Couple lose appeal over €4m property loan debts

A couple have lost their Supreme Court appeal against a decision Bank of Scotland plc was entitled to recover €4m from them arising from unpaid loans made for property development purposes and to appoint a receiver over certain properties.

Patrick and Roseann McLaughlin, Foxrock, Dublin, in their appeal, argued the 2010 cross-border merger between Bank of Scotland (BOS) and Bank of Scotland Ireland (BOSI) did not involve the transfer of any securities held by BOSI to BOS.

Their appeal was given a priority hearing by the Supreme Court because, if that argument was upheld, it would have what Mr Justice Frank Clarke described as a “profound” effect on the position of BOS and also potentially impact other cross-border mergers.