Husband and wife told to end differences over Cork company

An estranged husband and wife, both shareholders and directors of a Co Cork company, have been warned by a judge to reach agreement…

An estranged husband and wife, both shareholders and directors of a Co Cork company, have been warned by a judge to reach agreement on its future or face the prospect of it being wound up.

The President of the High Court, Mr Justice Costello, told Mr Andrew Shields, of Bantry, Co Cork, and his wife Elaine, that they had another week to resolve disagreement over the sale of the commercial property of Seton Music Graphics Ltd.

In an affidavit read at an earlier hearing, Mr Shields said the company, which has been experiencing financial difficulties, needed to sell its commercial property to raise £30,000 after the discharge of a mortgage charge.

Yesterday, Mr Mark O'Mahony, counsel for Mr Shields, said Mrs Shields had objected to the presence of Seton's auditors and accountants at a meeting of the board of the company held on Thursday last.

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Counsel said a subsequent board meeting was held at which both the auditor and accountant were present.

Totally against the wishes of his client that meeting was adjourned.

Mr O'Mahony said no consensus had been reached between the parties, particularly with regard to the sale of the land in question.

Mr Justice Costello said it appeared as if there was complete deadlock in the company.

Mr Greg Bracken, counsel for Mrs Shields, said that while the meeting of the board had been adjourned, this was to allow for a valuation to be put on the property to be sold. His client wanted time to consider the land sale proposal.

When Mr Justice Costello asked if it was possible that any agreement could be reached on the sale, Mr Bracken said he believed such an agreement was possible.

The judge said the company's affairs were very close to deadlock and, if they reached that stage, he must consider whether the company should be wound up.

He said he would accede to Mr Bracken's request for a week's adjournment so as to enable the parties reach agreement.

In the interim he had received a letter from three employees of the company who were concerned about the situation they found themselves in and for whom he had the greatest sympathy, Mr Justice Costello said.