Business Irish

Tuesday 23 January 2018

Former Bloxham partners seek to cut deals with Danske Bank on €30m debt

Roisin Burke

FORMER partners at stockbroking house Bloxham, which collapsed last year, are negotiating settlements with Danske Bank.

They are believed to have an exposure to €30m with Danske in corporate and personal borrowings.

All of the former partners are working in broking houses, except Tadhg Gunnell, who is understood to be at an energy-efficiency business, Pinenergy, set up by his brother, former Mazars partner Enda.

Danske's actions, started this month, are against managing partner Pramit Ghose and partners Niall Tinney, Paddy Finnegan, Peter Costigan, Ray Deasy and Tadhg Gunnell.

Ghose is now a global strategist at Davy; Tinney and Finnegan work in structured funds at Merrion; Peter Costigan is at Dolmen, working on the bond side, and Ray Deasy works for Lazard in Britain.

Ghose, who didn't respond to calls and messages on Friday, is said to have taken the initiative in seeking to settle.

The partners, who have been pursued individually in court by Danske, are understood to be hashing out individual deals with the bank.

It is not known what level of any debt writedowns there might be, but there is a precedent for foreign banks that took heavy debt exposure in Ireland to make settlements involving large reality checks.

Meanwhile, CARB the accountancy body watchdog, has launched an investigation into the role played by Bloxham finance partner Tadhg Gunnell, who detailed the €5.3m hole in the balance sheet to the Central Bank.

A Central Bank spokesperson said it had no idea when its investigation into "financial irregularities" at Bloxham – which is ongoing for almost a year –would end.

Last week Bloxham liquidator Kieran Wallace was in court, pursuing a continuing action against the ISEQ, related to its €6m value being written down to zero when its exchange membership was revoked. The company was worth at least €30m prior to the collapse. Contacted last week, ex-Bloxham partners either didn't respond or declined to comment publicly.

Irish Independent

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