Bank granted summary judgment order of €26m

 

TWO BUSINESSMEN who failed to defend a bank’s application for summary judgment orders for €26.2 million over guarantees on loans to their property company had judgment entered in that sum against them yesterday.

Mr Justice Peter Kelly’s order increases to some €50 million the total judgments entered against Liam Moran and Vincent Maguire.

There was no appearance by or on behalf of either Mr Moran, St Ives, Back Strand, Malahide, Co Dublin, or Mr Maguire, Heathcliff House, The Foly, Oldtown, Co Dublin, when the case by Bank of Scotland Ireland (BoSI) against them came before Mr Justice Kelly at the Commercial Court yesterday.

The judge said he was satisfied the proceedings had been served on both men and the time for entering an appearance had expired.

In those circumstances, he granted the application by James Doherty, for the bank, for summary judgment and entered judgment for the full sum sought – €26.2 million.

The BoSI proceedings arose from guarantees allegedly provided by the defendants over a €21.2 million loan given in June 2006 to their company, Stateford Ltd, with registered offices at WMOS House, Walkinstown, Dublin, to part-fund the purchase of a site at Cross Guns Bridge, Phibsborough, Dublin.

The bank also claimed under further facilities advanced in July 2007 and June 2008 to refinance the existing loans.

In May 2009, the High Court ordered the winding up of Stateford, and a liquidator was appointed. In November 2009, the bank demanded immediate repayment of the loans, plus interest, but no repayment was made, after which it sought judgment against the defendants under the guarantees provided by them.

In an earlier and separate case, the judge granted some €10 million judgment against the two men over guarantees provided by them to several people who invested in loan stock in a property company wound up last May.

In a different action, judgment orders were sought for almost €11 million arising from their involvement in other property-related matters.