Siac to seek court protection today
Builder applies to have examiner appointed
Outside the Siac headquarters in Clondalkin, Dublin, yesterday. Losses from a Polish €400 million roadbuilding project, which it was forced to cancel earlier this year, are threatening the 100-year-old group’s survival. Photograph: Dara Mac Dónaill
Losses from a Polish €400 million roadbuilding project, which it was forced to cancel earlier this year, are threatening the 100-year-old group’s survival.
It was widely expected that the High Court would appoint an examiner to Siac yesterday, giving it protection from creditors and up to 100 days to come up with a rescue plan. However, a hearing originally expected go ahead at 4pm was first postponed for an hour and then put off until today, when it is expected that the court will decide whether to appoint an interim examiner.
Companies seeking such an appointment must be unable to pay debts as they fall due, or be at risk of being unable do so, and must also demonstrate that they have a reasonable prospect of survival.
Once the process is complete, at least one group of creditors has to support the examiner’s rescue plan, known as a “scheme of arrangement”, which must then be approved by the High Court.
Siac’s problems are understood to be a consequence of what happened in Poland rather than the downturn from which its industry is suffering here.
The group is seeking €22 million in damages and has complained formally to the European Commission after being forced to withdraw from the roadbuilding venture in Poland following a dispute with the country’s roads authority.