Court orders dealer not to sell on cars

THE High Court yesterday made an order preventing a Co Kerry motor dealer from selling 32 vehicles, which it was stated he had…

THE High Court yesterday made an order preventing a Co Kerry motor dealer from selling 32 vehicles, which it was stated he had agreed to purchase from a Dublin rental company.

Miss Justice Laffoy granted an interim injunction to Thorncliffe Investments Ltd and Esmonde Motors Ltd restraining James, otherwise Jimmy, White of Tralee Road, Killarney, from reducing his assets in the State below £140,000.

Mr Michael Purcell, sales director of Esmonde Motors, said on affidavit that Mr White purchased 268 vehicles from his company during the course of 1994 and 1995.

The normal method of payment was for Mr White to write post dated cheques for the amount due in respect of cars purchased. When these cheques cleared, his company would transfer ownership of the vehicles to Mr White.

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In November 1995, Mr White agreed with him to purchase 18 motor vehicles for £128,825. Payment was made by means of two post dated cheques. In December 1995, Mr White purchased a further 16 cars for £138,000. Four post dated cheques in respect of these cars had not yet fallen due for payment.

Mr Purcell said when he lodged two cheques amounting to £128,825, they were returned unpaid by the company's bankers, Bank of Ireland, Baggot Street Bridge, Dublin. The reason given for non payment of the cheques was that payment was stopped by Mr White.

He attempted to make contact with Mr White at his business address but was unable to do so. It led him to believe Mr White had absconded or was making himself deliberately unavailable.

These suspicions were confirmed when a solicitor, Mr Colm Murphy, telephoned Mr Purcell on January 10th indicating he was acting on behalf of Mr White and that he had "gone to ground".

Consequently, Mr Purcell said he made attempts to trace the vehicles but was unable to do so. He also placed advertisements in the national newspapers and faxed a number of main dealers concerning the vehicles.

Given the circumstances, Mr Purcell said it was now unlikely Mr White would meet the four post dated cheques issued by him in relation to the December purchases.