Students of closed college apply to remove liquidator

An application seeking the removal of the liquidator appointed to a third-level college whose closure left hundreds of students "high and dry" has come before the High Court.

Eden College, based at Dublin’s Burgh Quay, ceased trading in April. The college blamed its closure on cash flow difficulties following its suspension, pending an investigation, from a register of approved colleges by immigration authorities.

Approximately 1,200 students, mainly non-EU nationals, were enrolled at the college. Eden’s directors are Bangladeshi husband and wife Fakir Mohammad Zakir Hossain and Hasina Akter.

Following a creditor’s meeting on May 23, Anthony Fitzpatrick, who was nominated by the company’s owners, was elected as liquidator of Eden Further Education Ltd.

A group of Eden’s students, who claim that they are collectively owed hundreds of thousands of euro for tuition they never received, are unhappy with the appointment. They, along with other creditors, supported the appointment of Declan De Lacy as liquidator.

He lost out to Mr Fitzpatrick following a vote of creditors. While no allegations of wrongdoing are made against Mr Fitzpatrick, the students say the ballot was defective and should be set aside.

In proceedings, brought by one student Keitumetse Motsumi of North Circular Road, Dublin, the High Court has been asked to remove Mr Fitzpatrick of Fitzpatrick O’Dwyer as liquidator to be replaced by Mr De Lacy of PKF O’Connor Leddy & Holmes.

Mr Fitzpatrick has opposed the application.

Ms Motsumi began proceedings last week. Yesterday before Mr Justice David Keane, Brian Conroy, counsel for Ms Motsumi, asked the application be determined as soon as possible.

Ronnie Hudson, counsel for Mr Fitzpatrick, said Mr Fitzpatrick is a highly regarded and experienced liquidator. By virtue of his appointment at the meeting, Mr Fitzpatrick was effectively made “an officer of the court,” counsel said, adding Mr Fitzpatrick will deal with any issue as the liquidation progresses.

The judge adjourned the case to June 18, when a hearing date may be fixed.