Wallace: Construction company continuing to work with three banks

Developer and Independent TD Mick Wallace has said that the appointment of a receiver to certain of his assets “does not affect the standing” of his construction company.

In a statement issued this evening, Deputy Wallace said that M&J Wallace Ltd., otherwise known as Wallace Construction, has dealings with four of the major banks and continues to work with the remaining three.

It emerged earlier this week that ACC Bank had appointed a receiver to three of his company’s assets in Dublin: the Italian Quarter development on Ormond Quay, the Behan Square apartment complex on Russell Street and development land in Rathgar.

Today the colourful TD said that Wallace Calcio which runs his wine bars and coffee shop, is a separate company and is not affected by the action of ACC Bank.

“Likewise, the Wexford Youths football club, based at Ferrycarrig in Wexford, is leased from the construction company and its survival is protected by that same lease,” he said.

Mr Wallace has made no secret of the fact his company owes more than €40m in total to four different banks and that the value of his assets has collapsed due to the property crash. It is understood that ACC is owed €20m and had fixed charges over the assets in question.

“As I have admitted more than three years ago, the construction company has suffered badly due to the financial crisis but it continues to do its utmost to work towards its survival,” he said today.