The High Court has officially issued a winding-up order for a company that was formed to turn a property in Co Wicklow into a nursing home and care facility. Mr Justice Brian Cregan ratified the appointment of insolvency expert Declan De Lacy of the Dublin-based Clonmannon House Retirement Village Limited on Monday. This company had purchased both the Clonmannon House and its surrounding areas in Ashford, Co Wicklow.
Last week, the court provisionally named Mr DeLacy following the determination that the enterprise was financially troubled and unable to settle its liabilities as they matured. The confirmation of his appointment was undisputed by the company or any other entity. The request was made by Beijing resident Yi Yuan, who alleges to have lent €1 million to the company as part of the government’s immigrant investor scheme which was discarded last year. The scheme allowed individuals to secure Irish visas by making an investment of at least €1 million in the country.
Arthur Cunningham BL, the liquidator’s legal representative, stated at the High Court on Monday that his client, who has been provisionally appointed since last Thursday, has already begun to take steps regarding the company. Mr De Lacy has reportedly made contact with the enterprise’s one and only director, Ms Candance La Fleur, who has consented to assist the liquidator. Although the liquidation is multifaceted, it is agreed upon that the company will finalise the purchase of Clonmannon House by the end of the month.
Mr Cunningham said that nearly €1.9 million has been settled to obtain the asset, and an outstanding balance of above €100,000 is anticipated for the seller. While the company seems to lack necessary funds to wrap up the acquisition, plans are being devised to secure financing that is essential for advancing with the sale.
In addition, Mr De Lacy is said to be examining particular fiscal matters, including the stamp duty that may come into play regarding the property purchase. The company reportedly aims to resell the property for an estimate of around €4 million. Mr Justice Cregan confirmed that he was willing to endorse Mr De Lacy’s nomination as liquidator, instructing Ms La Fleur to present a statement of affairs. The case is scheduled to reconvene in court later this month.
As represented by Sally O’Neill BL and instructed by Solicitor Aisling Murphy from O’Shea Barry Solicitors, the plaintiff called for the appointment of a liquidator, triggered by the company’s failure to reimburse her a total of €1.17 million, which was due since the previous August. O’Neill stated that her client grew uneasy after another investor initiated a lawsuit, alleging that the company failed to repay the investor’s €1.3 million.
O’Neill affirmed that her client, Ms La Fleur, had presented an affidavit in these legal proceedings which contained statements that another investor, Ms Yuan, disputes as untrue. Concerns were also raised over the firm’s congruence with Irish corporate law, the court was informed.
Legal action initiated in January saw Ms Li Sun, represented by Sean O’Sullivan BL and instructed by Rafferty Jamesons Solicitors, obtaining a temporary injunction to prevent the company from disbursing, dissipating, or otherwise dealing with any funds it received related to the sale or disposal of the defendant’s assets or shares.
Ms Sun, who is based in Clontarf and invested in the company in 2019, called for the injunction over worries concerning her investment and fears she will not receive the €1.3 million she believes is owed to her by the company. The company refuted any and all allegations of misconduct in these proceedings. The action will return to court later this month.