O’Donnells’ bankruptcy annulment case to proceed

An application by Brian and Mary Patricia O’Donnell to have their bankruptcy annulled will go ahead on Thursday.

The couple were adjudicated bankrupt by the High Court in August of 2013. The finding was confirmed by the Supreme Court in February.

Bank of Ireland applied to have the couple declared bankrupt after they failed to satisfy a judgment for €71.57m obtained against them. The judgment was obtained by Bank of Ireland in December 2011 after they failed to repay loans advanced by the bank.

In their latest proceedings, the couple claim their bankruptcy should be set aside on grounds including that the loans were provided by Bank of Ireland Private Banking, which they claim has no banking licence. As it was Bank of Ireland Private Banking they dealt with, which is not a bank but an intermediary, then what it had done was illegal.

Opposing the application, Bank of Ireland says the challenge should be dismissed on the basis that the matter has been fully dealt with in the High and Supreme Courts. Bank of Ireland also says the O’Donnell case is unstateable and should not be entertained.

The O’Donnells’ application was mentioned before Ms Justice Caroline Costello, who said the matter will proceed on Thursday. The judge also directed Dr O’Donnell attend the hearing. The official assignee in bankruptcy is a notice party to the proceedings.

Applications brought on behalf of the O’Donnells’ four children will also come before the court on Thursday, including an application by the court-appointed official handling the O’Donnell bankruptcy, official assignee Chris Lehane, for leave to cross-examine the O’Donnell children.

Mr and Dr O’Donnell are due before the Court of Appeal today on their appeal against a finding that they are trespassing on the former home at Gorse Hill.