Loss of 82 jobs at building firm with €4m debt

The High Court yesterday placed a building firm with debts of €4 million into liquidation, resulting in the loss of 82 jobs.

Mr Justice John MacMenamin appointed Tim Regan of Regan & Co Chartered Accountants as liquidator of Manning Brothers Contracts, of Ballagh, Newtownforbes, Co Longford, at a hearing yesterday.

In an affidavit, director and shareholder Aloysius Manning blamed a dispute with Meath County Council over a road building contract for the firm's difficulties. It is suing the local authority for over €4.3 million.

According to Mr Manning's affidavit, the firm owes €4 million and cannot pay these debts. Manning owes the Revenue €1.5 million.

The affidavit says the Revenue warned the firm last month that it would seek to wind it up if it did not take steps to pay.

It owes trade creditors and workers a further €1.7 million and a number of them, who are owed money for more than three months, have begun legal proceedings to get their money.

The firm has been unable to pay wages to its 82 workers, who are losing €38,000 a week as a result.

It also owes Bank of Scotland (Ireland) Ltd €800,000, but this is secured by a charge, a type of mortgage, over part of its property.

Manning Brothers' financial statements show that the company turned over €6.8 million in 2002, and operating profits increased 60 per cent on 2001 to reach €245,400.