Developer settles NAMA legal action

THE legal action by developer David Daly and his family over the takeover of their €457 million loans by the National Assets Management Agency has settled, the Commercial Court was told yesterday.

No details of the settlement were disclosed.

Mr Justice Peter Kelly was told by lawyers for both sides the case would not be proceeding, had settled in full againstNAMA and had also settled against the other defendants — the state and Allied Irish Banks — except in relation to issues concerning legal costs. The costs bill are likely to be substantial.

The judge was told by Paul Sreenan SC, for the NAMA side, the case had settled on all issues against his side and could be struck out with no order for costs against the NAMA side, which included various receivers appointed by the agency over assets of the Dalys.

Michael Cush SC, for the Dalys, said the action against the other defendants — AIB and the state — had also settled with the only issues outstanding relating to costs.

The sides wanted the case listed next month to address the costs issues, he said.

Mr Justice Kelly made the orders sought and adjourned the costs issue as requested.

David Daly, his daughter Joanne and son Paul secured leave last September from the Commercial Court to challenge the demand by NAMA to repay the €457 million loans.

However, they failed to get injunctions restraining the activities of AIB-appointed receiver Jim Hamilton over their Irish assets or of NAMA-appointed receivers Shay Bannon and Sarah Rayment over British assets, including trophy properties in London’s Bond Street such as the Louis Vuitton building.

Mr Justice Michael Peart granted them leave to proceed with their legal challenges on the family’s contention they should have been heard by NAMA prior to the agency deciding to issue letters of demand for repayment of the loans. He also remarked in his judgment there appeared to be no substance to the claim the loans were not repayable on demand.

David Daly, of Estuary House, New Street, Malahide, Co Dublin, had told the court he had set up Manor Park Homebuilders with Jim Flavin and Joe Moran and used his share of the profits from that venture to build a property portfolio. In 1995, he was bought out and had set up Albany Homes Ltd and Trident Home Builders Ltd. He used AIB as his personal banker.

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