Nama initiates action for €2.5m against Cork developer O’Flynn

Cork property developer and businessman Denis O’Flynn faces an action for summary judgment over a €2.5 million debt.

The claims by a National Assets Management Agency company relate to guarantees allegedly entered into by Mr O'Flynn with AIB in relation to loans made to a company, Ramisen Ltd, to purchase lands in Co Cork. Ramisen's debts to National Asset Loan Management Ltd (NALM) last July totalled over €11.3 million.

Mr Justice Brian McGovern agreed to transfer the case to the Commercial Court list and adjourned it for two weeks on the basis the sides are engaged in discussions.

The proceedings are for a €2.5 million judgment against Mr O’Flynn, of Carhue, Coachford, Co Cork.

NALM issued a demand for payment on July 28th and alleges payment was not made.

Mr O’Flynn’s personal indebtedness to NALM under the guarantees is limited to €2.5 million, it is alleged.

In an affidavit, NALM said it had demanded repayment of a debt of €71.2 million concerning the housebuilding firm, O'Brien and O'Flynn, headed by Denis and Dan O'Flynn.

When that was not paid, joint statutory receivers were appointed in respect of certain assets of the firm and the High Court also appointed joint provisional liquidators to the firm.