Business Irish

Saturday 18 November 2017

ACC collects €3m from Wallace firm's assets

Mick Wallace
Mick Wallace

Gordon Deegan

ACC Bank has now received €3m from the €3.39m realised in sale and rent of properties formerly owned by bankrupt TD Mick Wallace's main building firm.

That is according to new documentation lodged with the Companies Office concerning the receivership of Mr Wallace's M&J Wallace Ltd.

In 2011, Declan Taite was appointed by ACC as receiver to company assets at the Italian Quarter on Ormond Quay, the Behan Square apartment complex on Russell Street near Croke Park and to development land in Rathgar - all in Dublin.

The latest receiver's extract lodged by Mr Taite shows that the legal and professional fees now total €375,273 from the receivership. Mr Taite realised €2.24m from the sale of the Garville Rd site at Rathgar on August 26 2015, while the amount of rent received from M&J Wallace's properties is €1.76m.

The extract shows that ACC received an additional €400,000 in the latest six-month period of the receivership from May 17 to November 16 last and this followed a payout of €2.65m in the prior periods.

In the High Court last December, the independent TD was forced into bankruptcy by Cerberus, which filed a petition last year after obtaining a judgment against him for €2m.

ACC got a judgment against Mr Wallace for €20m in 2012, but has not sought to enforce it.

ACC bank's decision to wait for the Dublin property market to recover and not carry out a fire-sale of the Wallace properties after taking possession of the assets in 2011 has paid dividends.

The new documentation shows that Mr Taite received €1717,522 in rental payments in the latest six months.

The professional and legal fees arising from the receivership total €375,273 with an additional €138,732 paid out in management fees.

At its peak, Mr Wallace's construction business was worth €80m.

Irish Independent

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