Ten Banks and other financial institutions that dealt with solicitor Michael Lynn in relation to an unknown number of properties will share information in an attempt to establish the extent of his liabilities, the High Court heard today.
Irish Nationwide has also initiated a separate action against another solicitor, Mr Thomas A. Byrne, practising as Thomas Byrne & Company, Walkinstown Road, Dublin.
Mr Byrne is being investigated by the Law Society and IIB Bank plc earlier this week secured court orders restraining him reducing his assets below €9million. It is believed Irish Nationwide is seeking more than €10 million in its proceedings against Mr Byrne.
When proceedings concerning Mr Lynn came before the court today, the Law Society, which has shut down Mr Lynn's practice, said it needs more time to complete its investigation into Mr Lynn's practice.
Mr Shane Murphy SC, for the Society, said the investigation was ongoing and indicated a risk that different financial institutions may have claims over the same properties.
The President of the High Court, Mr Justice Richard Johnson, agreed to adjourn the proceedings to November 8th to facilitate information exchange but stressed that information should be exchanged as quickly as possible.
Mr Justice Johnson said the information should outline the names of any other solicitors authorised, or who purported to be authorised, by Mr Lynn's practice to give undertakings. He added that the information about the various properties should be available to the banks "at the press of a button".
Mr Paul Burns SC, for Mr Lynn, said his client had no difficulty with most of what was proposed by the court but, in relation to preparing affidavits, the Law Society had all his client's documents. He was told that his client should swear what he can in an affidavit.
Bank of Ireland and its subsidiaries; Allied Irish Bank; Ulster Bank; ACC Bank; National Irish Bank; IIB Homeloans; Bank of SCotland (Ireland); Irish Nationwide; First Active and Permanent TSB - were all represented in court.
Ulster Bank indicated it had an interest in 18 properties in connection with Mr Lynn while counsel for the other banks said their clients had interests in "a number" of properties.