A GALWAY developer with assets previously valued at €875 million and borrowings of more than €673 million has agreed to provide documents relating whether he has the ability to pay ACCBank €6.9 million in unpaid loans.
ACC had obtained judgment for €6.9 million last May against James Considine, Ballagh, Bushypark, Galway, and Tom Considine, Fanore House, Coast Road, Oranmore, Co Galway, after they did not defend the bank’s application arising from loans advanced for a development site.
Mr Justice Peter Kelly last May refused their counsel’s application to defer the judgment order for a year to this month, May 2010, to allow them to try and sell the development site at Deerpark, Headford, Co Galway, in what they hoped might be a recovering market. The judge said he believed it was unlikely investors would be found.
In opposing a stay, Rossa Fanning, for ACC, had argued that the loan was due for repayment in August 2008 and the defendants had very substantial assets running into “hundreds of millions”.
In documents in the case, it was stated for the defendants that valuation estimates in a statement of affairs were based on a liquid market. Because the market is stagnant, it was difficult to establish valuations. It was also stated the Considines’ other assets were subject to existing securities and cross-securities, meaning those assets were unavailable to ACC.
ACC, in its efforts to secure payment, has been seeking documents and other material from Tom Considine relating to his assets and liabilities.
When the matter came before Mr Justice Kelly again yesterday, Mr Fanning said Tom Considine was consenting to an order to swear, within eight weeks, an affidavit of discovery of documents, including material on the nature and whereabouts of his assets.
The judge noted that in his statement of affairs, Tom Considine was stated to have assets valued at €875 million and total borrowings of some €673 million. It seemed Mr Considine had a total equity of some €201 million, of which about €78 million was attributed to property assets, the judge noted.
Mr Justice Kelly adjourned to July.
