A HIGH Court judge has confirmed the appointment of an examiner to a group of companies that provide software for almost 10 million patients in both Ireland and the UK.
The firms, whose insolvency arises out of their UK parent’s financial difficulties, claim that if they had to cease trading the results would be catastrophic for patients and administrators at the hospitals they supply.
Yesterday at the High Court, Mr Justice Gerard Hogan confirmed Eamonn Richardson of KPMG as examiner to Irish Medical Systems Holdings Ltd and Irish Medical Systems Computers Ltd, both of Clara House, Glenageary Park, Dublin, and the UK-registered Integrated Medical Solutions Ltd.
The judge said he was satisfied to confirm Mr Richardson, who had previously been acting in an interim capacity, as examiner after an independent accountant’s report revealed the firms have a reasonable prospect of survival.
The firms now have court protection from their creditors for a period of up to 100 days. After that the examiner will submit to the High Court a scheme of arrangement with the creditors, which if approved would allow the firms to continue to trade as going concerns.
The companies provide software and related services under the name IMS Maxims.
Mr Richardson was confirmed as examiner after the judge dismissed a request by the firm’s UK parent, Daresbury Service Group (DGS), for the matter to be adjourned.
Rossa Fanning, for DGS’s joint interim administrators, sought the adjournment because of his clients’ concerns about the company’s examinership application and said they wanted time before the process continued.
These include the financing of an £11 million loan to DGS from a related company, Total Asset Limited, to acquire equity in the three software firms. Counsel said his clients believed that transaction may have involved some irregularities they wanted investigated.
Opposing the adjournment application, Gary McCarthy SC said the independent accountant had found no irregularities.
Mr Justice Hogan, in refusing the injunction, said he noted the concerns expressed by DSG’s interim administrators. He said Mr Richardson could address DSG’s concerns in an interim report due to be put before the court next month.