Anglo Irish fails to have €13.6m guarantees claim admitted to court

ANGLO IRISH Bank has failed to have an action admitted to the Commercial Court for summary judgment orders for some €13

ANGLO IRISH Bank has failed to have an action admitted to the Commercial Court for summary judgment orders for some €13.6 million against three people over guarantees allegedly provided by them over the liabilities of a development company.

The bank’s claim is against Gerard Kelly, Alexandra Manor, Abbeylands, Clane, Co Kildare, and Gabriel Connolly and Mary Connolly, Beechpark Avenue, Castleknock, Dublin.

Counsel for Mary Connolly said she was the estranged wife of Gabriel Connolly and opposed the case being admitted to the Commercial Court.

Mr Justice Peter Kelly refused to admit the proceedings to the court’s list on grounds of the bank’s delay in bringing the application, having made a demand under the guarantees in February last. He said the court’s limited resources must be reserved for truly urgent cases.

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The bank’s claim arises from guarantees allegedly given by the defendants in June 2007 relating to the liabilities of Redthorn Developments Ltd, of which all three were directors.

It is claimed the company had borrowed some €12.1 million under facilities granted by Anglo but defaulted on its repayment obligations.

The bank demanded repayment under the guarantees last February but no payment was made and it claimed some €13.6 million was due and owing. Following the refusal to admit it to the Commercial Court, it remains open to the bank to pursue the matter through the High Court list.