Ravensdale businessman Larry Goodman firms over 7.5% share of Baggot Street site

Larry Goodman

A local businessman has brought legal proceedings claiming he is entitled to a 7.5 per cent share of the former Bank of Ireland site at Baggot Street in Dublin.

Andrew Griffith has sued for specific performance of an alleged agreement with companies in Larry Goodman’s Parma Developments group, which reject his claims as “opportunistic” and without “substance or merit”. His claim was brought after media reports about proposals for refurbishment of the Baggot Street property and the rise in property values in Dublin city centre, it is alleged.

Rossa Fanning, for the Parma side, said Mr Griffith began from 2013 to make claims sporadically relating to agreements of 2006 and 2008. Mr Griffith was looking for a 7.5 per cent interest in the Bank of Ireland site on which his side has spent €100 million, counsel said.

There was “no basis” for Mr Griffith’s claim and the Parma side wanted the case fast-tracked in the Commercial Court list, counsel said. The case concerned construction of an option agreement and, while an employment law issue was raised by Mr Griffith, this was ancillary to the main issue, he also argued.

Stephen Moran, for Mr Griffith, opposed transfer on grounds the matter included an employment law aspect which was not an appropriate matter to be addressed in commercial proceedings.

The disputed site on Baggot Street, former HQ of Bank of Ireland

Refusing transfer, Mr Justice Brian McGovern said the Commercial Court was intended for urgent matters and this case related to agreements dating back to 2006 and 2008. The refusal means the case will now proceed in the ordinary High Court list.

Mr Griffith, with an address at Ravensdale, Dundalk, Co Louth, has brought the proceedings against four companies: Parma Investments BV, based in the Netherlands; Parma Developments, Milestown, Castlebellingham, Co Louth; Parma Developments (Jersey) Ltd and Remley.

He claims he had agreements in 2006 and 2008 involving Parma companies and wants orders for specific performance of those. He claims the agreements incorporate the acquisition, through Remley, of the former Bank of Ireland headquarters. Alternatively, he is seeking damages in addition to, or in lieu of, specific performance.

Mr Griffith alleges he entered into an option agreement in December 2006 with Parma Investments BV and Parma Developments. He also claims he entered into an employment agreement at that time with Parma Management Services Ltd (now Parma Management Services) to advise and assist various Parma companies on various matters, including in developing its property portfolio and identifying lands with potential for development with a view to selling them on at a profit.

The agreement provided he was to subscribe for 7.5 per cent of each new property development site acquired by the group, including the Bank of Ireland site, he claims.

The defendants deny his claims. They also plead some companies which are not part of the Parma Developments Group hold a portfolio of investment properties which is “entirely separate” to the development portfolio, for the purpose of long term rental and/or capital appreciation. The defendants’ case is the former Bank of Ireland property falls within this investment portfolio and not within the development portfolio and, as a result, Mr Griffith’s claim is misconceived.

Source: The Irish Times

Dundalk cinema amongst a number in the IMC group being sued for alleged failure to pay for equipment

The IMC cinema at Carroll Village

The local cinema at Carroll Village is one of a number of companies in the Irish Multiplex Cinemas (IMC) group, which are being sued by a cinema equipment supply company over alleged failure to pay for equipment including projectors, sound systems and 3D systems.

Dundalk Multiplex Cinemas by Cinetech from Ballycoolin in Dublin, along with IMC Tallaght, IMC Mullingar, Galway Multiplex, Laguna Entertainments and IMC.

An application to have the case admitted to the High Court’s fast track Commercial Court list was refused by Judge Brian McGovern after he ruled he was exercising his discretion to do so on grounds of delay by Cinetech in bringing the case. It now proceeds through the normal High Court list.

In an affidavit, Cinetech company secretary Alan Godden says his company has been providing equipment to the IMC group since 2001.

The group is run by a number of individuals including Paul Ward and Lorcan Ward, he says.

He says among the debts owed are €483,000 from the Tallaght company, some €426,000 from IMC Ltd, and €260,000 from Galway Multiplex. While the debt of the Dundalk cinema was not revealed, overall Cinetech claim they are owed €1.3m.

While IMC insisted that certain equipment had been returned, Mr Godden said the equipment in question had been used for about two years and Cinetech refused to accept its return as this appeared to be “some kind of manoeuvre” by IMC to justify not having paid for it.

