Investors sue Merrion Stockbrokers over overseas fund

Merrion Stockbrokers and a number of other companies are being sued by 19 investors over the management of an overseas property investment fund.

In their High Court actions, the investors are claiming negligence over the management of funds that invested millions in the development of projects in Orlando and London between 2005 and 2007.

The actions are against Merrion Stockbrokers Ltd; Castle Carberry Properties Ltd; Orlando Lakes Nominee Ltd; Orlando Lakes General Partner Ltd t/a Orlando Lakes LLP; Orlando Lakes Ireland Ltd t/a Orlando Lakes LLP; Hurley English and Associates Ltd t/a Ailesbury Investments; and Shinagh Estates Corporate Services Ltd.

Four “pathfinder” actions have been chosen from the 19, which will determine the issue of liability in all the cases, Lyndon MacCann SC, for the 19, told the court.

Judgment in default of an appearance in defence has already been entered against Castle Carberry and Hurley English and Associates, counsel said.

Merrion and the defendants are defending the actions and deny the claims.

Mr Justice Donald Binchy set dates in January for the hearing of disclosure of document applications from both sides.