Receiver appointed to two former McNamara companies

Danske Bank has appointed a receiver to two property firms that Bernard McNamara resigned from as a director last year.

Danske Bank, which owns Irish National Bank, has appointed Declan McDonald of PriceWaterhouseCoopers as receiver to Dublin-based Mazarone Ltd.

Its most recent accounts show that the firm had bank debts totalling €47.8m.

The returns show that Mazarone made a loss of over €380,000 last year.

The other directors are listed as Mr McNamara’s business partner and well-known hotelier, Jerry O’Reilly, David Courtney and Eamon Shields.

Mr O’Reilly’s hotel interests include the Aghadoe Heights in Co Kerry and the four-star Radisson Blu in Galway.

As a result of last year’s loss, Marazone’s losses widened to €42m.

The figures show that at the end of last May, Mazarone owed Mr McNamara €2.8m.

Mr O’Reilly and Mr Courtney each advanced a further €31,914 to Mazarone last year bringing the amount owed by the company to them at €1.7m and €1.7m respectively.

In total, the three were owed a total of €6.2m by Mazarone Ltd.

In a note attached to the Mazarone accounts, it stated that the directors “have reviewed the deterioration in the financial and economic environment which has occurred and are aware of the market conditions in which the company now operates”.

The note went on: “This has severe consequences for their ability to verify the appropriateness of the carrying value of the property related assets in the context of the current market conditions”.

The directors state that following a €39m writedown in 2009, they believe that no further adjustment is required in this regard.

It added: “The company plans to continues to manage the property to safeguard its assets in the current market climate.

“The directors are also of the view that the company will continue to receive the support of its principal lending institution in relation to the future financing of the company.”

The company’s bank loans totalled €47.8m. Total amount owed to creditors stood at €55m.

Danske Bank has also appointed Mr McDonald as receiver to another firm, Brettar Ltd, where Mr O’Reilly is a director.

The latest accounts show that Brettar had bank loans totalling €9m, with accumulated losses of €8m at the end of March.

Documents confirm that Mr McNamara resigned as a director from both firms last year.