The Department of Education is moving to repossess one of the sites operated by Squash Ireland, the health and fitness company which went into receivership before Christmas.
The Department received legal advice this week from the Chief State Solicitor's office that it should repossess the Clontarf, Co Dublin, site and attempt to recoup rent arrears of some £20,000 owed by the company.
A creditor of Squash Ireland, International Leisure Group, which supplies gym equipment, is to petition the High Court on Monday to have a liquidator appointed.
Members, angry at the way the company's centres at Clontarf and Dartry closed without warning after subscriptions for this year had been collected, will hold another meeting tonight to consider their options. One group of members is considering forming a coop to run the club.
The Clontarf premises, where most of the club's 400 members played, is owned by the Department of Education. The company's 21-year lease for the site expired in December 1994, but it had continued using the facility until last month.
The company's stated reason for the closure of the centres led to a dispute this month between the Minister for Education, Mr al Martin, and Squash Ireland's managing director, Mr David Balbirnie.
Mr Balbirnie told members in a letter dated December 23rd that the company had been in lengthy discussions with the Minister for Education and his Department about the ground lease of the Clontarf site.
He said the company had been unable to resolve the position to its satisfaction and as a consequence a receiver, John Gleeson and Co, accountants, had been appointed.
However, Mr Martin denied that any negotiations had taken place with Squash Ireland about a renewal of the lease.
A Department spokesman said yesterday that the advice from the Chief State Solicitor's office, received on Wednesday, was to go for "full repossession" of the Clontarf site. Moves to that effect would begin immediately.
The facility is also used by local schools. The Department says that any new lease agreed will be on the basis that the centre continues to be used for similar community purposes.
Mr Balbirnie could not be contacted yesterday for comment. Tonight's meeting of Squash Ireland members is in the Hollybrook Hotel, Clontarf, at 8 p.m.
