Cinetech sues group members over cinema equipment

A cinema equipment supply company is suing a number of companies in the Irish Multiplex Cinemas (IMC) group over an alleged failure to pay for equipment including projectors, sound systems and 3D systems.

Cinetech Ltd, Ballycoolin, Dublin, has brought the action against IMC Tallaght Ltd, Dundalk Multiplex Cinemas Ltd, IMC Mullingar Ltd, Galway Multiplex Ltd, Laguna Entertainments Ltd and IMC Ltd.

An application to have the case admitted to the High Court's Commercial Court list was refused by Mr Justice Brian McGovern on grounds of the delay by Cinetech in bringing the case. The case will now proceed through the normal High Court list.

In an affidavit, Cinetech company secretary Alan Godden said his company has been providing equipment to the IMC group, run by a number of individuals including Paul Ward and Lorcan Ward, since 2001.

Mr Godden said the debts owed include €483,000 from the Tallaght company, some €426,000 from IMC Ltd and €260,000 from Galway Multiplex Ltd. The total debt was €1.3 million.

Formal demands

After the issuing of formal demands for payment of the monies last January, Paul Ward sought copies of contracts on foot of which the invoices had been issued, Mr Godden said. Attention was also drawn to the fact that certain equipment had been returned to Cinetech.

Mr Godden said the equipment in question had been used for about two years and Cinetech refused to accept its return as this appeared to be “some kind of manoeuvre” by IMC to justify not having paid for it.

He said that complaints about the equipment were groundless and were an attempt to avoid paying the monies owed.

Mr Godden said the legal action is of immense commercial significance to Cinetech and the €1.3 million debt has prevented the company from investing in future growth.