CORK-BASED developer John Fleming is in discussions with ACCBank about restructuring the debts of one of his property firms which was placed under the protection of the High Court last week.
Last Wednesday the bank appointed a receiver, Padraic Monaghan of KPMG, to a company called Tivway which is involved in the development of a commercial building in Sandyford, Co Dublin, over debts of about €20 million.
However, the company successfully applied for the protection of the High Court last Friday after it sought the appointment of an examiner. The receiver agreed to stand aside pending a hearing on the appointment of the examiner.
ACCBank is understood to be opposed to the appointment.
The case will be before the court again on Monday and the firm may seek to proceed with the appointment of an examiner who will devise a scheme of arrangement to restructure its debts.
It is believed that the company could seek the appointment of Billy O’Riordan, accountant at PricewaterhouseCoopers, as examiner, though Monday’s hearing will depend on the outcome of the company’s discussions with ACC.
A spokesman for the Fleming Group had no comment.
Tivway is owned by John J Fleming Construction Co, another of Mr Fleming’s development companies. The directors of the firm are Mr Fleming, Michelle Fleming and Noreen Fleming. Mr Fleming swore an affidavit last week seeking the court’s protection.
The company had stocks and work-in-progress projects valued at €57 million at the end of the financial year to October 2007.
The Fleming Group is primarily financed by AIB, though it has also drawn borrowings from Anglo Irish Bank, EBS building society and Bank of Scotland (Ireland).
The group was founded by Mr Fleming in 1975 and, according to the company, has an annual turnover of more than €200 million.
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