THE HIGH Court has halted as doomed to fail and an abuse of process an action by a struck-off solicitor alleging negligence by several directors of Ballinrobe Credit Union related to how loans were made to three brothers.

Mr Justice Roderick Murphy granted an application by 11 defendant directors to dismiss proceedings against them by Daniel Coleman, who had practised as Coleman and Co, in Ballinrobe, Co Mayo. Mr Coleman was struck off the roll of solicitors by the High Court last year on the application of the Law Society.

In his action, Mr Coleman alleged negligence and breach of duty concerning the granting of loan facilities to three brothers – Eamon, Sean and Darragh Kenny – including one loan for €133,000.

Mr Coleman alleged Sean Kenny had worked as a legal executive with him and claimed the defendants wrongfully accepted various written undertakings given by Mr Kenny on behalf of Coleman and Co concerning security for loans.

Mr Coleman also alleged fraud and sought damages for amounts outstanding and/or due and owing to the credit union from the Kennys.

In his reserved judgment halting the case against the 11 directors, Mr Justice Murphy said he was satisfied, in relation to the Kenny loans, that undertakings were given by Coleman Company on dates from September 2005 and had to be in place before funds were drawn down. Mr Coleman, at all material times, was acting as solicitor for the Kenny brothers, he found.

The judge said undertakings such as in the present case placed a heavy onus on Mr Coleman as solicitor.