Trade creditors were owed €50m and bondholders were due €80m
A number of subcontractors owed money by collapsed building contractor Roadbridge have asked the High Court to appoint a liquidator to the firm.
Roadbridge, which until earlier this year was one of Ireland’s highest-profile construction contractors, was placed into receivership in March by its largest creditor, Bank of Ireland.
But two weeks ago a petition was lodged to the High Court by McTigue Quarrys Ltd, a firm based in Tuam, Co Galway, and Oliver Conroy Plant & Agri Hire Ltd, based in Rochfortbridge, Co Westmeath – both creditors of the company – seeking the winding up of the building firm.
The petition is to be heard by the High Court on November 21.
The move to seek the wind-up of the firm by the quarry firm and plant hire company is believed to have been taken in order to see trade creditors placed on an equal footing with Bank of Ireland in a liquidation process, say sources.
In May, the Sunday Independent reported that a number of the company’s trade creditors had raised questions about the move to place the firm into receivership.
They had questioned the security of the Bank of Ireland debt, arguing that it should not rank any higher than other creditors.
Trade creditors were owed approximately €50m and bondholders were due approximately €80m, with Bank of Ireland holding preferential debt of €33.6m, it is understood.
In response to a query on the matter, a Bank of Ireland spokesman said: “Bank of Ireland is a substantial creditor of Roadbridge, having partnered with the company for many years, and as a creditor we continue to engage in the receivership process.
"We have no further comment. Any queries in relation to the receivership process should be directed to the receiver.”
Brian Coogan, chief executive of the Irish Plant Contractors Association (IPCA), which represents many of the subcontractors affected by the Roadbridge difficulties, said he was supportive of the winding-up move, because he had serious concerns about the outcome of the ongoing receivership process.
“The IPCA feels that it is really important that all creditors are given equal treatment in situations such as this,” he said.