He said that complaints about the equipment were groundless and were an attempt to avoid paying the monies owed.

Haughey was suing helicopter manufacturers prior to fatal crash

The wreckage of the helicopter in Gillingham, Norfolk, England, which crashed yesterday, killing all four occupants, including locally born businessman Edward Haughey.

Millionaire businessman Eddie Haughey, who was killed along with three other men in a Norfolk helicopter crash on Thursday, was suing its manufacturers about alleged faults.

The case, taken by Mr Haughey’s company, Haughey Air Limited against Agusta Westland, came before Judge Mackie at the Commercial Court in London in late February, according to court records.

The legal action began last September, where Mr Haughey demanded repayment of the full cost of the helicopter because of a series of faults that kept it on the ground for 85 days of repairs.

High Court documents report that he alleged that the Agusta Westland had suffered a series of defects and reliability problems, including a hole in one of its blades and gearbox oil leaks.

Air accident investigators are expected to spend days gathering remnants of the helicopter which crashed near Gillingham on Thursday, killing Lord Edward Haughey and three other men.

A hugely successful businessman, Dundalk-born Mr Haughey was the second person to have been both a member of the Oireachtas and the British House of Lords, where he sat as Lord Ballyedmond. He was appointed to the Seanad by Albert Reynolds in 1994.

A series of witnesses report hearing a loud bang, followed by the sound of an engine winding down seconds before the Agusta Westland AW139 crashed shortly before 8pm.

The AW139 medium twin helicopter was bought in 2011 and delivered a year later and flew Mr Haughey regularly between his homes in Northern Ireland and Norfolk.

The helicopter model has a top speed of 165 knots (306 km/h), a range of nearly 1,000 kms and can fly for up to five hours, according to its manufacturer.

The crash site is 150-200 square metres, Norfolk Constabulary said yesterday, covering parts of a ploughed field and a main road, near a roundabout.

Three of the four crash victims were officially named: Mr Haughey; his estate foreman, Declan Small and Carl Dickerson from Lancashire. The fourth man has been named locally as Lee Hoyle.

Police ruled out any suspicious circumstances that could have led to the crash, before handing over to the UK Air Accidents Investigation Branch (AAIB). The bodies of the men were taken from the scene as darkness fell yesterday, while all roads, bar one, that had been closed for nearly 24 hours were reopened.

One witness, Michael Tabby, said he and a friend were standing outside a McDonald’s branch at the roundabout when they heard a helicopter “coming in quite low.

“It sounded like it was in difficulty and was trying to land,” he said, but it then crossed the road. “There was a loud bang followed by the sound of an engine winding down.”

Source: The Irish Times

Car dealer McCabe fails to prevent fast-tracking of €16m judgement against him

Patrick McCabe’s former garage in Ardee, which was closed in July

A car dealer in his 70s who ran garage businesses in Louth for over four decades has lost a bid to prevent the fast-tracking of a bank’s application for a €16 million summary judgment against him on grounds that he has limited reading and writing skills.

Patrick McCabe was “at the helm” of the McCabe garage business in Drogheda and Ardee for the last 40 years and Irish Bank Resolution Corporation did not accept that his claim of poor literacy prevented the bank’s proceedings against him and others being fast-tracked in the Commercial Court, Cian Ferriter, senior counsel, for the bank, said.

It had never previously been suggested that Mr McCabe had any impediment in his business dealings with the bank, counsel added.

An accountant for Mr McCabe had told IBRC the dealer was also involved with the National Assets Management Agency and had an “overall exposure” of about €100 million, an IBRC official said in an affidavit. IBRC was told various properties owned by Mr McCabe and his companies were not worth €10 million combined, she said.

Mr Justice Kelly said Mr McCabe had been described as “illiterate” but that did not appear to be the case as the court had been told he could read, albeit at a much slower pace than most people, and he had also signed documents during his many years in business, and an affidavit.

The judge also rejected arguments of culpable delay by IBRC in bringing the court proceedings such as to deny it the entitlement to avail of the Commercial Court’s fast-track procedures.

