Examiner appointed to Bookfinders despite bank’s objections

An examiner has been appointed to a bookseller employing 49 people despite a bank’s objections about non-disclosure of matters by the firm’s directors when applying for protection of the High Court.

KBC Bank, owed €3.6 million, had argued a receiver rather than an examiner should be appointed to Bookfinders Ltd of Galway because of alleged material non-disclosure.

Ms Justice Caroline Costello ruled an examiner was in the best interests of everyone concerned with the business despite the failure of the directors in relation to their obligations when they applied for examinership.

Alan Bundschu, on behalf of the directors, denied any deliberate non-disclosure.

Ms Justice Costello accepted the directors had breached their obligations under company law. The interim examiner, appointed on November 13th, had concluded the company had a reasonable prospect of survival providing certain conditions were met, she noted. In the circumstances, she confirmed the appointment of Michael McAteer as examiner.