Owner of Stardust fighting to save his family home
Colm Butterly, one of the Butterly brothers who owned the ill-fated Stardust Night Club, is fighting to save his home in leafy Clontarf, Dublin, being taken by his mortgage company.
Barrister Shaula Connaughton-Deeny told the Circuit Civil Court she had been instructed by EBS Mortgage Finance Limited to seek possession of Mr Butterly's family home at Seacourt, Clontarf, Dublin 3.
Judge Jacqueline Linnane heard that Mr Butterly (70) had paid only €1,500 off his mortgage debt last year and just €1,000 in 2015.
Ms Connaughton-Deeny, who appeared with Ronan Daly Jermyn solicitors, for the bank, said Mr Butterly had borrowed €203,200 from the EBS Building Society in December 1996 and had taken out a further loan of €240,000 in August 2008. Both loans had been secured on the house and the total debt now due on both loans is more than €160,000.
She told the court that this figure included arrears in excess of €80,000 and increasing. Mr Butterly had told the bank he was out of work.
Mr Butterly said he had an arrangement to repay the debt at €1,012 a month and had done so up until August 2012 when a receiver had been appointed by AIB to his group of companies, including Patrick Butterly and Sons Limited (in receivership) and Butterly.
He said he had been unable to keep up monthly payments following the loss of income. He had no job but was now engaging in some consultancy work and intended renewing repayments to the bank.
Judge Linnane asked how he proposed entering into some repayment arrangement with the bank when he did not have a job. The judge suggested he look at the matter realistically and consider selling the property.
A solicitor for Mr Butterly, who said he would be seeking to come off record for the defendant, told the court that there was still substantial equity in the property being sought by the mortgage company and asked for an adjournment to allow Mr Butterly engage with the bank.
Judge Linnane said there had already been two judgment mortgages registered against the same property in 2012 and 2014 by another financial institution and clearly he had other debts.
Judge Linnane said she would adjourn the proceedings peremptorily against the defendant until early May to see if some realistic arrangement could be entered into.