Businessman Sean Quinn's five adult children and Irish Bank Resolution Corporation have agreed to meet to discuss the possibility of mediating their long and costly legal dispute, the High Court has been told.
However, preparations will still continue for the hearing in March of the children's action disputing any liability for loans of some €2.34 billion advanced by Anglo Irish Bank, IBRC's predecessor, to Quinn companies.
David Drumm, the jailed former chief executive of Anglo, is among at least 49 witnesses due to give evidence in the case.
Mediation
Mr Justice Michael Twomey had last week urged the sides to consider a further mediation.
He has been allocated to hear the case, initiated in 2011 and noted it could run for six months at costs of several million euro.
Those costs are on top of costs of tens of millions already incurred in the family’s case and in parallel litigation by the bank against members of the Quinn family and various companies in the Quinn international property group (IPG).
The bank’s case, in which IBRC alleges a conspiracy to strip some €455 million assets from IPG companies in several countries, is due for hearing after the children’s action.
Both cases were on hold for several years pending the hearing of criminal proceedings against various Anglo executives and officials, including Mr Drumm.
On Friday, during a further case management hearing, Mr Justice Twomey was told by Bernard Dunleavy SC, for the Quinns, the sides had agreed to meet to discuss the possibility of mediation.
Barry O’Donnell SC, for IBRC, said it intended to engage positively in that regard and would discuss issues including the identity of any prospective mediator.
Counsel said the sides had been through a mediation before and, as the March 5th trial date was close, there was a need to operate effectively.
Having addressed a range of case management issues, the judge adjourned the matter.
Issue
A core issue in the case concerns the validity of securities provided by the children concerning loans advanced by Anglo to Quinn companies.
IBRC contends the children were of full age and understanding when they signed the relevant documents and they are bound by them.
The bank also claims Sean Quinn snr and Liam McCaffrey and Dara O'Reilly, former Quinn group senior executives joined as third parties to the case, were acting as agents for the children in relation to execution of the disputed securities. That claim is denied.
The bank also has a counterclaim on foot of guarantees given by the children concerning liabilities of Cypriot companies. That counterclaim is for €75 million against each of the children.
The bank previously obtained a €121 million judgment against their mother, Patricia Quinn, who is bankrupt, over her guarantee.