In the circumstances, the judge agreed to transfer to the Commercial Court list the bank’s case brought against Mr McCabe and his wife Alicia, of Blakestown, Ardee, Co Louth, and three companies – McCabe’s of Ardee Ltd, McCabe’s Garage (Drogheda) Ltd and McCabe’s Garage (Ardee) Ltd. The last company was placed in voluntary liquidation in October but its nominated liquidator was later, after IBRC took court proceedings, replaced by a nominee of the bank.

The judge adjourned the matter to Monday, when the defendants must outline the nature of any defence they wish to advance.

IBRC argued it had engaged since 2010 in negotiations with the defendants and their agents to try to achieve a commercial resolution to the debts. It said it was ultimately not possible to reach agreement on proposals for debt reduction and the disposal of properties owned mainly by either the couple or some of the McCabe companies, including some 160 acres surrounding the couple’s farm at Blakestown.

Demands for repayment were made last July and, when the demands were not met, receivers were appointed over various properties and the proceedings were initiated, the bank said.

Earlier, Mr Ferriter said IBRC had resolved matters with another defendant, John McCabe, a businessman and son of the couple, and was not proceeding against him.

The former McCabe’s Toyota Garage at The Glebe, Ardee, went on the market last October with estate agents DTZ Sherry FitzGerald for €1.56m.

Source: The Irish Times

Local businessman one of more than 200 investors suing Irish Life

Eoin Doohan

A local businessman is one of more than 200 Irish investors, many of whom are from the area, who is suing Irish Life over alleged losses of up to €15 million arising from the sale of a London property investment for almost 50% less than its €60 million purchase price.

Two of the 214 actions – those by Eoin and Anne Doohan of Belfry Gardens, Dundalk, Co Louth and by Grand Liqueur Ltd, are expected to proceed as test cases arising out of the July 2014 sale of the Austin Friars building in central London.

Mr Doohan, who runs a financial services company at the Quayside Business Park, said he and his wife lost about 70% of the €100,000 they invested in the Austin Friars Geared Property Fund for Pension and Life Investors in 2007 and it was also of “significant importance” to him that he had advised 63 others to invest their savings or pensions in the fund.

The proceedings are against Irish Life Assurance plc and Irish Life Investment Managers Ltd (ILIM) and centre on claims the Austin Friars fund was sold at the wrong time.

In an affidavit, Mr Doohan said he is an experienced investor and accepted the defendants cannot be responsible for the downturn in the global economy. While he accepted other investments through the same exceptionally difficult period had done worse, he believed the plaintiffs were caused significant loss because of the manner in which the Austin Friars fund was disposed of.

When the Doohan case came before Mr Justice Peter Kelly yesterday, he was told by Edward Farrelly, for the couple, that their loss was less than the €1 million threshold required for cases to be fast-tracked in the Commercial Court but, because there were 213 others making similar claims about this fund, it was considered they should be dealt with by the Commercial Court.

The judge said the matter may be able to proceed via one or two test actions to decide the issue of liability after which any loss could be addressed.

Source: Investors sue Irish Life over loss on property investment (The Irish Times)

Poor old Jim

Yesterday wasn’t a day that we reckon Jim Corr will look back on with much fondness.

Just moments after leaving the Commercial Court, where it was revealed he had reached a settlement over debts owed to ACC Bank, the above exchange occurred.

We reckon one member of The Corrs will be pushing for a reunion tour more than anyone in the coming months!

Source: Richard Chambers (Twitter)

Previously: Jim Corr reaches settlement with ACC Bank

Jim Corr reaches settlement with ACC Bank

The Commercial Court has been told that a settlement has been reached between Dundalk musician Jim Corr and ACC Bank in relation to a judgment against the musician of €1.4m.

The bank secured the judgment in February 2011, after debts arose following the collapse of an investment business partnership involving Mr Corr.

He had claimed it was unfair that the bank was pursuing him for all the debt, when he had been involved in a partnership with two other men.

In cross-examination in May, lawyers for ACC accused Mr Corr of selling a property in order to put it out of reach of the bank.

The musician was due to face further questioning this morning, but the Commercial Court was told agreement had been reached between the parties.

Lawyers for the bank said the parties had had a “useful engagement” since the last hearing in May, and that details of an “agreement in principle” would be brought before the court this afternoon.

Corr set to be questioned over missing €4m

Jim Corr

Dundalk musician Jim Corr will be asked to explain what has happened to €4 million in cash he once had on deposit in Irish and US banks when he returns to the Commercial Court next week.

