XL Fuels operator to open books

The operator of a fuel distributors has undertaken to provide books and records to a receiver, a court heard.
XL Fuels operator to open books

Receiver Kieran Wallace is, however, still not satisfied Michael Curran, a director of XL Fuels Group, Oldcastle Co Meath, is fully co-operating and wants to cross-examine him in the Commercial Court later this month.

Mr Wallace was appointed receiver over the business, which the court heard has a turnover of €28m, by Bank of Ireland arising out of a €2.26m debt to the bank.

The court heard the receiver is also prepared to discuss with another defendant, the company’s accountant, Edmond Cahill, of Kells Business Park, Co Meath, the terms on which it may not be necessary for him to participate in proceedings later this month. This was after counsel for Mr Cahill said the accountant has no books and records.

Gary McCarthy, who acts for both Mr Curran and Mr Cahill, said the accountant, as a professional, was in a difficult position in that, while the allegations were very serious, there was no basis for them against him, as they included issues such as delivery of assets .

Counsel asked that he be let out of the proceedings. A similar request is being made by Mr Curran’s 80-year-old mother, Maureen, who is also a director of XL, but has no role in running the business. Rossa Fanning, for the receiver, said this was a business turning over €28m and Mrs Curran’s side was saying she has no knowledge of this.

Mr Fanning was prepared to discuss the matter of letting her out when a statement of her affairs has been provided and subject to a separate application next week by Bank of Ireland seeking judgment against her for €1m. The bank is also to seek judgment against her son Michael for €2.2m.

Earlier, Mr Fanning said the receiver was getting two or three versions in relation to company property and having to deal with “shifting positions” in relation to Mr Curran.

When a summons server turned up to serve notice of next week’s judgment proceedings, Mr Curran imprisoned him for 30 minutes, counsel said.

Mr McCarthy called on Mr Fanning to withdraw the allegation of imprisonment of the summons server as his side had no notice of it and was not in a position to respond.

Mr Curran is prepared to meet those allegations in the proper forum, counsel said. Mr McCarthy also disputed that Mr Curran had not co-operated in relation to his undertaking to furnish books and records.

Mr Justice McGovern gave leave to Mr Fanning to apply to cross-examine Mr Curran the week after next.

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