Couple win appeal over complaint rejected by ombudsman

A Co Galway couple yesterday won their High Court appeal against the Financial Services Ombudsman’s decision not to uphold their complaint against ACC Bank.

Mr Justice Nicholas Kearns said he was remitting the matter to the ombudsman “for further consideration”.

The appeal was brought by Henry and Martina Haverty of Meelickbeg, Tuam, Co Galway against the ombudsman’s decision of Jul 2012 to reject their complaint arising from ACC’s failure to release to them the deed of charge or mortgage deed over the couple’s family home.

The ombudsman ruled that while he accepted the Haverty’s had repaid IR£50,000 advanced by ACC to build their family home he agreed with ACC that the deed of charge covered not just monies advanced in respect of their family home borrowings, but all future borrowings.

The ombudsman, noting that Mr Haverty owes €1.3m to ACC, said he was satisfied that monies were due and owing on the deed of charge. The Havertys appealed to the High Court.

The judge said the matter should be remitted for reconsideration on the ground that the ombudsman failed to have regard for provisions of the 1976 Family Home Protection Act.

Mr Justice Kearns noted the couple obtained a loan of IR£55,000 from ACC in 1997 to build their family home. The loan was secured by way of a deed of charge on the property.

The mortgage was repaid by 2007. However, despite requests, the charge over their family home was not released by ACC.

The judge said Mr Haverty, a builder, had commercial dealings with ACC. Monies had been advanced by ACC to companies in which Mr Haverty was a director and shareholder to buy lands.

In 2011 ACC refused to release the deed of charge, maintaining it covered not only present but future advances due by the Havertys. This resulted in them complaining to the ombudsman, which was rejected.