Allied Irish Banks is pursuing Dean Waste company, which is in receivership, over unpaid loans of some €6 million.
Mr Justice Peter Kelly today transferred the proceedings by the bank against the company, with registered offices at Broomhill Road, Tallaght, to the Commercial Court. He listed the matter for hearing next month.
The action arises from a facility letter of October 2008 under which AIB made €14.8 million loan and overdraft facilities available to the company.
The bank claims it was agreed security for those facilities would be provided in the form of a debenture, dated March 2001, in favour of the bank over the fixed and floating assets of the company including specific fixed charges over a number of properties.
These properties included lands and premises at Arran Square, Dublin; Broomhill Business Complex, Tallaght, Co Dublin; 51, Broomhill Road, Tallaght Industrial Estate and lands at Kilnamanagh, Uppercross, Co Dublin.
AIB informed the company last June an event of default had occurred arising from the fact the defendant had called a creditors meeting for the purposes of commencing a creditors voluntary liquidation. On June 4th last, the bank demanded immediate repayment of all monies due which, on that date, amounted to some €6.14 million.
The defendant had failed to pay that sum and some €6.19 million remains due and owing with interest continuing to accrue, the bank said.
AIB had appointed a recover on June 8th last over the assets contained in the mortgage debenture; the goodwill associated with the names Dean Waste and A1 Waste; the business of the defendant of skip and bar hire and collection, including the book debts associated with the business; and the plant, machinery and equipment of the defendant.
Since the receiver was appointed, the bank said it had learned the defendant was the registered owner of properties at Greenhills, Co Dublin, and Kerdiffstown, Co Kildare. It said it had called on the directors of Dean Waste to execute a legal charge in favour of the bank over those properties but the directors failed to do so.
In its action, AIB wants a declaration that some €6.19 million is due and owing under the 2008 loan facility. It also wants a declaration, under the mortgage debenture of March 2001, the €6.19 million stands well-charged on the defendant company’s interest in the properties identified by the bank.