Court adjourns KBC application to have Treasury Holdings wound up

The High Court has adjourned KBC Bank's application to have Treasury Holdings and 15 related companies wound up.

Court adjourns KBC application to have Treasury Holdings wound up

The High Court has adjourned KBC Bank's application to have Treasury Holdings and 15 related companies wound up.

In his ruling today Mr Justice Brian McGovern said he was satisfied to adjourn the application till October 9 next.

The judge said he was satisfied that KBC would suffer any prejudice if the case was adjourned.

The petition had raised complex issues, involved a significant number of companies, and large sums of money that clearly required "detailed consideration," the judge added.

KBC petitioned the Court to have Treasury and the other companies wound up and insolvency practioner Mr David Carson be appointed as liquidator on the basis the firms are wholly insolvent and unable to pay their debts.

The bank claims it is owed more than €70m by Treasury arising out of loans advanced for the development of the Spencer Dock project in Dublin.

NAMA, which the court heard is owed €1.7bn had been initially neutral to the application. However yesterday it changed its stance, and supported KBC's application.

This was in light of the "serious concerns" it had following an announcement that assets of a Treasury subsidiary in Singapore had been transferred to a company in the Channel Islands beneficially owned by a director of Treasury, Richard Barrett.

Treasury and the related firms, which accept that they are insolvent and that money is owed, opposed KBC's application and sought to have the application adjourned.

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