McInerney plan rejected again
THE HIGH Court has reaffirmed its ruling that a rescue plan proposed by the examiner appointed to house builder McInerney would unfairly prejudice banks owed more than €100m by the company.
McInerney had sought approval for a scheme that would see a US investor pay €25m in final settlement of debts of €110m owed to Anglo Irish Bank, Bank of Ireland and KBC Bank.
Mr Justice Frank Clarke ruled that the scheme of arrangement would be unfairly prejudicial to the banks.
However, he was asked to revisit the judgment on the basis that the National Asset Management Agency (NAMA) was now likely to buy the loans extended by Bank of Ireland and Anglo Irish Bank.
In a written judgment, Justice Clarke said he was not satisfied there was any basis to suggest the two banks would fare much better under any deal agreed with NAMA and that the scheme of arrangement did not necessarily disadvantage them.