The Agricultural Credit Corporation plc has lost its High Court bid to prevent a Co Wexford fruit farmer from suing it for allegedly selling his land at an undervalue to his brother. Mr Sean O'Leary claims he has not spoken to his brother, Terence, in years.
However, Mr Justice Kelly granted the bank an application to prevent other aspects of Mr O'Leary's claim against the bank going ahead which arises out of events in the 1980s. Mr O'Leary said he owned land at Broadway, Co Wexford. In 1977, he granted a charge over the land to the ACC as security for advances made to him. Mr O'Leary claimed he reached an agreement with the bank that his land would be returned to him after a 10-year period. Despite that agreement, the bank in 1988 secured an order for possession of his land.
He claims the bank and/or the receiver later sold the land to Mr Terence O'Leary for an undisclosed price, which was less than the full value of the land. Mr Justice Kelly said he would allow the case to proceed in relation to the claim for damages for the alleged sale of Mr O'Leary's lands at an undervalue. However, he dismissed claims that the bank was liable for the alleged failure of the receiver to properly manage the enterprise, and that Mr O'Leary's business was allegedly destroyed because of the receiver's alleged wrongful exercise of his legal authority.