Financier denies move was attempt to avoid creditors
Published 21/05/2011 | 05:00
Niall McFadden: potential liabilities of €100m
FINANCIER Niall McFadden, who has potential liabilities of €100m, has rejected a suggestion that he had transferred his interest in the family home to his wife in a bid to avoid creditors.
Mr McFadden was being cross-examined at the Commercial Court by counsel for National Irish Bank about his assets as part of the bank's effort to execute judgments of more than €15m against him.
Yesterday, Mr McFadden said he transferred his interest in the family home at Avoca Wood, Blackrock, Co Dublin, to his wife in 2005.
When it was suggested that the transaction was recorded on January 22, 2009, not 2005, Mr McFadden said there was a delay over a consent issue.
Because no money was passing, his wife and their solicitor had just let the matter sit on the file, he said.
He believed the transfer became effective in January 2006 after approval was secured from the bank. He said his wife had expressed concern in 2005 that the number of transactions in which he was involved might put the family home at risk.
His wife told him she would deal with the family home and he could deal with the banks, he said.
He rejected suggestion by Mr Hennessy that he was attempting to evade creditors.
His wife had her own wealth before he married her, he said. She had two properties in Kilkenny.
They also had a Galway property and the valuation of all three properties was put at €2.8m. One was let but the other two were vacant.
Mr McFadden also said he sold two cars for €80,000 each in 2008. These were a Jaguar XK 2007 and a Ferrari 456 2002.
Mr Justice Kelly said it was a complicated issue with Mr McFadden popping up as director of this and shareholder of that with money apparently swirling around between him and his various capacities.
Mr McFadden said this was based on advice and a concern to avoid paying "unnecessary tax".
Mr McFadden said both he and his wife are involved in a lot of companies.
The case resumes on Monday.