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NAMA threatens developers who won’t submit tax returns with legal action

SOME developers in NAMA are refusing to submit tax returns which would ensure they are being honest about declaring all their assets.

NAMA has threatened enforcement proceedings where developers are being uncooperative, RTE reported today.

By matching the tax paid on rental income to the list of properties in the business plans submitted by developers, NAMA can see if they are telling the truth about their financial position.

A spokesman for NAMA said failure to give information can prompt a credit check to see if there are undisclosed assets.

Meanwhile, NAMA has begun to gear up to sell entire loan books of property with the appointment of a panel of 16 advisers.

The bad bank advertised for financial services firms to join the panel before Christmas and has now selected those it will use to execute the sales.

The firms on the panels to handle sales in Europe and the US are property services companies CBRE, Jones Lang LaSalle, Savills and Cushman & Wakefield. NAMA will use investment banks Lazard and Eastdil Secured, a subsidiary of Wells Fargo, to advise them on asset disposals in these regions.

It has also selected UBS and Goldman Sachs to advise on European loan sales and Credit Suisse in the US.

The two panels also include accountants Ernst & Young and KPMG. Debt restructuring companies Brookland Partners, Cantor Fitzgerald and The Debt Exchange will also be used by the agency.

A Nama spokesman said it was exploring the sale of loan books and wanted to have a competitive process to assure it could get fair value for the assets. Now that it has appointed the panels, the next step is to prepare to sell the loan books in the coming months.