A Wexford construction company has settled a debt of some €150,000 with the Revenue Commissioners, following a Revenue petition to wind up the firm.

It emerged at the High Court yesterday that the Revenue had withdrawn its petition against Tweedswood Limited because the debt had been settled in full.

No details of the case were given but it is understood to have related to non-payment under a number of tax heads, including VAT, PRSI and income tax.

The High Court meanwhile adjourned for one week identical petitions against two related Wexford building companies: MJ Power Construction (Wexford) Limited and KMC Architectural Services Limited. It is thought the two companies, who share a managing director, Martin Power, are also working towards settlement with the Revenue.

The combined tax debt of all three firms is thought to have stood at about €400,000 before the Tweedswood settlement.

The three firms are said to have been passing through unrelated difficulties that have in recent times caused their directors substantial distraction.

At the end of December 2003, MJ Power Construction (Wexford) had shareholders' funds of €173,664, marking a year-on-year decline from €211,348. These accounts included a note relating to a "Revenue agreement" of €786,283.

The most recent accounts for Tweedswood, from the year ending August 31st, 2003, show shareholders' funds of €87,565, up from €68,314 in the previous year. The accounts also include reference to a "Revenue agreement", this time of €95,633.

KMC Architectural Services, which is listed for strike-off, had shareholders' funds of €237,731 at end of March 2003, up from €143,392. Accounts for this period show that the firm had negotiated a settlement with the Revenue.