A GALWAY-based businessman transferred his half-share in a British property development company to his wife on the same day that his fellow shareholders made similar transfers.
The company was involved in an €83 million 12-storey joint venture development in Manchester with Anglo Irish Bank, which provided funding to the company.
Bernard Duffy, the founder of the Galway-based TBD Group, transferred his shareholding in Chancery Place Ltd to his wife, Geraldine Duffy, in December 2008, according to filings in the UK Companies Office.
Mr Duffy transferred his 50 shares in the company on the same date as a similar percentage of shares, owned by John McCormack and his sons Alan, Brian and Niall McCormack, were transferred to their partners.
The McCormacks are Dublin-based property developers who, as previously reported, transferred their shares in their business, Alanis Capital, to their wives in May 2008.
The UK filings show Chancery Place registered a £28.7 million mortgage with Anglo in August 2007. The mortgage document shows a Luxembourg firm, Chancery Place Sarl Ltd, was involved, and that Mr Duffy and Alan McCormack provided guarantees.
It is understood the Luxembourg firm is an Anglo subsidiary that holds the Manchester asset on behalf of investors.
Planning applications in relation to the Manchester development were made by the Luxembourg firm using the Alanis address in Dublin.
There was no response to attempts to contact Mr Duffy through his Galway offices yesterday, nor was there any response to requests for a comment from Alanis Capital.
Mr Duffy is the owner of the Galway-based property development and construction business, TBD Group Holdings. In accounts filed recently, the group directors say it has a “reasonable expectation” it can continue in business.
The group is in discussions about the renewal of its banking facilities and has a reasonable expectation these negotiations will see it securing adequate resources to keep going for a period “not less than” the 12 months from the date of signing its latest accounts.
The latest accounts were signed on December 2nd last and have recently become publicly available. They cover the 2008 calendar year.
Parent company TBD Group Holdings Ltd reported a loss of €168,791 for the year, after a provision for impairment of stock of €2.1 million.
Subsidiary company Granelt Properties suffered a loss for the same period of €9 million, after an impairment of stock of €2.42 million and of financial assets of €7.18 million. The company had net liabilities of €3 million at year’s end.
Bank loans at year’s end were €16.2 million. The company is involved in the DH Partnership. Anglo Irish Bank, which has advanced money to the partnership, holds a charge over property it owns and has a personal guarantee from an unnamed Granelt director over the Granelt share of the loan.
Bank of Ireland, Bank of Scotland Ireland and Anglo have charges over Granelt assets. The DH Partnership comprises Granelt, and Shane, Hugh, Barry and Michael Heskin.
The Granelt accounts say it was owed €6.1 million from subsidiary Spikita Holdings Ltd at year’s end. This company is currently listed for strike-off. Another subsidiary, Haroko Ltd, suffered a loss of €1.2 million in 2008 having registered an impairment of that size. It ended the year with shareholders’ funds of €5.8 million.
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/6BDEAESQEJH4BHNFRSVZH3W4TM.png)