Fund gets €12.8m judgment against businessman

A fund has obtained a €12.8 million judgment on consent against a businessman over loans and a guarantee he provided for the liabilities of a now dissolved car recycling business.

Anthony (otherwise Tony) Gannon, Hillcrest Way, Lucan, Co Dublin, did not oppose the judgment application by Promontoria (Gem).

The bulk of the debt related to loans provided to him in 2007 and 2008 by Bank of Ireland Mortgage Bank in 2007 and by AIB in 2008 and 2009.

He also provided a guarantee, limited to €185,000, in January 2009 to AIB in relation to certain liabilities of Eco Car Recycle and Recovery Ltd (now dissolved)

Promontoria (Gem) bought the loans and guarantee from Nama in January last year.

Lisa Burns, an associate director of ASI Ltd (formerly Capita Asset Services Ireland), of Maynooth Business Campus, Co Kildare, said in an affidavit her company provides loan administration and asset management services for the Promontoria loans.

She said there were discussions in February and April last year with Mr Gannon’s financial advisor and an ASI representative in relation to an offer for the debt, supported by a statement of affairs from Mr Gannon.

After no such proposal came, repayment was demanded but was not forthcoming, she said.

At the Commercial Court on Monday, Mr Justice Brian McGovern was told judgment for some € 12.8 million could be entered on consent between the parties.