Nama claims in US court filing that Sean Dunne hid assets under wife’s name

Efforts by Gayle Killilea, the wife of bankrupt developer Sean Dunne, to block US subpoenas seeking information on her money and business dealings are part of "a deliberate strategy" by the couple to impede an investigation into their financial affairs, the National Asset Management Agency claims.

The State agency has argued in a filing to a US bankruptcy court that Ms Killilea's motions last month to quash Nama's subpoenas served on banks First Republic and Credit Suisse and property agent Coldwell Banker are attempts to frustrate its discovery by "arguing that it interferes with her privacy".

Filing
The filing, submitted by Nama subsidiary National Asset Loan Management, says it intends to prove Mr Dunne has "knowingly and fraudulently" transferred and concealed assets using Ms Killilea and her company Mountbrook US to hold assets he indirectly controls.

Nama has taken an “adversary proceeding” against Mr Dunne in the Connecticut court where he filed for bankruptcy in March, seeking to block his discharge with a fresh financial start claiming that the Co Carlow developer is behind multimillion euro property deals in the US, and not his wife as he claims.

"While living in Ireland, Killilea had no real estate development experience," the State-owned loans agency says in the filing. "Rather, she was a columnist for an Irish newspaper."

Nama argues that it has not received “one iota of documentary discovery” from Mr Dunne, Ms Killilea or her company Mountbrook USA since serving subpoenas on the couple in early October, claiming that they have “delayed and impeded every discovery attempt”.

Legal battle
The latest filing in the long-running legal battle between the sides was made before the court will today hear Ms Killilea's application to have the subpoenas quashed.

Ms Killilea has claimed that Nama is engaged in a “massive fishing expedition” and is trying to use the lawsuit against Mr Dunne to gather information to be used against her in a future legal action.

Nama claims that it may discover evidence showing Mr Dunne’s involvement in her financial affairs, his involvement and control over Mountbrook and other entities claimed to be owned by Ms Killilea.

Previously unknown business transactions and representations he made to others, including holding himself out as the owner of money and assets he claims belong to his wife, may also be discovered, Nama argues.

Mr Dunne will face his creditors again on December 12th in a hearing resumed from July.