Nama wins final judgment on McFeely loan

Nama has secured final judgment for €8m against the wife of Priory Hall builder Thomas McFeely arising out of an unpaid loan secured on the family home in Ailesbury Rd, Dublin.

Nina Lynn Kessler had opposed the Nama application, claiming, among other things, that she did not have independent legal advice when taking out the loan.

She also claimed she did not receive money from the loan and that she had felt under pressure to agree to the loan.

At the High Court yesterday, Ms Justice Iseult O’Malley ruled the matter was the subject of previous court proceedings and the objections raised by Ms Kessler, including the issue of legal advice, had not been raised.

A €9.5m loan was taken out by the couple from the former Irish Nationwide Building Society (INBS) in December 2006.

Ms Kessler told the court INBS had told her this was a personal loan to discharge existing mortgages on their home. It was to be repaid from income from the development of Priory Hall in Donaghmede, Dublin.

She believed it was a business loan and her husband told her there would be no risk to her.

In her judgment, Mr Justice O’Malley said interest payments on the loan went into arrears and the capital was not repaid.

In January 2012, by which time Nama had taken over the former INBS loan, the sum owed had risen to €10.6m. Nama sought an order for possession of the house and in November 2012, the High Court dismissed an appeal against possession.

The house was sold for €2.6m in May 2013 and Nama then sought judgment against Ms Kessler for the outstanding balance of €8m.

Ms Justice O’Malley said if there had been any genuine dispute as to Ms Kessler’s liability, it was entirely reasonable to expect these issues would have been raised in the earlier proceedings.

The house was subject to a mortgage in any event and it is manifest from subsequent events, including the bankruptcy of Mr McFeely, that the mortgage would not have been repaid, she said.

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