SOME OF the €2 billion loans on which Irish Bank Resolution Corporation, formerly Anglo Irish Bank, is seeking judgment against businessman Seán Quinn date back to 2003, predating his disastrous gamble on the bank’s share price. IBRC issued further legal actions against Mr Quinn this week on foot of personal guarantees provided to the bank.
High Court records show that the bank issued three sets of proceedings on Wednesday, two of which are against Mr Quinn personally and a third against Mr Quinn and his wife Patricia.
The cases are listed for initial hearing on November 14th in application motions for entry into the Commercial Court, the division of the High Court that fast-tracks large business disputes.
A Quinn spokesman said they were making no comment on the latest action by the bank. IBRC also had no comment.
The bank is seeking judgment on loans in different currencies, comprising €1.3 billion, about $828 million and 13.5 billion Japanese yen, (currently valued at €125 million). Mr Quinn invested in Anglo shares through other currencies to benefit from favourable exchange rates.
He signed deeds of guarantee and indemnities on the loans, on which the bank has demanded repayment over recent months. The loans are secured on the family’s hotels in Ireland, the UK and the Czech Republic and other business and property assets.
The actions against Mr Quinn and his wife relate to debts of about €3 million owing to IBRC arising from improvements on their home in Co Cavan.
The Quinn family and the bank have already become embroiled in legal actions in Ireland, Sweden, Cyprus and Russia.
Mr Quinn’s wife and five children are challenging the validity of the bank’s loans in the Irish Commercial Court, while the family and the bank are battling over control of the family’s €500 million international property portfolio in overseas legal actions.
Mr Quinn and his family owe IBRC almost €2.9 billion, a large proportion of which relates to loans provided by the bank in 2007 and 2008 to cover losses on his investment in Anglo shares through contracts for difference, a form of leveraged bet on the stock.
RTÉ's Prime Time, which reported details of the bank's latest lawsuits, also disclosed that the Quinn Group, of which Mr Quinn lost control earlier this year, is in talks with the Revenue Commissioners about making a voluntary settlement arising from outstanding tax liabilities.
