Banks recoup €4.8m from M&J Wallace asset receiverships

Three banks have recouped nearly €5m, between them, from the receivership of assets formerly owned by M&J Wallace; main building arm of independent TD Mick Wallace.

Documents recently filed with the Companies Office show ACC Bank, Bank of Scotland (Ireland) and AIB have received a combined €4.8m to date from the receivership of the assets.

The first bank to move against the firm was ACC, which appointed receiver, Declan Taite to Wallace properties in May 2011.

It is understood Mr Wallace’s firm owed ACC around €20m. The Wexford TD has admitted he owed €40m to various banks.

The documents show ACC Bank has, to date, received €2.65m from the sale and rent of M&J Wallace properties.

In 2011, Mr Taite was appointed as receiver to company assets at the Italian Quarter on Dublin’s Ormond Quay, the Behan Square apartment complex on Russell Street near Croke Park, and to development land in Rathgar.

The bank’s decision to wait for the Dublin property market to recover and not carry out a fire-sale of the Wallace properties after taking possession of the assets in 2011 has paid dividends.

Tom Kavanagh of Deloitte was appointed by Bank of Scotland (Ireland) as receiver to other assets owned by M&J Wallace in September 2013.

Documents filed by Mr Kavanagh show Bank of Scotland (Ireland) Ltd has received €977,134 from the €1m in receipts he received.

Separate documents lodged by a third receiver, Gerry McInerney show AIB received €1.19m from the receivership of a number of M&J Wallace assets.

In 2014, AIB absorbed a major loss on the €4m it lent to Mr Wallace to purchase a site in Dublin.