Wednesday 23 May 2018

Fees from Spencer Dock receivership top €12.4m

Richard Barrett and Johnny Ronan contested receivership of parent company Treasury Holdings
Richard Barrett and Johnny Ronan contested receivership of parent company Treasury Holdings

Gordon Deegan

The total amount paid out in professional, management and receiver fees concerning the receivership of Treasury Holdings's main Spencer Dock firm now total €12.4m.

This followed €2.77m being incurred in the latest six-month period of the receivership that included €145,509 in receivership fees.

David Hughes and Luke Charleton of EY were appointed by Nama as receivers to various retail units, undeveloped sites and part developed sites owned by Spencer Dock Development Co Ltd on January 25, 2012.

The total amount paid out to EY in receivership fees now totals €803,888.

The new documentation shows that Nama received a €2m payment from the receivership of Treasury Holdings' main Spencer Dock in the last six-month period.

The latest receivers' extract lodged with the Companies Office show that €4.6m was realised from the sale of 13 properties between January 26 and the end of July 25.

The €4.6m realised from the sale of the 13 properties follow the receivers generating €4.2m in sales from 11 properties in the prior six month period from July of last year to January.

The prices secured for the properties developed by Spencer Dock Development Company Ltd reflect the buoyant property market in Dublin with new documents lodged by the receivers to the Companies Office showing that one sale realised over €450,000.

The documentation shows that three other properties realised prices of between €400,000 and €350,000.

The costs of the receivership remain high, however, with €2.63m paid out in professional fees between January and July.

This followed professional fees of €2.17m being paid out in the prior six-month period.

Spencer Dock Development Co Ltd was placed in receivership with net liabilities totalling over €401m. Nine months after the main Spencer Dock firm was placed in receivership, the parent entity, Johnny Ronan and Richard Barrett's Treasury Holdings, was wound up in October 2012. The receivership was unsuccessfully challenged in the High Court by Treasury Holdings.

The firm had cash reserves of €4.87m on the appointment of Mr Hughes and Mr Charleton.

Some €1.89m was paid out in 'CIE charges'.

At the end of four and a half years in receivership, the company had receipts totalling €54.79m that included the €4.87m in cash.

Payments from the receivership total €52.82m.

Irish Independent

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