McNamara action could be struck out
THE Dublin Docklands Development Authority (DDDA) has brought a preliminary application aimed at getting security of costs for developer Bernard McNamara's legal action in which he claims the DDDA exposed him for more than €108m over the purchase of the Irish Glass Bottle site at Ringsend.
The motion for security of costs was mentioned yesterday before Mr Justice Peter Kelly, who listed it for hearing in the Commercial Court on February 10.
The move by the DDDA, if successful, could result in Mr McNamara being forced to lodge significant sums of money to demonstrate that he is in a position to maintain his claim against the state agency.
Earlier this week, Mr McNamara, who has debts of some €1.5bn, admitted in an RTE radio interview that he was "broke". This admission, and a letter submitted in separate legal proceedings indicating that he is unable to pay a €62.5m court-ordered debt, could result in an application by the DDDA to have his proceedings against them struck out because he is unable to cover the legal costs of the litigation if he fails.
The action against the DDDA was brought by Mr McNamara and his company Donatex Ltd arising from their involvement in the €412m purchase of the glass bottle site.
Earlier this week, judgment for some €62.5m and some €98m was entered respectively against Mr McNamara and Donatex arising from failure by Donatex to repay loans give to it by private investors for the site acquisition.
During those proceedings, the court heard neither Mr McNamara nor Donatex could pay the sums sought.