Sheahans bid to stop receiver interfering with properties

Former Ireland rugby player Frankie Sheahan, and his brother Joseph, have brought a High Court action aimed at stopping a bank-appointed receiver from interfering with a number of properties they own.

Yesterday, the court heard Bank of Ireland appointed Michael McAteer as receiver to 17 residential properties acquired and rented out by the Sheahans and their company.

The Sheahans, who have challenged the validity of Mr McAteer’s appointment, claim the receiver has engaged in behaviour for which he has no lawful authority.

They allege Mr McAteer has carried out various steps, including changing the locks on the properties, threatening tenants with eviction, threatening to sell the properties and attempting to sell the properties, which will cause severe damage to the operation of their business.

In an affidavit, Frankie Sheehan, of Clarkes Wood, Mount Oval Village, Rochestown, Cork, said he feared that the receiver’s actions may damage their business.

The action, brought by the Sheahans and mymortgages.ie, of which Frankie Sheahan is a director and an employee, is against the Bank of Ireland, Bank of Ireland Mortgage Bank, and Mr McAteer.

The properties, located in Cork and Greystones, Co Wicklow, were all purchased with loans obtained from BoI mortgage bank. The Sheahans then rented out the properties.

The Sheahans are seeking injunctions restraining the defendants and their servants and agents from interfering with the properties. They are also seeking an order prohibiting the bank and Mr McAteer from selling or attempting to sell the properties.

They want the injunctions to remain in place pending the final outcome of their action.

They are further seeking a declaration from the court that the appointment of a receiver over the properties is invalid.

Mr Justice Roderick Murphy granted Mr Sheahan’s lawyers permission, on an ex-parte basis, to bring proceedings. It will come before the court again in December.

Ross Maguire, counsel for the Sheahans, said Mr McAteer was appointed as receiver over the properties on dates from autumn 2011 after BoI demanded the loans on the properties be discharged in full.