Pair pursued for €44m orders over alleged default on loans issued to buy lands in Dublin

Two men are being pursued for €44m summary judgment orders over alleged default on loans issued to buy lands in Dublin.

ACC Loan Management Ltd (ACCLM), formerly ACC Bank, has brought proceedings against Frank Connon, of Tullyrisk, Birr, Co Offaly, and Fergus Connon, Merryfalls, Sillogue Lane, Finglas, Dublin, over loans issued by ACC Bank on dates from 2009.

On the application of Stephen Walsh, for ACCLM, Mr Justice Brian McGovern agreed yesterday to transfer the proceedings against Frank Connon to the Commercial Court.

The judge adjourned to later this month the transfer application in relation to the claim against Fergus Connon to allow the plaintiff address service and other issues.

ACCLM claims the relevant loans, for some €35m, were issued in 2009 and secured by mortgages on some 137 acres at Merryfalls, Meakstown, a smaller plot of land, and a first legal charge over the entire issued share capital of Brian Connon Ltd, a company of the defendants.

ACCLM claims a September 2011 extension of the facility expired in January 2012.

It claims it only learned in December 2012 that Fergus Connon’s principal residence was located on the secured lands and says it had material concerns about that because liability was not intended or agreed to be secured by a family home or other principal residence.

Both defendants had attended a meeting with ACCLM in July 2015, it said, alleging that they

failed to “constructively engage” following the meeting.

Demand letters were issued the following month seeking repayment of some €42m, with daily interest at about €9,780.

It is claimed over €44m, plus interest, is now due.