20 October 2017

Couple ordered to repay €15m for property loan

Tim Healy

A COUPLE have been ordered by the Commercial Court to repay to Bank of Ireland €15.6m arising out of a loan for the refinancing of borrowings on property.

In July 2007, BoI offered a loan of €15m to Des and Marie O'Donnell, Leopardstown Rise, Leopardstown Road, Dublin.

The loan was to refinance an existing borrowing with First Active in relation to a site at Newtownpark Avenue, Blackrock, Dublin, as well as for to allow an equity release of €5m.

Mr O'Donnell was also ordered to repay around €3.4m arising out of two other loans from the bank, bringing the total summary judgment entered against him yesterday to just over €19m.

The first loan to Mr O'Donnell was in October 2006, and was for €2.65m mainly for the purchase of a site at St Canice's Church in Main Street, Finglas, Dublin, and for the restructing of an existing bridging loan with BoI.

In November 2008, Mr O'Donnell also guaranteed the obligations of a company called Parsmar Ltd for a loan of €150,000. Parsmar subsequently went into liquidation and failed to repay the debt, the bank said.

Both the O'Donnells have failed or refused to make the repayments required on the loans, the bank said.

Yesterday, Mr Justice Peter Kelly entered summary judgment for just over €19m against Mr O'Donnell arising out of his obligations in relation to the three loans.

The judge also ordered summary judgment for about €15.6m against Mrs O'Donnell arising from the 2007 loan arrangement.

There was no appearance by or on behalf of Mr or Mrs O'Donnell but the judge said he was satisfied the legal documents were properly served and the bank was entitled to the judgment orders sought

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