Michael Fingleton burnt for €5.5m in overseas hotel deal
Published 21/09/2011 | 05:00
DISGRACED Irish Nationwide chief Michael Fingleton ploughed €5.5m of his own money into a foreign hotel project that has collapsed and been placed into bankruptcy.
The Irish Independent has learned that Mr Fingleton is now being sued in Montenegro by his business partner in the deal. Creditors of the company Mr Fingleton set up to buy the hotel are also taking bankruptcy proceedings against him.
They are owed money for preparatory work carried out before the planned €95m re-development of the site as an exclusive hotel and leisure resort began in earnest.
In a recent High Court case, Mr Fingleton listed his investment in the landmark Hotel Fjord in Kotor as his most valuable asset, valuing it at €4m.
The Mediterranean port of Kotor is situated on the west coast of Montenegro, part of the old Yugoslavia.
The area is known for its natural beauty and has seen a steady increase in tourism in recent years.
Mr Fingleton, who was unable to attend an Employment Appeals Tribunal hearing in Dublin last week as he was "in court in another country", has been asked to appear in court in Montenegro within weeks to explain how the purchase was funded and why the project failed.