Bank secures €14.6m judgment

ACC BANK has secured summary judgment for €14.6 million against three members of a family arising from loans advanced in connection with a property development in Co Kilkenny.

In the Commercial Court yesterday, Mr Justice Peter Kelly said he was satisfied the sums sought by the bank from William, Phelan, Karl Phelan and Lourda Phelan, all with addresses at Whitethorn Walk, Westminster Park, Foxrock, Co Dublin, trading as William Phelan and Son, were due and owing.

The judge granted judgment in the amount of €14,647,213 against the defendants, who did not file a defence and were not represented in court.

The application arose after the bank granted loans to the defendants to refinance an existing Ulster Bank debt on a site at Castlecomer Road, Kilkenny; to buy out the shareholding of another man and to fund the development of 19 residential units and a crèche at Newpark Lower, Co Kilkenny.

Other sums were also advanced and the bank claimed the amount due on those loans was now more than €14.6m.

The bank said it had appointed a receiver over the property at Newpark Lower, Kilkenny. In a letter of November 22, the receiver estimated the deficiency likely to accrue to ACC would be at least €1.97m before receivership costs.