Court to rule on shares status

THE security and status of billions of euro in shares held electronically for Irish shareholders will be seriously compromised if the High Court rules this week to give a receiver the right to sell shares held in trust by failed stockbroking firm W&R Morrogh.

In an unprecedented manoeuvre, Tom Grace of Pricewaterhouse Coopers is to seek the approval of the High Court to sell shares belonging to clients of W&R Morrogh which went into liquidation with a shortfall of €10 million in April of 2001.

Even if Mr Grace fails, the vast bulk of the shares which have been frozen since April 27 2001 have fallen dramatically in value, some by as much as 90%.