MORE THAN 30 investors who provided “mezzanine finance” for a property development in Montenegro are suing a firm of solicitors for over €3.9 million in losses after issues arose with the scheme.
The action against a number of individuals practising as Byrne Wallace Solicitors, formerly BCM Hanby Wallace Solicitors, was admitted to the Commercial Court yesterday by Mr Justice Peter Kelly.
The judge noted the investors contend they are entitled to recover €3.9 million paid out by them in loans for a Swiss special purpose vehicle, designed to achieve a return on investments for property development in Montenegro.
John Gleeson, for the defendant solicitors, said the investors were “very coy” about how the transaction had occurred. The investors had authorised the promoters of the scheme to act on their behalf and, if monies were released, it was on the authority of the promoters, and his clients had “a very minor role”.
Counsel for the investors said he wished to proceed with an application for summary judgment for €3.9 million. The judge fixed the hearing for May 20th.