Lawyers for ACC Bank told the Commercial Court recently that there was “no explanation” for where the money had gone.

Mr Corr returns to the Commercial Court next Wednesday to resume answering questions by ACC Bank about his finances.

The case is part of efforts by the bank to recover €1.4 million in property loans borrowed by Mr Corr and others.

At the Commercial Court yesterday afternoon, ACC Bank sought orders for Mr Corr to hand over records relating to the proceeds of sales from a number of his properties.

These orders were made on consent as he had already agreed to provide the information, the court was told.

However, Mr Justice Peter Kelly said it was regrettable that the application had to be made as Mr Corr had been aware for some time the bank wanted the information.

He had also given undertakings to provide it “weeks and weeks ago,” the judge said.

Mr Justice Kelly did not order Mr Corr to produce documentary evidence of what had happened to €4 million in cash, but said he could expect to be questioned about it when he comes before the court next week.

“There have been financial advisers in place and it is perfectly clear the bank wanted the information since last February.

“He will be asked questions about it and ought to be in a position to respond, given he has had advisers in place. It would be very much in his interest if he does have documentation, to produce that too,” the judge said.

He did not rule out the prospect of the bank seeking another order in future for documentary records of what happened to the money

Counsel for Mr Corr had argued the discovery orders sought by the bank in relation to the €4 million “went way beyond” what was originally agreed and it was not possible to comply with requests for such information before next week.

Counsel for the bank Bernard Dunleavy said Mr Corr had complained of the breadth of the records wanted by the bank, but he said “at the heart of it is €4 million worth of cash with no explanation” as to where it had gone.

Previously: Corr accused of putting assets beyond the reach of ACC

Corr accused of putting assets beyond the reach of ACC

Musician Jim Corr has been accused in the Commercial Court of putting an asset beyond the reach of ACC Bank, to which he owes €1.44m.

Mr Corr was yesterday cross-examined about the circumstances of the sale of a property in Dublin shortly after the bank had secured a legal judgment against him.

Mr Corr did not deny the accusation, but said he was trying to protect his finances for his son.

On two occasions, Mr Justice Peter Kelly asked Mr Corr if he wished to reconsider his answer, and he repeated that he was “trying to protect what he could”.

The court heard about what was described as “an extraordinary sequence of events” whereby an apartment which had been on sale since 2008 was sold to a Maltese-based company within weeks of ACC securing a court judgment of €1.44m against Mr Corr in February 2011.

The court also heard about another property in Northern Ireland where Jim Corr had been allowed to live rent-free after selling it to a German man he met at a dinner party hosted by one of his sister’s friends in Majorca in 2010.

Bernard Dunleavy BL, acting for ACC Bank, outlined what he described as the extraordinary connections between the buyers of two of Mr Corr’s properties.

The court heard that the Maltese-based company which bought the Dublin apartment in March 2011 was fronted by an Irishman who was an associate of the German man that Mr Corr had met at that Majorcan dinner party.

Earlier, Mr Corr told the Court about the stress he was under dealing with the debts he was left with following the collapse of his investment business partnership.

Mr Corr told the court he was a musician, and was “not good with numbers”.

He said he depended on other people for financial advice, and had been left with a “monster of an entity” to deal with.

He said he had been only a 25% shareholder in the development business and had expected his two business partners to divide up the losses.

He had a partnership arrangement with Liam and Philip Marks to develop land in Kilkenny but said he had not had any contact with them for a few years.

He said it was not fair that ACC was pursuing him for the entirety of the debt.

Source: RTÉ

Previously: Corr in court

Corr in court

Jim Corr is to appear before the Commercial Court today to answer questions about a €750,000 unpaid loan to ACC bank.

The Dundalk musician is to be cross examined by the bank’s lawyers over his assets.

Two years ago Corr consented to a €1.4m summary judgment order against him by ACC bank.

The loan was advanced to him and others in 2004 to buy lands at Goresbridge, Co Kilkenny.

ACC Bank says €778,000 is still outstanding on the loan and their lawyers will today question the musician about his means.

In court documents, Jim Corr claims his liabilities at €6.5m arising from property investments far exceeding his assets.

The bank claims he is in receipt of music royalties and income from properties he owns abroad.

Previously: Corrs for concern