Business Irish

Tuesday 16 January 2018

Accountants share €115m Nama receiverships bonanza

Finance Minister Paschal Donohoe
Finance Minister Paschal Donohoe

Gordon Deegan

The building bust provided a bonanza for accountancy firms with new figures showing Nama has paid receivers €115.39m over the past seven years.

According to figures provided by the Minister for Finance, Paschal Donohoe, the big winners in the lucrative work was Grant Thornton which between its Irish and UK arms has received €17.28m for its work in the area.

One of the big four accountancy firms, KPMG, received €13m in fees, Duff & Phelps got €10.24m, RSM Ireland/Baker Tilly got €9.7m, PwC received €7.98m, Mazars received €7.43m and Deloitte got €7m. Minister Donohoe also confirmed that BDO received €6.35m while Ernest & Young received €5.14m.

Firms to receive over €2m in fees include Crowe Howarth (€2.832m); McKeogh Gallagher Ryan (€2.46m); McStay Luby (€2.4m); and Ferris & Associates (€2m).

The figures show that six firms each received between €1m and €2m with Savills getting €1.7m; HWBC receiving €1.2m and Hughes Blake, Keenan Corporate, Russell Brennan Keane and Allsop receiving €1m.

As the number of building firms to exit Nama has increased in recent years, the payouts by Nama to receivers has slowed down.

To date this year, Nama has paid out €4.2m to receivers with Mazars, earning the highest amount at €525,446. The 2017 total follows a payout of €10.8m in 2016 and €19.99m in 2015.

The spend by Nama on receivers reached its peak in 2014 at €23m while €22.17m was paid to receivers in 2013. Mr Donohoe also confirmed that €19.54m was paid out to receivers in 2012 and €15.47m in 2011.

The information on the payouts by Nama to receivers is contained in a written Dáil response to Wexford TD Mick Wallace.

His own building firm's collapse has benefited receivers with AIB, the Bank of Scotland (Ireland) and ACC each appointing a receiver to his failed building business, M&J Wallace Ltd.

In one instance, ACC appointed receiver Declan Taite to Wallace properties in May 2011. ACC has received €3m from the €3.39m in sales and rent from the receivership to date.

The most recent receiver's extract lodged by Mr Taite show that the legal and professional fees now total €375,273 from the receivership.

The list provided by Minister Donohoe contains 76 separate entities.

Yesterday, Deputy Wallace said: "This list illustrates how former Judge John Cooke should go outside the State, and beyond, when procuring the independent, financial expertise for the Commission of Investigation into Project Eagle.

"At this stage, there are very few auditors, accountants or real estate bodies, large or small in Ireland, who have not worked for Nama at some time or another."

Irish Independent

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