The Revenue Commissioners are to seek to take over a High Court application to have a Dublin-based plastics recycling firm wound up.
Revenue, represented by barrister Sally O’Neill, told the High Court on Monday that parties that initially petitioned the court to appoint provisional liquidators to Cloughwater Plastics Ireland Limited want to withdraw the petition. However, her side still has concerns about the firm.
The company, which recycles used mixed rigid plastics into raw materials for reuse in the plastics industry, is a joint venture between the Netherlands-based Van Werven Group and the Northern Ireland-based Cloughwater Enterprises Limited. It employs 35 people at its operations at Rosemount Park, Ballycoolin, Dublin.
The two creditors who brought the petition in early February are two entities within the Van Werven group.
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They said they had concerns about how the company has allegedly been operated and sought to have provisional liquidators put in place.
That claim was rejected by lawyers for Shane Woods, who the court heard is a director of Cloughwater Enterprises, from Ballymena, Co Antrim, and the managing director of Cloughwater Plastics.
Claims that the company was insolvent were rejected and Mr Wood’s lawyers said the matter was a dispute between shareholders.
Other parties also became involved in the proceedings, including Repak, Fingal Co Council and the landlord of the company’s premises.
Creditors
The case was briefly mentioned before the High Court on Monday when Ms Justice Miriam O’Regan was told by barrister Stephen Brady, for the two creditors, Kunststof Recycling Van Werven BV and Van Werven Plastic Recycling Holding BV, that his clients have entered into discussions with its Northern Irish partner in relation to the company’s future.
Counsel said his clients wished to withdraw their petition.
Aidan Redmond SC, for Mr Woods, said discussions involving Cloughwater’s stakeholders would either result in a buyout of the business or the company, which he says continues to process plastic on the site, being put into liquidation.
As part of the process, the company was undergoing “due diligence”. The process should take several weeks to complete counsel added.
However, Ms O’Neill, for Revenue, which is owed a significant sum by Cloughwater, said her client retains certain concerns about the company and wishes to take over the winding up petition.
Ms Justice O’Regan agreed to adjourn the matter for a week to allow Revenue to make a formal application to the court to take over the petition.
