WEXFORD TD:THE NEWLY elected TD for Wexford Mick Wallace says he fears the banks may move to liquidate his construction business rather than allow it to trade its way back to profitability.
His company’s loans have not been moved to the National Asset Management Agency because most are with non-Irish banks. Loans from AIB are not big enough to qualify for transfer.
He said his construction company, MJ Wallace Ltd, would be filing its 2009 accounts in the coming months.
The accounts for the year to the end of August 2008 show the company owed the banks €42.7 million. It lost €2.67 million during the year and wrote down assets by €2.12 million. At the end of the period, the company had shareholders’ funds of €13.5 million.
Mr Wallace and his fellow director Sasha Wallace received remuneration of €289,605 during the year.
Mr Wallace said the company, which develops property in the Dublin area, was currently getting temporary tax certificates from the Revenue Commissioners to allow it to work and to earn money which is used in part to pay debts to the Revenue.
He said the business owed about €1 million to sub-contractors. “I’m not happy about owing people money, especially the sub-contractors.”
He is using rental income on a number of apartments to pay money to the banks.
However, he said the banks were putting him under pressure to sell certain assets, including a site which he bought for €7 million which the banks want to sell for €1 million.
He feels if it was held on to for a few years, it could increase in value to €3 million.
MJ Wallace subsidiary Wexford Youths FC Ltd had a €170,716 interest-free loan from its parent at the end of November 2009, according to its latest accounts, and free use of its parent’s Ferrycarrig Park in Wexford.
