The proceedings being taken against Mr Tony Taylor and his wife Shirley by Mr Patrick McSwiney, liquidator to Taylor and Associated Financial Services Ltd (TAFS), are aimed at having the couple made personally liable for the company's debts.
Under Section 204 of the Companies Act 1990, officers of a company who do not keep proper books or records can be held liable for the company's debts if the courts believe that the failure to keep proper books contributed to the company not being able to pay its debts, or if it created uncertainty about its liabilities and assets, or if it impeded the winding up of the company.
The Taylors left the State in August 1996, when TAFS collapsed with clients owed some £2.5 million. The liquidator initiated the proceedings against the Taylors in December, 1996. However the difficulty has been that the whereabouts of the Taylors is unclear.
Mrs Taylor has had a solicitor who is "on record" for her and papers in relation to the proceedings were served on her through the solicitor. It is understood that for a time Mrs Taylor was not in contact with her solicitor and he had difficulty representing her.
However, last week she is understood to have contacted him and said she would be continuing with the proceedings. She said she would return to Dublin to file an affadavit. She also said she was quite distressed by the whole affair.
Papers for Mr Taylor have been served on his son who lives in London. There has been no response of any sort from Mr Taylor to the liquidator. Mr Taylor is thought to be in London. The Garda Fraud Squad, which is conducting an investigation into the collapse of TAFS, has made inquiries to banks in the Isle of Man and Jersey, and is considering making an approach to banks in Luxembourg.
In November, 1996, National Irish Bank, which was owed about £120,000, was granted repossession of the Taylors' home in Dublin. The house, on Anglesea Road, Ballsbridge, which was in both their names, was sold for £580,000. The monies remaining after the bank had recovered its due, were lodged in court.
