Quinn family has concerns about new Anglo Act
The Commercial Court heard the Quinn family — who have sued IBRC — are concerned about the act.
Mr Justice Peter Kelly yesterday said the statutory stay was “in absolute terms” and the act disapplied the court’s discretion to lift it. There was “a very wide definition” of legal “proceedings” in the act, he said.
Included in the many existing proceedings against IBRC is the action by bankrupt businessman Seán Quinn’s family alleging that Anglo “shovelled” €2.34bn loans into Quinn companies in 2008 to shore up the bank’s falling share price. That action is due for mention on Monday.
Martin Hayden SC said his difficulty in persuading the court the family’s case could proceed was that the act appeared “to sanitise” their claim Anglo had breached section 60 of the Companies Act — which makes it unlawful for a company to advance loans to buy its own shares.
The issue is also raised in the defence of Quinn family members to the IBRC action against them alleging they conspired to move property assets in the Quinn international property group beyond the bank’s reach, counsel outlined.
The new act raises “many areas of complexity” and drew a distinction between those being sued by the bank and those suing it.
It also provided for an immediate stay on proceedings against Anglo with no ability for the court to lift that stay and that raised issues for the security held by IBRC over Quinn properties.
Counsel for IBRC, Aillil O’Reilly BL, said he expected the liquidator to have given instructions to him by early next week.
The aspect of the IBRC case before the judge was to fix a date for oral submissions following cross-examination of the Quinn children. The judge adjourned to next week, and was later told the liquidator would be represented on Monday.
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