Irish Stock Exchange asks court whether decisions are subject to judicial review

The Irish Stock Exchange has asked the Commercial Court to rule whether or not decisions made by it may be judicially reviewed. The exchange contends they may not.

Mr Justice Peter Kelly yesterday fixed June 25th next for determination of that matter as a preliminary issue in an action by the liquidator of Bloxham stockbrokers against the exchange.

The liquidator claims Bloxham’s €6 million value on the exchange was set at naught after its membership of the exchange was revoked last December.

Mr Justice Kelly had previously queried why two sets of proceedings had been brought by liquidator Kieran Wallace challenging the revocation decision made last December.

The judge suggested the matter might better proceed through one action rather than through both judicial review proceedings and plenary action, as of now, and asked both sides to consider that.

He was told yesterday by Lyndon MacCann SC, for the liquidator, that his side had written to the exchange solicitors suggesting the public law issues could be addressed in the plenary case.

The exchange was not agreeable to that and wanted the matter struck out on the basis of its argument there was no public law element at all, counsel said.

The judge said he had made the suggestion but it had not met with approval. In the circumstances, he granted an application by Paul Sreenan SC, for the exchange, to fix for trial, as a preliminary issue, whether the stock exchange may be subject to judicial review.

Mr Sreenan also indicated his side may proceed with an application to have the liquidator provide security for the legal costs of the case. That matter will be addressed later.

Bloxham, a limited partnership, was ordered to cease trading by the Central Bank last summer after it was revealed it was undercapitalised.

The partners applied to have it wound up saying they saw no prospect of an improvement in its trading position.The High Court later confirmed Mr Wallace as liquidator.