Lynn to face Law Society questions over financing of multiple loans
Mr Lynn, 39, who comes originally from Co Mayo, must appear before the High Court this morning to answer questions about his complex property dealings and how he financed such investments.
Legal representatives of the Law Society will quiz Mr Lynn about his alleged use of client accounts to finance personal transactions.
Mr Lynn failed earlier this week in an attempt to have today’s hearing adjourned on the basis that he had hired a new firm of British solicitors to act for him.
It is the third legal team to represent the solicitor in the past few months since details first emerged that the Law Society had ordered the closure of his Dublin-based practice, Capel Law.
The legal profession’s regulatory body began its inquiry after concerns were raised over the possibility of financial irregularities in the manner Mr Lynn raised loans to purchase a large number of Irish and foreign properties.
It is estimated that Mr Lynn, who is also the subject of a Garda investigation, may have total liabilities of about €70m.
Meanwhile, the planned auction of Mr Lynn’s upmarket home in Howth, Co Dublin, has been postponed because of legal uncertainties surrounding the property.
Glenlion House, a large but dilapidated house set on a clifftop with its own private beach in the wealthy north Dublin suburb, was due to go under the hammer at Lisney auctioneers in Dublin yesterday afternoon.
However, the auction of the property, which has an advised minimum value of €4.5m, was cancelled on the instructions of receiver Rory O’Ferrall of Deloitte & Touche. Mr Lynn bought the house for €5.5m to be used as a family home for himself and his wife, Brid.
It is understood that several financial institutions are maintaining they have first claim on the proceeds of any sale of Glenlion House.
The High Court has already been informed that at least three banks and building societies claim they advanced mortgages worth a total of more than €12m to Mr Lynn to buy the house.
ACC Bank has secured an order from the Commercial Court requiring Mr Lynn to repay €3.8m to the bank in relation to loans it advanced to the solicitor to purchase Glenlion House.
