The liquidator is to seek orders to disqualify a co-founder of Blackrock Clinic as company director amid alleged fraud.
His move is being made in a lawsuit against US-based doctor Joe Sheehan (76) and his wife Norah (73) arising from the liquidation of their company, Blackrock Medical Partners. (BMP).
Liquidator Myles Kirby is investigating the apparent dissipation of €3.35 million from the company, at least €2.6 million of which is believed to have been transferred to relevant entities or individuals, including including relatives of Dr. Sheehan.
In an affidavit filed with the Supreme Court, Mr. Kirby identified a number of transactions that he said were “completely incorrect and constituted an act of fraud against the company and its creditors.” “. He said he did not find any commercial legal basis for the payments. Dr Sheehan denies wrongdoing.
The court heard Mr Kirby intends to file for disqualification under the Companies Act 2014.
Mr. Justice Senan Allen issued instructions to have the defendants served by registered mail to their home near Chicago.
The applications come after a lengthy dispute between Dr Sheehan and Larry Goodman, in which the retired surgeon’s stake in the hospital group was taken over by the beef tycoon.
In January, Mr. Kirby, of Kirby Healy Chartered Accountants, asked an Illinois court to subpoena the BMP director for allegedly wasting money. Decision on application is pending.
BMP was formed in 2000 to develop the Galway Clinic in Doughiska and until 2020 is a 25pc shareholder of Marpole, the company that operates the private hospital.
As part of the battle between Sheehan and Mr Goodman, the BMP sued Goodman’s Parma Investments Ltd in 2016, but they lost the case and were ordered to pay the costs.
Parma secured Mareva’s order to freeze BMP’s assets in February 2020, citing concerns the company might get rid of the assets. The expenses were never paid, according to Mr. Kirby, and Parma filed for bankruptcy with BMP last year. The liquidator said that as part of the settlement, the directors of the BMP were ordered to file a statement of fact within 28 days but failed to do so.
He declared His investigation found that BMP received €3.25 million from the sale of its stake in Marpole in January 2020 but the proceeds had already dissipated by the time the Mareva order was issued.
In an affidavit, Dr. Sheehan said there was no illegality or irregularity in the disbursement of the funds and that his allusion to wrongdoing was completely false. He said he didn’t know anything about ite where the funds are now.
https://www.independent.ie/business/blackrock-clinic-founder-faces-disqualification-case-amid-fraud-claims-41455844.html Blackrock Clinic founder faces disqualification amid claims of fraud