ACC BANK has brought a court action against developers Larry O’Mahony and Thomas McFeely seeking more than €6.2 million in alleged unpaid development loans.
The proceedings against Mr O’Mahony, of Shrewsbury Road, Ballsbridge, Dublin, were admitted to the Commercial Court yesterday by Ms Justice Mary Finlay Geoghegan.
The application for admission of the action against Mr McFeely, of Ailesbury Road, Ballsbridge, was adjourned for one week to facilitate service of documents.
The case arises from an alleged loan agreement of April 2005 under which ACC claims it provided the defendants with a commercial loan facility of €5.95 million.
It claims the express purpose of the facility was to repay a €4 million loan to Ulster Bank, equity release of €1.895 million for further investments and payment of bank fees of €59,500.
The bank claims the defendants have failed to repay all or any of the said repayments due and owing, and it had demanded repayment of the entire sum on March 16th last.
It claims no repayment was made, and some €6.2 million, including interest, is now due and owing.
