Getty family loan payback ordered

A SETTLEMENT was announced yesterday in the legal battle by the billionaire Getty family against the operator of Punchestown racecourse for the repayment of a €3.8 million loan given under the passports for investment scheme.

The US-based Gettys loaned the money in 1999 to help fund the course’s redevelopment. It is understood three members of the Getty family — Jean Paul, Aileen and Gail Getty — were approved for Irish passports under the scheme.

Mr Justice Peter Kelly made final orders in the Commercial Court of the High Court. He noted the terms of the settlement in which the defendants agreed to pay €3.5m to the Getty-owned GT Equinus Inc.

The action was against Blackhall Racing Company, operator of the course, and Kildare Hunt Club, owner of all issued ordinary shares in Blackhall and parent company of Punchestown Development Company Ltd and Punchestown Enterprises Ltd. Mr Justice Kelly directed that €2.5m be paid out from the amount which had been lodged in court before Christmas along with an immediate payment of €500,000. The judge said the agreement also provided for further instalments of €350,000 by the end of July this year and a further €150,000 by April 2008.

The judge also directed that defendants pay all costs and in the event of a default in payment, Mr Justice Kelly said judgement will be given for the entire amount.